At Kuder, we are committed to supporting students as they plan for their future and postsecondary success. We understand the pressure and stress that transitions after high school can bring, so we prepare students with the tools they need to succeed. That’s why we’ve put together a guide on financial aid resources that we believe every student should know, especially when college is right around the corner.
This guide lays out the necessary financial information when applying to college, and what to keep in mind when making financial decisions that may impact your future.
The FAFSA (Free Application for Federal Student Aid), is completely free and all online. The FAFSA will determine what kind of financial aid a student may qualify for. This application may vary, slightly, on a state-by-state basis, but the general purpose is the same. The FAFSA can also be used for a diverse selection of postsecondary opportunities, not just two- and four-year colleges. Many trade schools and certification programs accept the FAFSA as well, making it a key component of the post-graduation transition.
You must be eligible to apply for the FAFSA, not just anyone can file and receive federal student aid. Below are the qualifications a student must meet:
Beyond these key qualifiers, you must also show that you can maintain good academic standing, sign a statement that you will not default on any offered loans, and more. There are also other FAFSA eligibility requirements that are only applicable to specific situations.
Once you have filed and submitted the FAFSA, you can choose which schools you’d like to receive it. After your FAFSA has been received by your school(s) of choice, your school will write up a “financial aid award letter”. This letter will be an itemized list of the loans, grants, and work-study that you specifically qualify for. Additionally, it may include an award amount for any school-specific scholarships for which you qualify.
There are various types of financial aid that you can qualify for based on your submitted FAFSA. Not everyone will qualify for all of these types; however, it is important to know what they are and how they can impact your financial future.
No matter what type of loan you may be eligible for, you will always need to pay it back post-college graduation. The FAFSA will determine whether or not you qualify for direct subsidized or direct unsubsidized loans.
These types of loans are only available to students who demonstrate financial need. The amount a person can borrow is determined by their FAFSA and school of choice. Direct subsidized loans begin to accrue interest 6 months after college graduation, normally. The Department of Education pays for the interest on your loans while you’re at school (at least half-time) and during a period of deferment (where loan payments have been postponed).
There is no requirement to demonstrate financial need for these types of loans, and they are available to both undergraduate and graduate students. Your school of choice will determine the amount you need based on any other financial aid you may receive. The interest for these loans begin the moment you choose to accept them and will continue to accrue after graduation until they are repaid.
Grants are given to students based on their financial need and/or if they qualify for a specific program. There are federal grants for those who are going into;
Grants do not need to be repaid, unless you withdraw from your program before graduating. The money from grants can be thought of as a “gift”. As long as you maintain good academic standing and stay in your program, you do not need to repay grants.
This program was developed by the government to allow opportunities for qualified students to not only pay for their education, but get firsthand work experience as well. A work-study program provides part-time employment while you’re in school, so you can pay for either your tuition or cost-of-living expenses. However, there is a limit to the amount you can earn or the numbers of hours you can work. This limit is determined by your financial need after filing the FAFSA.
Scholarships from your college, community, or industry of focus may be need-based, or they can also be merit-based. Merit-based scholarships are dependent on your current academic standing, any service work that you’ve done, or if you come from a diverse background.
There are plenty of non-profit organizations, private foundations, businesses, and other entities that offer scholarships with varying degrees of application for students. Deadlines for these scholarships can be year-round, so we recommend that you always keep a lookout for more ways to apply!
Students utilizing Kuder Navigator® may leverage the Scholarship Search portal to browse thousands of available scholarships to offset postsecondary education and training costs.
We go above and beyond to equip our students with the tools they need to transition into their college and career path with ease. At Kuder, our education solutions serve PreK students through college students, with tailored features for each stage. Our workforce solutions provide a long-lasting partnership to create custom initiatives that benefit our clients and the future economy. No matter what age, Kuder is your partner through it all.
For more information about our college and career readiness solutions, get connected with our team to learn how we can partner with your school district or organization.
