FAP796: When public schools cost more than private schools

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FAP796: When public schools cost more than private schools

13 May 2008 1 views No Comment

FAP796: When public schools cost more than private schools

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Student Financial Aid News
+ SignOnSanDiego: Ivy League and other elite colleges may soon be cheaper for some of the state’s top students than California’s public universities. The governing boards for the California State University and University of California systems will consider increasing fees tomorrow for the sixth time in seven years. The increases come as top-tier private universities such as Harvard, Stanford and the Massachusetts Institute of Technology are dangling unprecedented tuition breaks to low-and middle-income families.
+ Total of 17% increase in fees brings the UC system cost up to $24K/year – for a public university
+ A student from a middle income family might pay 100% of the UC fees but at the Ivies would pay… nothing. This will significantly impact the makeup and demographics of the UC system – basically, it becomes a second bench school, where wealthy but not academically talented students go, instead of an academic powerhouse
+ What does this mean for you? You need to very carefully research what colleges you will apply to – the old saw of public schools being cheaper than private schools may not apply any more
+ State university students may need to boost the amount they borrow – even with the new Stafford Loan limits announced for July 1, 2008, there will still be a gap that needs to be filled by scholarships and potentially private student loans

Scholarship Update
+ Bank of America ADA Scholarship
+ This scholarship is for disabled students within one of the 22 states that Bank or America is located. The award money is contingent upon each winner’s acceptance to, or continuation in, an accredited college, university, technical college or vocational training school in the Finance, Business or Computer Sciences Program.
+ The award money will be applied to tuition, room and board, books, fees, and other related educational expenses. In addition, funds may be allocated for expenses directly related to a student’s disability. Scholarships will be awarded in an amount up to $5,000 annually. No checks will be issued without a copy of the recipient’s transcript with grades and a cumulative GPA posted through the latest fall semester. CSA will contact the college to have enrollment certified. However, if the college fails to certify enrollment it will be the responsibility of the recipient to provide CSA with a copy of their bill.
+ All information must contain the name of the college, the name of the student and the social security number of the student. Checks will be issued directly to the college upon receipt of the required information. The award amount will be divided equally between semesters/quarters. Unused funds will be returned to the Bank of America ADA Scholarship Program.
+ Details at our free college scholarship search site
+ At the end of this month, we’re giving away the GradLoans.com $1,000 scholarship. If you want a shot at it, register today for free.

Mail Bag
+ Vanessa writes in: We keep hearing about the need to give students a choice about the lender, why are so many colleges feeling justified in going to Direct Lending? Where is the choice in that?
+ There is no choice in Direct Lending. You have one and only one lender choice, and that’s the Department of Education. If you want additional choice, you pretty much have to go to a different school.
+ Annie wrote in: My dad past away in August 2007 and my mom is having a terrible time trying to keep things going. It’s three of us in college. My dad was the sole provider but now he’s not there to help. What do you recommend my mom do at this point. My balance for this end of semester is 3000.00 and we need some subjestion on what to do.
+ Talk to your school’s financial aid officer right away. At the very least, the school can probably work out a payment plan for you, and present you with remaining options for financial aid. Grab a copy of our scholarship eBook and start applying for scholarships everywhere – if you earn over the cost of education for the coming year, you can apply excess scholarship funds to loans you’ve already taken you.
+ Also ask for a professional judgement override on future income

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