How to Make the Big Decision
Now come the letters you've been waiting for: financial aid award letters. It is your task to sit down with your family and determine which aid award best meets your needs. While it may be tempting to jump at good news, you should wait until award letters from all the colleges come in before you make a decision.
Don't Miss the Deadlines
It's important not to miss deadlines for accepting financial aid. Aid is limited, so if you don't accept an award on time, it may go to another student. However, you will also need time to understand each award and explore your options. If you're faced with a difficult decision, consider asking the aid office to extend the response deadline.
The First Step
First, be sure you understand the terms in each letter and are able to compare the awards. Each will list the information in different formats; some may list all college costs, while others list only billable, or direct, costs.
You're All Set!
Wait until award letters from all the colleges come in before you make a decision. You may discover that the financial aid award at your top college meets all your needs, and you can attend your first-choice school. Congratulations! If you've been awarded a student loan or your parents are considering a parent loan, visit our Loan Center for advice about borrowing.
We Can't Pay That!
But what if the award package at your first-choice school isn't enough? This can be a difficult situation, but it doesn't have to mean your top college is out of reach.
Contact the school's financial aid office. If your family's financial circumstances have changed or you have special circumstances you believe were overlooked, explain and be ready to document this information.
If you just can't make up the gap between the award and the cost of the college, ask the office for help. If they can't supply more gift aid or increase the subsidized loan figure, they'll probably recommend that you borrow more money. A supplemental loan may fill your financial gap and make it possible to attend the college of your choice.
The Gray Area
You may discover that you can afford some but not all of the colleges to which you've applied, and the financial aid packages from your top schools may not be the most attractive.
Assuming you've contacted the financial aid offices and they've done all they can, you must now make some difficult decisions. Do you attend a college you can safely afford, or do you take a financial risk to attend your first-choice college?
It's up to each family to resolve these issues. College experts recommend that if your family can put together a sensible financial plan, you should choose the one that best fits your personal, academic and career goals, even though short-term costs may be higher. It could cost more if you end up quitting a college you find unsatisfactory and starting over.
On the other hand, there are thousands of colleges, and there is no single, perfect school for each student. Your may decide you can meet your goals at a school that doesn't stretch your family's finances.
You're Not Locked In
You are not required to accept the entire aid package as offered. For example, some students decline a student loan or work-study award, or accept a loan for a lesser amount. Remember that if you decide to decline part of an award, you will need to come up with the money from another source.
Sign on the Dotted Line
Once you've made a decision, you should carefully reread the entire aid award letter and accompanying materials to be sure you've filled in all the requested information. For example, you may be asked to select a lender for your student loan. You must sign the award letter and return the requested materials by the deadline.
Respectfully Decline
Notify the other colleges that you are declining their offers of aid so the awards can go to other students.
Check's in the Mail
Find out how and when the aid will be disbursed, how much aid will be applied directly to the bill, and how much the first bill will be so you can plan for the coming months.
If your final decision means that you'll need to consider an additional loan or explore other financing options, check out our Loan Center today.