Money For College

So this is a topic that a lot of people encounter when looking into going to college for the first [or second] time.  This is especially true in the current state our economy is in.

Money.

For college, no matter what people told you growing up, having a dream and wanting to do it is not going to happen without the appropriate funds.  It sucks and at times it's not fair but in order to go to college, you're going to need lots of moo-la.

As a person that wanted to go to college no matter what, I know how strong the urge can be.  Being a person that was told from day one of my senior year in high school that I was on my own for college, I know the overwhelming feeling you get when dealing with these problems.

I've compiled a list of ideas that I wish to share with you in hopes to helping you out financially.

1:  Scholarships are never a bad idea.

 

The first thing you should do [and this should be REALLY early in your senior year or even the end of your junior year] is to start looking at scholarships.  Ask your counselor and they'll usually give you a list of available scholarships that are being offered in your area.  What's really great about this is that if you get early, some counselors will actually hold off specific ones for you or recommend you for ones.  Also, your school counselors are the BEST people when it comes to feeling out scholarships.

Another thing to do is to establish an account with http://www.fastweb.com/ .  At this website, you create a profile through a survey of sorts and then they'll actually make a list of scholarships that best suit you.  You can even make it to send you e-mails and weekly updates about scholarships.  The thing about this is that you'll need to check it at least once a week so you wont fall behind.

Also, look into websites that your state has for scholarships or college [like Georgia's being http://www.gacollege411.org/ ].  These sites are more specific to your area and can also help you when it comes to questions about your state's federal programs for students.

2:  The Feds can actually be helpful!

FILL OUT YOUR FAFSA!

Sorry.  I had to get that point across right now.  Scholarships are nice but it's hard work for some.  The best thing to do is to fill out your FAFSA as soon as possible [http://www.fafsa.ed.gov/].  Sit down with your parents one day and get it all done.  And if you ever have to verify something, DO IT!

I push this because FAFSA is wonderful when you use it.  It complies all of the Federal grants, scholarships, and loans into one easily formed list.  By doing this, you can sometimes take care of all school related expenses, such as dorm, tuition, and fees, and you'll never have to take out a dreaded student loan!  If you're not completely covered with grants and scholarships, they usually off some pretty decent federal loans.

 3:  Get a job.

This one isn't fun but it helps.  Get a job early on in high school and stick with it.  Now do this:

1. Set up a bank account.  Bank of America has a nice student package that you can get at the age of 16 in some states.  It's free for four years and comes with checking and savings accounts. 
   
2. Make sure to have a savings account as well.
3. Set up DIRECT DEPOSIT with your work.  You'll need a routing number [usually in the form of a check].  Make sure you have one for BOTH accounts.
4. When setting up Direct Deposit, make at least 25% of your paycheck goes directly into your savings account.
5. DO NOT TOUCH your savings account EXCEPT for college related expenses like application fees, down payments, and, hopefully tuition.

If you work a decent amount of hours, you should have a good proportion of money in your savings when it's time to withdrawal.  I know when it was ready for my college time to come, I had a little over two thousand dollars ready for me, which was nice for all those application fees I had, not to mention all the fees that popped up randomly over the summer.

4: Borrow from the bank.

I ONLY recommend this as a last resort.  This is NOT the way you really want to borrow money but sometimes it's the only choice.  As a word of advice, you will want to do this at least four months before school starts.  This is due to the fact that sometimes banks are slow or don't believe you really exist, that you're going to school, or that you need as much as you say and will want everything short of your first born to verify with.  

So do it FOUR months or so before school starts, as a safety precaution, and take out as much as you'll need for BOTH semesters with just fees plus 1000 to 2000 more to account for books and personal spending.  If, before school starts, you no longer need it, you can just pay it back or cancel it if you set up right.

WARNING:  If you go on this plan, get one that you don't have to start paying on until AFTER college and, if possible, one that doesn't start acquiring interest until after it is disbursed to the school.  Most personal loans have an interest of 10% or higher so this can be very costly in the end. 

5: Sometimes, less is more.

As much as it may hurt at first, sometimes it is best to go to a small, community college for the first two years.  It's cheaper and you'll just be getting your core classes out of the way.  The only downside is that you should make sure all the credits will transfer so you wont be wasting your time.

Also, look in to AP classes or the like and take as many as you can.  Actually prepare for the test.  You have no idea how much money that really saves you in the long run.

And remember, if living at home is a reasonable option, take it.  Sometimes not paying for room and board is all you need.

6: FINAL WORD

I hope this helped some.  I know how difficult it is when you're first starting out but don't fret; by taking the right measurements before hand, you shall be fine.

Like always, questions and comments are more then welcomed.

Sincerely,

Ran