Page 3 - Allisons Newsletter, Lakewood Edge - Oct 2018 Issue

paying for college l

On the flip side, nearly 80 percent Ipsos research on how families pay for a responsibility to learn about the
by Steve Rosen of the students and parents correctly college. financial aid process so they can ask YOUR MONEY
M Why should we care about the right questions and make better
any families mistakenly answered the question that middle-
believe a college’s sticker income families are eligible for speaking the language of financial aid? choices on their college options.
“Applying for college and financial
price for tuition and room financial aid.
Confusion over jargon can lead to
and board is the actual amount they The results show that educating poor decisions and disastrous financial aid, especially for the first time,
must pay. There’s also confusion parents and incoming college students consequences, such as higher levels of throws families into a new world,
about work-study programs, interest with many terms and programs that
rates on student loans and the are unfamiliar,” said Rick Castellano,
meaning of a “tuition-free” education. SURVEY a spokesman for Sallie Mae.
That’s what researchers at market While Castellano said researchers
research firm Ipsos and Sallie Mae, “didn’t go so far as to ask families
the education financial services whether they were unclear about LAKEWOOD
company, found in a survey released SHOWS MANY what was in their financial aid
recently. package, the lack of understanding REAL ESTATE EDGE
They asked a nationally about work-study or how interest
Publisher
representative sample of more than rates work, for example, illustrates Allison Van Wig
1,900 undergraduate students as DON’T that may be the case.” CA BRE #00985700
well as parents of college undergrads Castellano said having a plan to
ages 18 to 24 a series of questions pay for college, being prepared and
designed to determine their starting early “can take some of the
understanding of some of the jargon mystery out of the process and help
that comes with making financial UNDERSTAND families avoid confusion.”
aid decisions. According to the survey, 41
The researchers found that percent of the respondents “agreed” 4435 E Village Rd
when asked if work-study funds or “strongly agreed” that they had a Long Beach, CA 90808
were automatically given to a COLLEGE strategy for paying for all the years
student, nearly half the participants of college. 562-882-1581
responded “yes.” There is nothing How can parents and would-be Allison@superbroker.com
automatic about it, and the college students get up to speed on www.SuperBroker.com
eligibility process starts with filling FINANCIAL terminology? Many high schools
out the FAFSA, the free application hold college nights in the fall where
for federal student aid. admissions representatives are on
More than 20 percent of families hand to answer questions. Take
surveyed had the impression that “free PROCESS advantage of these programs and pick
tuition” means that college is free. up the free materials that explain the
Tuition is just one piece of the total cost college selection and financial aid
of attending college, along with fees, process.
housing, textbooks and other costs. There are also ample financial
About 18 percent said they about the complexities of paying student-loan debt, not to mention aid resources online from Sallie 6427 Busch Blvd.,
thought the sticker price is the for college still has a ways to go. missed opportunities for scholarships, Mae, the College Board and other Columbus, OH 43229
877.872.3080
amount they will pay for college. A In particular, families of first-time grants and other forms of financial aid organizations. With the FAFSA filing www.DiscoverPubs.com
college’s sticker price is the full price college students, as well as black and that do not need to be repaid. season set to open in October, it’s
before financial aid and discounts Hispanic families scored worse on the It can easily be argued that college time to do your homework to get the Sudoku, Scrabble, Crossword
and articles distributed by
are applied. jargon questions than other families financial aid officers and college language down. n Tribune News Services and
Sallie Mae recommends focusing surveyed. counselors in the high school ranks Brandpoint where noted.
© Copyright 2018 by
on “net price,” which is the cost of The “How America Values College” could do a better job of demystifying ©2018 Tribune Content Agency. Discover Publications, Inc.
attendance after all financial aid is survey was conducted in the spring these complex financial decisions. Distributed by Tribune All rights reserved.
factored in. and is part of broader Sallie Mae- But students and parents also share Content Agency, LLC.
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