As the academic year comes to a close, students may be getting ready to celebrate. For many families, navigating the labyrinth of college expenses can be an overwhelming part of the end of the school year. However, the Free Application for Federal Student Aid (FAFSA) can be the gateway to various forms of financial assistance, including grants, loans, and work-study opportunities.
Below, we discuss the significance of the FAFSA deadline, explore the application process, and touch on the role of private student loans.
First and foremost, let's address the elephant in the room: the FAFSA deadline. While the deadline for the 2024-25 academic year extends to June 30, 2025, individual states or universities may have their own deadlines so it’s important to get started quickly to secure the financial aid your child needs.
The new FAFSA application opened in December 2023 promising a smoother application process. However, procrastination can lead to missed opportunities so it’s wise to act sooner rather than later!
The cost of college adds up! From room and board to paying for food and tuition, the prospect of financing a college education can seem like an uphill battle but leveraging the resources available through the FAFSA can significantly offset the burden of tuition costs. All college students, regardless of income, who want to be considered for federal, state, and school financial aid programs for higher education, should fill out the FAFSA.
Grants, in particular, offer a form of financial aid that doesn't require repayment, making them an attractive option for eligible applicants. The FAFSA application is also the ticket to work-study programs that provide students with valuable job opportunities to help cover expenses.
Many universities also use the FAFSA application to award both need-based and merit-based scholarships that students can use to fund their education. Knowing how to apply for these scholarships can significantly reduce the need to rely on loans, minimizing the burden of student loan debt repayment post-graduation.
Finally, students and families who are ineligible for financial aid or work study may have the option to take on federal or private student loans. While federal student loans are offered through the federal government, private student loans are offered through a variety of private companies.
The 2024-25 FAFSA form has been redesigned and filling out your FAFSA application is now as easy as going to StudentAid.gov and starting a new application. However, it’s recommended that the student and any contributors who are required to provide information on the FAFSA form all create their own logins before getting started. This can include the student, a student’s spouse, a biological or adoptive parent, or a parent's spouse.
According to the website, the form takes about an hour to complete. You'll be required to set up a username and password and provide personal information so you may want to gather the following information:
While scholarships and federal aid can alleviate the strain of college expenses, some families may find themselves turning to private student loans to bridge the gap. While these loans offer flexibility and accessibility, they often come with higher interest rates and less favorable terms compared to federal loans. However, for those who have already taken on student loan debt, there's still hope in the form of refinancing.
Refinancing presents an opportunity to consolidate existing loans, potentially securing a lower interest rate and more favorable repayment terms. This can translate to lower monthly payments and reduced overall debt burden, providing much-needed relief to borrowers and their families. At Alt Lending, we specialize in helping student borrowers and their co-borrowers find refinancing solutions tailored to their needs, regardless of creditworthiness. Our focus on the customer ensures that we prioritize affordability and flexibility, empowering borrowers to take control of their financial future.
As the deadline for the FAFSA looms closer, now is the time to take action to avoid the potential burden of overwhelming debt. But for those who find themselves grappling with student loan debt already, refinancing offers a lifeline to financial freedom. -
If you’re burdened by student loan debt, life after college can seem overwhelming, but reducing your monthly payments and freeing up room in your budget can help you allocate more funds toward investing, saving, and achieving your long-term financial goals. If you're ready to take control of your student loan debt and embark on the path to financial freedom, reach out to us today. Our team is here to help you explore refinancing options tailored to your needs and goals.
Are you ready to take control of your student loan debt and work towards a brighter financial future? Let us help you choose the path that aligns with your long-term financial goals. Connect with the Alt Lending team at (844) ALT-LEND (258-5363) to get started!