The Financial Aid Process
The financial aid process can seem confusing and overwhelming. Here is a step-by-step description of what students and parents need to do to complete the financial aid process successfully.
Step #1
In order to receive any type of federal financial aid, you’ll need to fill out the Free Application for Federal Student Aid, more commonly known as the FAFSA. This form is the starting point for applying for grants, scholarships, federal loans, and work-study. You will need to fill out a FAFSA (or a Renewal FAFSA) each year you are in school. You can get this form at your school’s financial aid office or at www.fafsa.ed.gov. Generally, you can start filling out the FAFSA after January 1 for the following school year. Check with your school for specific deadlines.
Step #2
About 4 weeks after you submit your FAFSA to the federal government, you will receive your Student Aid Report (SAR). This form will give an overview of the information you provided on your FAFSA and briefly outline your federal financial aid eligibility. You should double check your SAR for accuracy, and follow any instructions given on the SAR.
Step #3
Your school may require you to fill out additional financial aid forms to determine your eligibility for other types of financial aid, such as grants and scholarships awarded by the school. Check with the financial aid office at your school to see which forms they require.
Step #4
Once you have completed steps 1 – 3 and been accepted at a college, you will receive a financial aid award letter. This letter will detail the financial aid package the school is offering you to help cover the cost of attendance. If you have been accepted to more than one school, you may find it helpful to compare award letters so you can find the package that’s right for you.
Step #5
Once you have made your decision on which college to attend, follow the instructions on the award letter to accept the financial aid package. For example, you may have to sign and date the letter and return it to the financial aid office. Be sure to submit it by the deadline listed on the letter!
Step #6
Examine the award letter closely. In order to receive all of the types of aid being offered, you may have to fill out additional forms. For example, if you are eligible for a Federal Stafford Loan, you will have to fill out a Master Promissory Note (MPN) or a PLUS MPN if you or your parent is borrowing a PLUS Loan.
Step #7
If you receive a Stafford, PLUS, or Grad PLUS Loan, you will be required to complete an entrance interview. This is a federally required program that informs you of all the rights and responsibilities that go along with borrowing a student loan. Entrance counseling at your school may be conducted individually, in a group setting, or even online. Your financial aid office will provide you with specific instructions on how to complete this process.
