Perhaps your biggest concern about pursuing higher education - whether online or
on-campus - is how you will pay for it. Fortunately, there are numerous options
available to you.
Most students receive some form of financial aid to help pay for school. Financial
aid may consist of scholarships, grants, loans, and participation in work-study
programs. Tax credits and benefits for military personnel also aid in offsetting
the cost of higher education. Additionally, private loans are available to make
achieving your degree a reality. Loan consolidation can ease the burden of multiple
loan payments by reducing costs and simplifying the payment process.
Compare the different types of federal student aid below and read more about ways
to lower and cover the costs of degree programs, and make your dreams of furthering
your career a reality.
Note: If you claim the Hope credit for a student, then you are not eligible to claim
the Lifelong Learning credit for the same student.
The following is a summary of the U.S. Department of Education’s Federal Student
Aid (FSA) programs. Check with your school to find out which programs your school
participates in.
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Federal Student Aid Program
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Type Of Aid
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Program Details
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Maximum Award Amounts
|
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Federal Pell Grant
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Grant (not repaid)
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Available almost exclusively to undergraduates students.
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Annual - $5,550 (for calendar year July 1, 2010 to June 30, 2011)
|
|
Federal Supplemental Educational Opportunity Grant (FSEOG)
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Grant (not repaid)
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For undergraduate students with exceptional financial need.
Priority is given to Federal Pell Grant recipients.
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Annual - $100-$4,000 depending on school funds availability
|
|
Federal Work-Study
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Earned (not repaid)
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For undergraduate and graduate students (not available to international students).
Student coordinates with school to find eligible employers.
Jobs can be on campus or off campus.
Students are paid at least minimum wage.
|
None
|
|
Federal Perkins Loan
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Loan
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Funds provided directly by and repaid to school.
Determined by financial need & fund availability.
Interest rate is five percent.
|
Annual - $5,500 undergraduate / $8,000 graduate & professional
|
|
Subsidized FFEL or Direct Stafford Loan
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Loan
|
Interest paid by lender while student is in school or period of deferment. Available
to all undergraduate or graduate students with financial need attending at least
half-time.
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Annual - $3,500-$8,500 depending on grade level
|
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Unsubsidized FFEL or Direct Stafford Loan
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Loan
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Interest paid or accrued by borrower while student is in school or in grace or deferment
period.
Available to all undergraduate or graduate students with financial need attending
at least half-time.
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Annual - $5,500-$20,500 (less any subsidized amounts received for the same year)
depending on grade level
|
|
FFEL or Direct Parent PLUS Loan
|
Loan
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Interest paid or accrued by borrower for length of loan.
Available to parents of dependent students (borrower must not have negative credit
history).
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Lifetime – Cost of attendance minus any other financial aid received
|