ALT How Financial Aid Works Start Planning Early Plan how to pay for college, career school, or trade school before you start your financial aid journey. Ask school counselor and the financial aid office about state, school, and nonprofit grants and scholarships you can apply for. Be sure to meet application deadlines. States have limited funds, so understand your state’s requirements and apply early to be eligible for as much aid as possible.
ALT Fill Out the FAFSA® Form Before each year of college, career school, or trade school, apply for federal student grants, work-study funds, and student loans with the FAFSA form. Your school uses your FAFSA info to determine your federal student aid eligibility. Many states and schools use FAFSA data to award their own aid. After you submit your FAFSA form, you’ll receive your FAFSA Submission Summary, which has the information you included in your form. Review it and make corrections if needed.
ALT Aid Offer If you’re accepted to a school you listed on your FAFSA form, the school will send you an aid offer. Your aid offer will explain any federal student grants, loans, and work-study funds a school offers you. The offer might also contain state and institutional aid. If you receive aid offers from multiple colleges, career schools, or trade schools, you should compare them and decide which school is best for you. Grants are funds that don’t have to be repaid. A loan is money you borrow and must pay back with interest. A work-study job gives you an opportunity to earn money to pay your educational expenses.
ALT Receiving Aid Every year, each school sets its own schedule for disbursing (paying out) aid, partially determined by when you submitted all required paperwork. Your college or career school has a financial aid office to help guide you along the way. Graduate and Start Repayment As you prepare to graduate, get ready to repay your student loans. Choose a repayment plan that’s best for your goals. Income-driven repayment plans base your monthly payment amount on your income and family size. If you start falling behind on your payments, contact your loan servicer to discuss repayment options.
