Ten questions to ask about college financial aid

by Grace

Questions to Ask College Financial Aid Administrators

From Fastweb’s Quick Reference Guide to Evaluating Financial Aid Award Letters:

The following questions can have a significant impact on college costs, especially the out-of-pocket cost, and on evaluating the financial aid award letter.

  1. Does the college meet the full demonstrated financial need for all four years, or is there unmet need (a gap)?
  2. How much on average do the college costs increase per year?
  3. Does the college practice front-loading of grants? Can students expect to receive a similar amount of grants in subsequent years, assuming their financial circumstances are similar? If the college practices front-loading of grants, how much will the grants change each year?
  4. What is the college’s outside scholarship policy? How does the college reduce the need-based financial aid package when a student wins a private scholarship? Does the scholarship reduce the loan and work burden (and unmet need, if any) or does it replace the college’s grants and scholarships?
  5. What are the residency requirements for in-state public college tuition?
  6. How many hours will I need to work to earn the full work-study award I’ve been offered? How much will I be paid per hour? Are work-study jobs readily available, or are they hard to get?
  7. What are the requirements for keeping my grants and scholarships in future years? Do I need to maintain a minimum grade point average? Do I need to take a particular number of units? Do I need to participate in any special activities such as community service?
  8. How does one appeal for more financial aid if the financial aid award is insufficient or the family’s financial circumstances have changed?
  9. What percentage of first-time, full-time students graduate within a normal timeframe? How many years, on average, does it take to earn the degree?
  10. What percentage of students graduate with debt and what is the average cumulative debt at graduation?

These questions highlight some of the most critical issues that should be considered in determining how the net cost of college will be affected by financial aid.

Here’s a suggestion on how a family can proceed with educating themselves about a particular college’s costs.

  1. Run a school’s Net Price Calculator using the family’s specific financial information.
  2. Review the school website to find answers to the ten questions listed above.
  3. Contact the school’s financial aid administrator to get answers not found on the website.

Going through this process will uncover key financial information, providing a good sense of that school’s affordability.

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