Types of College Financial Aid

A college education is expensive. It can be a strain on any family’s financial resources. Expenditures for education, whether it is a two-year, four-year or vocational/technical institution, includes tuition, food, transportation, housing, a personal allowance and other miscellaneous fees. When these expenditures are added together, the total for one year can be daunting.

Applying for a college grant and/or a scholarship is a way to ease this burden. Grants and scholarships do not require the student or the family to pay back the money received. These programs are based on:

• Need – This is determined by the financial inability of the student and the family to bear all the costs of a college education.

• Merit – This may be determined by a number of factors including academic ability and/or athletic ability.

Many of these programs combine need and merit criteria to balance out the total financial package for a student. Competition is high for grants and scholarships. These types of financial aid are limited due to the growing number of applicants each year.

There are federal and state grant programs for qualified students:

Federal Pell Grants 

This program provides grants based on financial need to undergraduate and certain post baccalaureate students. Approximately 5,400 institutions participate in the program. The grants are awarded through the participating institution.

Academic Competitiveness and National SMART Grants 

Both of these grants are made to encourage students in the fields of math and science. The Academic Competitiveness Grant is available to students for their first and second academic years of college. The National SMART Grants are available to students for their third and fourth academic years of college.

Federal Supplemental Education Opportunity Grant (FSEOG) 

Approximately 4,000 institutions participate in this program. Grants are based on need. The school has the flexibility to determine the amount of the award.

Teach Grant Program 

This program provides grants up to $4,000 per year to students who intend to teach in a public or private elementary or secondary school that serves students from low-income families. There are conditions to receive this grant.

Student Loans for Education

This type of financial assistance has to be repaid. You should explore other areas of financial assistance before settling on this one. Loans have varying interest rates and repayment schedules. Make sure you understand the terms before signing documents or making any commitments.

Work Study Programs

Work study programs have been available to students for many years. The work is usually done on campus. Work hours generally range from ten to fifteen hours per week. Jobs may be in the library, cafeteria, or laboratories. Also, there may be a limited number of positions available.

Although there are a number of grants available each year, competition is great. Start your search early to find your college and to apply for the various financial assistance programs.