Interpreting Your Financial Aid Just Got Easier

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Deciphering those college financial aid offers? This is the first year it’s going to be a little simpler, thanks to new regulations for financial aid letters. Time Money breaks down the new rules in an article this week:

  • All colleges will be required to use the same language to describe loans, grants and scholarships. This will help with differentiating between types of aid, and whether it needs to be paid back or not.
  • “the NASFAA rules give college officials the opportunity to distinguish between direct costs (money owed the college) and indirect costs (money students need to set aside for books, travel, etc.)”

But there are still confusions, according to experts:

  • “the new rules don’t require colleges to provide each student with a standard, easily comparable, net cost of attendance. The net cost is the total price of attendance (tuition, fees, room, board, books, travel, and other miscellaneous costs) minus only grants and scholarships.”
  • “But the experts warned that the code’s limited scope and voluntary nature meant that it would not guarantee all families would get all of the pricing information they need to choose the most affordable college, or to budget wisely.”

Want more information? Read the article here, or check out the new glossary of NASFAA terms on their page here.

Hughes College Prep has experts to help with scholarship applications, navigating your offers and applying to college. Make it all easier, and check us out.