Help Families Get Financial Help for College

Written by Kathy Baugher

Many parents will be unable to afford their teen's college choice without incurring overwhelming debt. As part of your ministry to families, you can help them develop a plan for financing their education.

Jesus on Money: Book 2 – Making Mid-Course Corrections

You may not have the experience of financing a college education for your child, but you can help families discover the knowledge they need or connect them with resources in your community. Use the following six suggestions for families to help plan for financing a college education.

1. Work closely with the college counselor or guidance counselor at your teen's high school. Counselors are often the contact point for scholarships funded by colleges and local agencies. They can provide information about how to apply for federal and state financial aid.
2. Use the Internet to help you find resources to finance an education. Some of the most helpful sites include: www.wiredscholar.com; www.petersons.com; www.collegeboard.com; www.studentaid.ed.gov.
3. Beware of Internet sites that offer scholarships for a fee. Fee-based scholarship sites often channel information to you that is widely distributed free of charge.
4. During the student's senior year, file the FAFSA (Free Application for Federal Student Aid). File as close to January 1 as you can. Once the previous year's tax records are ready, you can complete the forms. Most financial aid from state and federal government sources and from colleges is awarded from the results of the FAFSA. Aid is awarded on the degree of need and on a first-come, first-served basis.
5. Consider applying for a student loan. Student loans are the most common vehicle used to finance college. To qualify for some loans, such as the Perkins loan or the Subsidized Stafford loan, need must be demonstrated on the FAFSA. Other types of loans, such as the Unsubsidized Stafford load and the Parent (PLUS) loan are awarded without demonstration of need. Low interest rates and deferred interest and principle payments make these loans attractive options for most families.
6. Consider work options for the student . College work study is a federally funded program available on most college campuses and is awarded based on demonstrated need through the FASA. Students work at jobs on campus and are paid an hourly wage. Money can be applied to educational or living expenses.

If you don't feel comfortable giving families advice about planning to finance a college education, enlist a financial planner or someone from a local university to come and share financial strategies with parents and students.

Kathy Baugher is Dean of Admissions at Belmont University in Nashville, TN.