By Jose Gomez
Let’s get real.
The college application process can be intimidating, and seeking financial aid can be a little scary, too. I still remember just how stressful applying to colleges was for me during my senior year: all the documents, the emails, the interviews… the essays (they still give me shivers). Even with all these things going on, most of my stress was related to how I was going to pay for it all once I was in college.
And you know what? Getting financial aid doesn’t have to be stressful at all anymore.
As a first-generation student, I didn’t know much at the beginning of the financial aid process, which is the main reason why I had to do much of these things alone. This may be the case for many of you, too, since I don’t know of many first-gen kids who were very experienced with the nuts and bolts of the financial aid process. There’s no need to worry, though—there are many guides about financial aid online, and even things that aren’t available in this guide can be easily Googled in a matter of seconds.
My point here is, don’t worry, it’ll all be OK. If you follow the basic steps, you can almost guarantee yourself a cheaper way to college. Just sit back, relax, and read whatever you feel necessary in this little guide to financial aid.
What is financial aid, anyways?
Financial aid is the money you will receive to pay for all your college expenses. The financial aid that is referred to in this guide will be dedicated to prospective undergrads.
What types of financial aid are there?
There are four main types of financial aid:
- Grants: A grant is essentially money given to you that doesn’t have to be repaid. Grants are usually given to people without any obligation. These can be granted by either your college or the federal government.
- Scholarships: A scholarship is also money given to you that doesn’t have to be repaid. Scholarships are based on your academic achievements and talents. These usually come with obligations, an example being maintaining a GPA above a 3.0. Scholarships are granted to you by either your college or a private organization.
- Student Loans: A student loan is borrowed money that has to be repaid after attending college. You can get a loan from a private organization like a bank. While it is not recommended that you get a loan, this option is available for students who did not receive other types of financial aid.
- Federal Work-Study: Federal Work-Study is a government program that allows you to earn money through a sponsored job at your college.
Who gives out financial aid?
Financial aid is given by three major sources:
- Your College: If you are in need of money to go to college, your college has money reserved for students like you.
- Federal Government: Who woulda thought, huh? Out of all of the things our government has to pay for, they put some of their resources into grants like the Pell Grant* to college students.
- Private Organization: By private organization I mean banks and scholarship programs, both of which require an application process to receive different types of financial aid.
* Check out the Dictionary at the end of this guide! Words with asterisks have better explanations down here.
Who is eligible to receive financial aid?
Students who are not able to pay full tuition and other expenses in college are eligible to receive financial aid. The amount of financial aid varies from person to person, since even two people with the same annual income can have different financial aid packages.