The global economy is in a state of change. In 2022, the power of the digital dollar will tip the scales in favor of the online shopper, the app-driven marketer, and the collaborative consumer – the new guard of customers who expect to control their own data rather than rely on traditional mass media channels to attract and retain clients.
Alongside this change, the average university student will graduate with more than $100,000 in student loans. For a middle-class household, this can be a heavy burden, and for an already struggling family, it may be too much.
The good news is, the U.S. government has you covered. With the launch of the Free Application for Federal Student Aid (FAFSA) in October 2019, the government has rolled out a series of relief programs to ease the financial burden for students and families.
Why Is The FAFSA Coming At A Good Time?
The FAFSA is a form the U.S. government requires you to fill out in order to apply for federal student loans. The deadline for the FAFSA is March 15 each year. However, the good news is you can start submitting applications as soon as October 1 each year.
This is a good time to apply for student loans. The economy may be struggling, but federal student loans are still reasonably priced and available. In the next section, we will discuss how to use the FAFSA to your advantage and what options are available to you.
What Can I Use The FAFSA For?
The FAFSA is primarily used to determine your eligibility for student loan subsidies and grants. However, you can use the application to determine your eligibility for many other financial aid programs as well. Here are just a few of the programs the FAFSA can help you with:
The FAFSA can help you find a work-study position at a higher education institution. A work-study program provides you with part-time work while you attend school. The income you earn is typically used to help you pay for your education. Work-study positions are fairly easy to get and can be a great way to gain work experience while you’re earning your degree.
Federal Perkins Loans
A popular federal student loan program, the Perkins Loan provides money for students who meet certain criteria. The loan is designed to help students who demonstrate a high degree of financial need. Eligible students may receive up to $16,000 per year for tuition and living expenses. However, the good thing about the Perkin’s Loan is that like the Work Study program, it provides you with money to help you with tuition and living expenses while you’re attending school.
Student Loans Forgivable
In 2022, the U.S. government will be offering $10,000 student loan forgiveness for Public Service and $5,000 loan forgiveness for those in the Energy Efficiency and Green Technology fields. If you’re among the millions of Americans who qualify for these forgivable loans, you may be able to eliminate some of your student loan debt. While this may not seem like much, it can provide a lot of relief for those who qualify.
Graduate Plus Loans
If you’re currently in graduate school and are seeking additional financial assistance, you may be able to get a Graduate Plus Loan. The Graduate Plus Loan provides students with money for living expenses during their studies. Eligible students may receive up to $57,500 per year for tuition and living expenses. The bad thing about the Graduate Plus Loan is that like the Perkins Loan, it requires you to be in school and cannot be used for living expenses after you graduate. However, if you’re fortunate enough to be able to take advantage of this loan, it may be able to reduce your graduate school expenses by hundreds of dollars per month.
As you can see, the FAFSA can help you find money for all kinds of educational expenses. Whether you’re looking for a Work Study position, want to eliminate some of your student loan debt, or just want to know how much money you can get for educational expenses, the FAFSA can help you figure it out.
When Do I Have To Submit The FAFSA?
You have to file the FAFSA as soon as you know you’ll be attending school. In most cases, you will have to file the FAFSA every year you attend school. However, you can ask the school to give you an exemption if you’ve filed before and are still in school or if you’re a military veteran or your spouse is a veteran. Some schools also give you an exemption if you qualify for the Pell Grant.
If you’re hoping to get a specific student loan (such as the Perkins Loan), you will have to fill out the Free Application for Federal Student Aid (FAFSA) in order to apply. You can find out more information online at this link, https://studentaid.gov/fafsa/ or contact the United States Department of Education at 855-615-1336 or email [email protected] if you’d like to request an exemption for the FAFSA.