Types Of Federal Student Aid Programs
The U.S. Department of Education administers federal college student aid programs. To be eligible for federal student loan aid programs, you must:
• Demonstrate financial aid needs (not part of the criteria for some student loans).
• Be a U.S. citizen or eligible non-citizen with a valid Social Security number.
• Show, by any of the means below, that you are qualified to obtain a post high school education:
• Have a high school diploma or a General Education Development, or GED, certificate.
• Pass a test approved by the Department of Education.
• Comply with any state standards the Department of Education approves.
• Complete a high school education through a state approved home schooling program.
• Be enrolled as a regular student (that is, you have to be working toward a degree or certificate) in any eligible program.
• Register with the Selective Service, if required.
• Not be in default on a federal student loan or owe money on a federal student grant.
• Not be convicted of selling or possessing illegal drugs.
• Maintain satisfactory academic progress once you are in school.
After you have proved that you fulfill all these requirements and you have submitted your FAFSA, the government will consider you for the financial aid programs they offer.
Federal student loans come in two flavors: gift aid and self help aid. You do not have to pay back gift aid, and the self help aid program will allow you to earn money or to borrow money for school. Borrowed money, of course, must be repaid.
Pell Grants and FSEOGs
Gift aid programs will include the federal Pell grant program and the Federal Supplemental Educational Opportunity Grant program. These grants are usually only available to students who do not yet have a bachelor’s degree. In some cases, however, they might be awarded to students enrolled in post-baccalaureate teacher certification programs.
Pell grants will come in varying amounts depending on your financial need and the cost of attendance and whether you attend full time or part time. This could range from several hundred to several thousand dollars.
FSEOGs go to students that show exceptional financial aid need. As with Pell Grants, FSEOG award amounts will range from several hundred dollars to several thousand a year. This is all depending on the student’s financial aid need. Students who receive Pell grants are also at the top of the priority list for receiving FSEOGs award
FSEOGs have do have a few limitations that Pell grants do not. For one, the amount of your FSEOG can be reduced if you receive other forms of student aid or student loans. In addition, each school receives a limited amount of FSEOG money; when it is gone, it is gone. That is why it is very important to apply for your financial aid as early as you can. You will have a better chance of obtaining FSEOG money if you are eligible for it.
The Federal work study program is a key form of self help financial aid. Work study allows undergraduate and graduate students to work part time and earn money while they are in school. In addition, more money earned equals less money needed in college student loans.
