Finding Fall Funds for College

A college education costs a bundle, with some price-tags exceeding six-figures for a four-year term.

The news release below has some great tips about generating financial aid--even at the last minute.

Also in the August 8 issue of Woman's World there are a few insightful quotes from Ric Edelman, who wrote The New Rules of Money. The snapshot summary of the book appears on page 25 of the August 8 issue of Woman's World.

Example

Old-School Rule:
A big-ticket college means a big-ticket salary

Edelman's New-School Wisdom
Expensive tuition + four years does not automatically equal a high post-college salary.

"Consider the expected salary and then choose a school where the tuition is manageable," according to Edelman.

The payoff: lower tuition = lower student loan bills after graduaction.

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And here's the news release that I mentioned above:

"DON’T LET SUMMER PASS YOU BY:

FIVE TIPS TO HELP STUDENTS AND PARENTS

FIND FUNDS FOR THE UPCOMING SCHOOL YEAR

"The lazy days of summer can be time well spent for students and parents looking to narrow the gap between their financial aid packages and upcoming tuition bills. Acting now to search out and secure additional funds before the back-to-school season can give families an advantage that can translate into thousands of dollars in tuition aid.

With college tuition continuing to rise at double the rate of inflation, families should be sure to explore all available avenues for college funding. College Loan Corporation offers the following five tips for families and students looking to secure additional funds:

1. Free Scholarship Searches: Exploring free scholarship searches can be a worthwhile exercise, often yielding valuable additional funds for college tuition. Scholarships are available to every student and family, even those who mistakenly assume they will not qualify; many scholarships are awarded regardless of financial need. A free scholarship search engine accessing more than 1.3 million scholarships worth more than $3 billion is available at www.collegeloan.com.

2. PLUS Loans for Parents: Federal aid is not available only to students; parents can take advantage of low-cost federal financing as well. Many parents don’t realize that PLUS Loans are available to them and offer comparatively lower interest rates than consumer loans. PLUS Loans are not based on financial assets and no collateral is required. Parents of dependent undergraduates can borrow up to the full cost of attendance, minus any other financial aid the student has received. PLUS Loans can even be used to pay the Expected Family Contribution!

3. PLUS Loans for Graduate/Professional Students: New this year, graduate and professional students can take advantage of this excellent federal financing program. Like the parent PLUS Loan, the Grad PLUS Loan offers low rates and ease of approval. But, don’t be fooled by the name – this PLUS Loan isn’t for parents. Graduate and professional students - not their parents - apply directly for this loan to meet the full cost of attendance, minus other financial aid received.

4. Alternative Loans: Alternative Loans can provide a sensible solution for families looking to bridge the gap between federal financial aid and Cost of Attendance. Many Alternative Loans offer an easy online application, deferment options, flexible repayment plans and repayment benefits such as interest rate reductions and a co-borrower release option. Alternative Loans are not backed by the federal government and vary by lender, so borrowers should shop around for the best terms and conditions.

5. Check with Your School’s Financial Aid Office: Students should be sure to call their school’s financial aid office or visit their website. Financial aid counselors are valuable resources and can help families achieve their goals for higher education. They are equipped with the expertise to help find the funds that students and families need in time for the fall semester.

Getting an early start is especially important this year as increases in college tuition continue to outpace family income. Last year the average annual tuition at four-year private universities rose 6% to $21,235, and this year’s increases are comparable. The increases, coupled with more students competing for less aid, are making this one of the toughest years yet for securing much needed college funding.

One last word of advice – do your homework! There are plenty of resources and information available to help students and parents finance education costs. College Loan Corporation offers free student aid guides, such as Financial Aid 101 and Paying for College, to help students and families learn more about their financial aid options. Start by visiting college loans calling 1.800.2COLLEGE or contacting your school’s financial aid office as soon as possible.


About College Loan Corporation
College Loan Corporation (CLC), headquartered in San Diego, is the nation’s seventh largest student loan provider, managing more than $9 billion in student loan assets. By offering innovative loan products and industry-leading customer service, the Company has helped make higher education possible for more than 600,000 students and families. More than 900 colleges and universities have designated College Loan Corporation as a preferred lender. CLC’s student loan hotline offers expert loan consultants 24 hours a day, 7 days a week at 1.800.2COLLEGE.