Perhaps your biggest concern about pursuing higher education - whether online or on-campus - is how you will pay for it. Fortunately, there are numerous options available to you.

Most students receive some form of financial aid to help pay for school. Financial aid may consist of scholarships, grants, loans, and participation in work-study programs. Tax credits and benefits for military personnel also aid in offsetting the cost of higher education. Additionally, private loans are available to make achieving your degree a reality. Loan consolidation can ease the burden of multiple loan payments by reducing costs and simplifying the payment process.

Education Connection makes it easy to compare the different types of federal student aid available. Read more below about ways to lower and cover the costs of degree programs, and make your dreams of furthering your career a reality.

Note: If you claim the Hope credit for a student, then you are not eligible to claim the Lifelong Learning credit for the same student.

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  • Grants and Scholarships
    Financial aid options that do not require repayment and work-study programs.
  • Tax Credits
    Receive credit on your taxes from the IRS if you qualify for these programs.
  • Federal Student Loans
    Numerous government loan programs designed to help pay for school.
  • Military Benefits
    Based upon your status, receive educational benefits provided by the government.
  • Private Student Loans
    Loans offered by private banks and financial institutions as an alternative funding source.
  • Loan Consolidation
    Enter repayment plans or consolidate debt to ease the burden of paying back loans.

 

Federal Student Aid Summary

The following is a summary of the U.S. Department of Education’s Federal Student Aid (FSA) programs. Check with your school to find out which programs your school participates in.

Federal Student Aid Program

Type Of Aid

Program Details

Maximum Award Amounts

Federal Pell Grant

Grant (not repaid)

Available almost exclusively to undergraduates students.

Annual - $5,550 (for calendar year July 1, 2010 to June 30, 2011)

Federal Supplemental Educational Opportunity Grant (FSEOG)

Grant (not repaid)

For undergraduate students with exceptional financial need.
Priority is given to Federal Pell Grant recipients.

Annual - $100-$4,000 depending on school funds availability

Federal Work-Study

Earned (not repaid)

For undergraduate and graduate students (not available to international students).
Student coordinates with school to find eligible employers.
Jobs can be on campus or off campus.
Students are paid at least minimum wage.

None

Federal Perkins Loan

Loan

Funds provided directly by and repaid to school.
Determined by financial need & fund availability.
Interest rate is five percent.

Annual - $5,500 undergraduate / $8,000 graduate & professional

Subsidized FFEL or Direct Stafford Loan

Loan

Interest paid by lender while student is in school or period of deferment. Available to all undergraduate or graduate students with financial need attending at least half-time.

Annual - $3,500-$8,500 depending on grade level

Unsubsidized FFEL or Direct Stafford Loan

Loan

Interest paid or accrued by borrower while student is in school or in grace or deferment period.
Available to all undergraduate or graduate students with financial need attending at least half-time.

Annual - $5,500-$20,500 (less any subsidized amounts received for the same year) depending on grade level

FFEL or Direct Parent PLUS Loan

Loan

Interest paid or accrued by borrower for length of loan.
Available to parents of dependent students (borrower must not have negative credit history).

Lifetime – Cost of attendance minus any other financial aid received