What If I Make Too Much Money To Qualify For Loans?

There Are Many Various Financial Aid Packages

All too frequently, parents and or students believe that they have no choice but to pay every cent of tuition and fees, room and board, books, and all other college-related expenses, without any financial assistance from any other source.

They have been told (erroneously), heard, or thought that they could not qualify for any aid because they make too much money. There are various aid opportunities that are not based on financial need and are available to students regardless of their income.

There are many different kinds of financial aid. Just like there are many different kinds of students that desire to attend college according to the best fit for them.

Financial Aid Other Than Need Based

If you are not eligible for any need based aid, there are other types available. There are thousands of scholarships from private organizations and through schools that are given based on factors such as what high school you graduated from.

Also, whether you are left handed, your major or program of study, your ethnic background, gender, and of course your scores on college entrance exams and high school or previous college GPA.

You can apply for scholarships through your school and also for private scholarships as well. Some scholarships require you to write an essay, some just want an application. You can search for these on-line, at the library, or through your financial aid adviser.

Finding College Deals

In addition to thousands of college funding consultants around the country who can guide you through the maze of financial aid options, there are also other ways to identify college bargains.

BestCollegeDeals contains more than 4,000 unique and unknown college bargains, including often overlooked tuition breaks for academic merit, sibling discounts, first generation college student, and minority student scholarships.

A Word On Loans

Another way to fund your education is through student loans. Students of any economic background can take out unsubsidized loans. And parents can take a loan out to pay for their child’s education in their own name, which is called a PLUS loan. These loans are available to everyone and are based on creditworthiness.

A Little Help Coming Your Way

Parents can get college tuition tax breaks if you are paying the bills for your kids. Parents can deduct up to $4,000 of tuition expenses if their adjusted gross income is $130,000 or less ($65,000) for singles). If your income is between $130,000 and $160,000, there is a $2,000 deduction.

Also, you can claim the lifetime learning credit for 20 percent of up to $10,000 in tuition paid for college or graduate school. Or, for the freshman and sophomore years, there’s the HOPE credit. (I’ve always found this to be an interesting name!)

The HOPE credit can offset 100 percent of the first $1,100 of tuition and fees and 50 percent of the next $1,100, for a total credit of $1,650 per year. The complexity of the financial aid application process is intimidating for most people, regardless of income.

The key for high-income families or students is identifying possible funding sources and solutions for higher education. Staying focused, persistent and educated about emerging opportunities can do this.