FAP558: Simple money saving tips, non traditional scholarships, redlining, Natalie Brown

Student Financial Aid News
+ Inside Higher Ed: A major study released Monday by the University of California suggests that high school grades may be good at predicting not only first-year college performance, as commonly believed, but performance throughout four undergraduate years. The same study suggests that the SAT adds little predictive value to admissions decisions and is hindered by a high link between SAT scores and socioeconomic status — a link not present for high school grades.
+ And further, the study finds that all of the information admissions officers currently have is of limited value, and accounts for only 30 percent of the grade variance in colleges — leaving 70 percent of the variance unexplained.
+ Points to reputation and portfolio as potential offsets
+ Andrew Cuomo, attorney general of New York State, sent a letter to Congress Monday describing his concern over redlining-type practices by “a significant number of lenders” in the student loan industry, The New York Times reported. In this case, he said that some lenders — whom he did not name — are setting interest rates on private loans on a college-by-college basis, based on default rates. As a result, students whose personal situations make them good credit risks may be punished with a high interest rate because of the college they attend. Some bankers told the Times it was appropriate for them to consider factors such as a college’s default rate.
+ There actually is a reason behind that – a fair number of college students don’t have much in the way of credit history, so a lender may use predictive analytics to score a college rather than the student
+ It all comes down to statistics – and what you can or cannot analyze. It is illegal to analyze based on a student’s religion, race, or other discriminatory factor, so you need to do data analysis on the aggregate
+ The Student Loan Network does not use any college-based analytics or use discriminatory practices to set interest rates for students for our private student loans at PrivateStudentLoans.com

Scholarship Update
+ MWSU Non-traditional Student Scholarships
+ The deadline for most scholarships is March 1st of each year, unless noted otherwise. Scholarships listed with a priority deadline will continue to be awarded after March 1st as funds are available.
+ All recipients of Western Scholarships must complete the FAFSA.
+ Applicants must be enrolled in a minimum of 12 credit hours to receive Western scholarships, unless noted otherwise in the scholarship description.
+ Students receiving more than $2,500 per semester in Western Scholarships are required to live in the residence halls. Western scholarships will be reduced to a maximum of $2,500 per semester for students choosing to live off-campus.
+ Western Scholarships may be reduced or cancelled if the total awards (from all sources) exceed the student’s Cost of Attendance Budget.
+ Scholarships will be awarded annually as funding from endowments is available.
+ Details at our free college scholarship search site

Financial Hacks
+ Simple money saving tips you can do today
+ Hang up your laundry rather than pump quarters into a machine
+ Take a shower with your slumming clothes
+ Sell unnecessary stuff on Craigslist
+ Inflate car tires to maximum air pressure
+ Go generic on just about everything you can
+ Create a yellow tag menu for cooking at home
+ College-style cooking doesn’t have to be mac & cheese or Top Ramen
+ Starch and carbs as a foundation
+ Fresh vegetables that are yellow tagged
+ Basic spices – salt, black pepper, sugar, chili sauce, lemon juice, garlic, butter
+ Make your own damn coffee

Podsafe Music
+ Natalie Brown, Run Away
+ Music via the Podsafe Music Network

Reminders

+ Private student loans
+ Stafford loans | Other federal student loans
+ Student loan consolidation at StudentLoanConsolidator.com
+ FAFSA tutorials and free help
+ Financial Aid Podcast Show Notes at FinancialAidNews.com.
+ The Financial Aid Podcast is a publication of the Student Loan Network.

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