Financial Aid Basics
Planning on attending a community college, a four-year public or independent university, or a private career college? If you do, apply for financial aid! While most colleges expect you and your family to contribute to your education, financial aid can help close the gap between your family’s resources and college costs.
Four Main Types of Financial Aid Available
1) Grants: Aid based on financial need and does not have to be repaid. Grants are available from the federal government, states, and individual colleges, as well. The Pell Grant is the main grant from the federal government, while the state of California offers Cal Grants to qualified students.
2) Scholarships: Free money for college that is usually based on merit or achievements (some are based on financial need or other requirements).
3) Loans: Borrowed funds that must be repaid with interest. Some loans are need-based, while others are available for all qualified students, regardless of income or assets. Loans are available for both students and parents.
4) Work-Study: Part-time employment, on or off campus, where students earn money for college and living expenses.
Financial aid will come to you in a ‘package’ consisting of some combination of the different types of aid available. The combination of aid offered depends on the availability of funds, your eligibility, the timeliness with which the application is process is completed, and your year in school.
