Individual Financial Concerns Report

Individual Financial Concerns Report

Introduction

It is a wise idea to study in the community college for most of the students and their parents before taking admission in college for four year program. By doing so they not only save significant amount on educational costs such as tuitions cost and it also includes transportation, board and room cost (Townsend & Twombly, 2001). There are various types of financial aids that are available to community college students which are discussed in later discussion.

Discussion

In United States, Federal Student Aid (FSA) is a part of U.S. Department of Education which is the major student financial aid provider in the United States. There are 1,200 employees who serve the department with dedication in providing financial assistance to the mind who is dedicated by providing them financial aid of more than $150 billion in federal grants, work-study funds, and loans to more than 15 million students. FSA is responsible for maintaining and organizing financial assistance programs which are authorized under Title IV of the Higher Education Act of 1965. Programs referred under Title IV are related to loans, work-study funds and grants for attending career school or colleges (Federal Student Aid, 2013).

There are various types of financial aids available for the college students. It is to mention here that theses aids are provided from various sources which could be: aids received from U.S. Federal Government; the financial aid is provided from the state where you live in; it could be provided from the school or college you attend; and some aid is provided from private or nonprofit organizations (Smart, 2010).

Financial aid provided by Federal includes grants, loan and work-study program. Grants are referred to the financial aids which are not meant to repay to the aid provider except some scenarios such as a person withdraw from the studies or he or she owes a refund. Loans as depicted by the word refers to the financial aids that student have to repay after some time including its interest. Loans are borrowed money by the student to complete his/her career school or college education. In the end, work-study programs are related to the work program along with education in which student earns money to help him in paying his educational expenses.

Scholarships and grants are free money and these are also sometimes called as “gift aid” due to its nature as these scholarships and grants are not required to repay. Mostly the aid which is based on need is referred as grant and on the other side financial aid which is given to students based on his merit is called scholarship. The source of scholarship and grants are all four which are described above. As discussed above, there are some scenarios in which some grants need to be repaid in certain conditions. For instance, if student withdrawn from school prior to completion of his educational period such as semester. There are various grants that are offered by Department of Education which are offered to ...