A Closer Look: Financial Aid
How do you pay for school? What do you do when you’re out of money but your financial aid isn’t cutting it? Are you afraid your classes will be dropped because you can’t pay for them in time? Getting through the ins and outs of financial aid is a daunting task for even the most seasoned of students, so here are some tips and tricks to make the labyrinth just a little easier to navigate.
First, apply for the FAFSA. The FAFSA is a form that lets you officially apply for student loans, and it lets you get government assistance. Once you’ve filled it out, you probably want to know what you’re getting yourself into. There are, in fact, different types of aid available—which include work-study, student loans, and grants. If you’d rather receive money by working on campus, see if you qualify for a work-study program. As far as student loans, there are direct loans (provided by the government) and indirect loans (private loans provided by other institutions). Private loans require you to make payments on your loan, and you may need a cosigner. If you are eligible for a grant, take advantage of it. These are the ones you don’t have to pay back. Yay!
When you get to the point of accepting your award offers, you’re probably wondering which loans to choose. It’s really all up to you and your financial situation. In a nutshell, subsidized loans don’t have any interest on them while you’re in college, and unsubsidized ones do. For subsidized loans, the government pays for the interest while you’re in school and for the next six months after you graduate (called a grace period). Unsubsidized loans are the opposite: You’re responsible for paying the interest on that loan while you’re in school, but you don’t have to. If you choose not to, that interest will accumulate over the years, and you’ll just have even more to pay off six months after you graduate.
Sometimes, things get a little crazy in the Office of Financial Aid. It’s in J. C. Kellam, suite 240, and it can get really packed in there, especially near financial aid deadlines. Still, if you need help, it’s worth the wait. They can help you with anything and everything. Are you looking into studying abroad? Go by their office to see if you’re eligible for receiving financial aid for your trip. Do you want to check out what scholarships are available for you? You might be able to save yourself some money and not even know it. Maybe even consider getting a loan through your parents if you didn’t get awarded enough money to make it through the semester. Do you need a little more time to pay for your tuition and want to pay it off in smaller portions? There’s also the option of setting up a payment plan for you to pay off your tuition in increments throughout the semester. See, look at all those financial opportunities!
So, that aid check comes in and you’re feeling like a high roller. Be careful. Sometimes people get carried away and forget the reason they’re receiving financial aid in the first place. Sure, it’s there to finance whatever you need for school, but it isn’t there to pay for you to go on ‘de-stressing’ vacations every weekend. Make sure to prioritize when spending your aid money. Pay for your books and any other school-related items first before you use it for anything else—easier said than done, I know.
It’s not a crime to use your financial aid for other things (e.g.: gas, groceries or rent), but just make sure everything is A-OK with your school expenses before you go spending it elsewhere. Be responsible about your financial aid money, because it will go quicker than you think. Keep track of what you’re spending and how you’re spending it. You don’t want to run out of financial aid money smack dab in the middle of the semester.
Now, this brings us to those who aren’t eligible for financial aid. What do you do now? There are loans that the school offers that will help you get through tight spots. Luckily for you, Texas State offers short-term loans and emergency loans. Emergency loans help if you can’t afford the down payment for a payment plan, and short-terms loans can help with whatever else you need. Keep in mind, though, that both of these loans have to be paid back by the end of the semester. If this option doesn’t work, check with whomever you’re banking with—many banks offer loans for college students (these are the private student loans mentioned earlier). Each bank is different. Be sure to go and talk to your banker so you know what is required from you in order to pull out a loan.
If you ever get to the point where desperate times call for desperate measures, look into other options for paying for school. Don’t give up! If FAFSA doesn’t work out for you, remember that there are other ways your schooling can be paid for. Needless to say, there are a lot of other financial options available or you, and you should look into them before you make any permanent decisions you’ll regret… like dropping out. If you’d like to dig deeper, check out one of our previous posts, Boko’s Survival Guide to Financial Aid. We’ve got you covered! Ultimately, though, your best bet is to go by the financial aid office to really get a full understanding of how financial aid works—we at LBJSC are students, just like you, and we’re in the same boat navigating the waters of financial aid. Getting some expert help will definitely put you ahead of the curve. We all know college isn’t cheap, and we want to make sure you have your coins in line so you’re squared away. You’d be surprised at what’s out there.