Tips for Working with Your Financial Aid Office to Meet College Costs

Des Moines, IA., May 5, 2009 - In today's economy, with savings and investments dwindling, and concerns about job loss growing, many Iowa families find themselves questioning whether they can afford a college education.

"Even in a tough economy there are many ways to meet college costs," explains Karen Misjak, executive director of the Iowa College Student Aid Commission (Iowa College Aid). Misjak advises that financial need can be met through a combination of federal, state and institutional grants; scholarships from numerous sources; college savings plans and other family savings; student and parent loans; and student employment. "The financial aid package prepared by the college to meet your specific needs will help you determine the best financial aid strategies to meet any unmet need."

Many families become concerned when they see their Expected Family Contribution (EFC). The EFC represents the amount of money a family can reasonably be expected to contribute toward college costs for the year. The U.S. Department of Education uses information provided on the Free Application for Federal Student Aid (FAFSA) to calculate a family's EFC. Variables which determine the EFC include income and net worth for students and parents, family size, age of older parent, state and federal taxes, and number of family members attending college.

Families should not be discouraged by their EFC. "College officials understand that it is not realistic for most families to pay the full EFC from out-of-pocket funds," explains Misjak. "Many families choose to replace a portion of their EFC through low-cost federal parent and/or student loans. Students also can continue to search for outside scholarship sources."

A change in a family's financial situation, such as a job loss or decrease in income, can be taken into consideration when determining financial aid eligibility. "If the information provided on the student's

FAFSA does not reflect a recent loss of income, families should contact their financial aid office," Misjak advises. "In these cases, the projected income for the upcoming year may be considered. Families should discuss the situation with the financial aid office right away."

In addition, Misjak offers the following tips to help families work with their college financial aid office:

• Use a calendar to make sure you do not miss any important deadlines.
• Keep copies of all application forms and everything you used to complete them.
• Keep a log of the people you talk to in the financial aid office as well as when you talk to them.
• Respond promptly to any additional requests from the financial aid office.
• Call ahead to make an appointment to make sure someone will be available.
• Arrive to scheduled appointments on time and call ahead if you need to cancel.
• Don't hesitate to ask questions. The financial aid office will work to help you find solutions to pay college costs.

About the Iowa College Student Aid Commission
As the state's designated guaranty agency for the Family Federal Education Loan Program (FFELP), Iowa College Aid guarantees more than $696 million annually in student loans from private lenders to support over 77,000 Iowa students and parents.. In addition, Iowa College Aid administers state scholarship, grant, and loan forgiveness programs totaling over $69.5 million, provides borrowers with assistance to avoid the serious consequences of default, conducts research and distributes higher education data, and offers Iowans assistance in obtaining student financial aid and college-related information. More information is available at www.IowaCollegeAid.gov.

Posted 05/06/09 to www.NASFAA.org. Posting of press releases is done as a service to Members and does not imply endorsement or support by NASFAA. NASFAA does not review this information for content or accuracy.