To obtain aid that you never have to pay back, apply for as many scholarships as possible. Some scholarships are need-based--for lower-income students--while other scholarships depend on factors such as grades or residency. A wide range of scholarships exist. Find them by checking with organizations you belong to, the colleges you apply to, the companies your parents or guardians work for and religious and community organizations. Many school guidance counselors have resources for college-bound students and provide individualized advice on applying for aid. Take advantage of free services on the Internet, such as Fastweb.com, that match you with appropriate scholarships.
By accepting a loan, you agree to repay the amount borrowed plus interest. The federal government offers several loans for students. The William D. Ford Federal Direct Loan Program provides money to students who attend school full or half-time. The loans are other subsidized, for students with financial need, or unsubsidized, for students without financial need. The Direct PLUS Loan program allows parents, rather than students, to borrow money. You may also qualify for a Federal Perkins loan, which your college provides. Instead of repaying the federal government, you repay the money to the college that loaned it.
The U.S. Department of Education runs four grant programs: the Federal Supplemental Educational Opportunity Grant, the Federal Pell Grant, the Iraq and Afghanistan Service Grant and the Teacher Education Assistance for College and Higher Education Grant. Grants, like scholarships, do not require repayment under most circumstances. Pell Grants require half-time enrollment in a certificate, bachelor's or associate's degree program. Low-income students receive the Federal Supplemental Educational Opportunity Grant. Eligibility requirements include having a low Expected Family Contribution and attending a participating school. The Iraq and Afghanistan Service Grant gives money to students under 24 whose parent or guardian died while in the armed forces in Afghanistan or Iraq. The Teacher Education Assistance for College and Higher Education Grant provides funds for students who plan to become teachers. States and individual colleges may also offer grants to eligible students.
Campus-based aid involves obtaining employment from your college as part of the Federal Work-Study Program. With work-study programs, you attend classes and work part-time. You may also work off campus for either a public agency or a nonprofit. The U.S. Department of Education stipulates that in these cases, your work-study job must be germane to your college courses. Work-study jobs pay minimum wage or higher for undergraduate students. Your aid eligibility determines the number of hours you will work.