Does one have to?

Question

have a cosigner if they r getting FAFSA? Im 19, and up until about a week ago, i've been a dependent, now im independent & would like to go back to school in Spring. Will they let me take out loans that will cover all costs including books & let me pay it all back after i graduate? Or will i have to take out multiple loans besides FAFSA? & what about a cosigner? i don't have one. Any help will be appreciated, thank you.

Answer 1

Well, i'm not quite sure...but you can apply for FAFSA and get loans also i think. But FAFSA is where the gov't offers to help pay for the school-and you don't pay back. If you get LOANS, you can pay back after you graduate...by getting a job or you know....but, FAFSA offers the money. You might not get as much as you need...it depends on what they think.....that's what i've been told. But you will get some money. Hope that helps. Good Luck!

Answer 2

Depending on what school you are going to and that state that you live in, all federal money may cover your expenses for school. You do not need a cosigner for federal loans. If you need more funding after that, the best thing for you to do would be to ask your parents to apply for a PLUS(parent loan for undergraduate student) loan. If they won't, then you will need to apply for a private loan. With private loans, they will do a credit check, and if you do not meet the financial requirements, which you probably won't since you're only 19, then you would need a cosigner. A cosigner could be any that you know that would be willing to sign for you. The only thing is that if you do not pay the loan, they are just as liable as you are. If you're credit reported or receiving collection calls, they would also. If you've already received your award letter and it will not cover all of your costs for you, you can always transfer to a cheaper school and still receive your funding.

Answer 3

Okay, hang on - you're really confused about a couple of things - let's see if we can get you straightened out...

1. You don't need a cosigner for the FAFSA. The FAFSA is your application for federal student aid - programs like the Pell Grant, the FSEOG grant, work-study, and Stafford and Perkins loans. One of the many great things about the Stafford and Perkins loans is that they do not require a cosigner - in fact, neither of them requires a credit check of any kind. It doesn't matter if you have good, bad, or no credit at all, you will still qualify for the Stafford and Perkins loans unless you're in default on previous federal loans

2. I'm not sure how you're using the term "independent", but in the case of federal financial aid, it doesn't mean what you think it does.

You are an independent student for federal financial aid purposes if and ONLY IF you are either:

Born before January 1, 1985

Married (but not divorced)

Providing more than 50% of the financial support for your child or children

Providing more than 50% of the financial support for a non-child dependent who lives in your home

An orphan, declared a ward of the court before your 18th birthday

A veteran of the US military

An active duty member of the US military

Those are the ONLY criteria for determining your dependency status.

You are NOT considered independent if you are "financially independent". It doesn't matter if your parents won't give you money, it doesn't matter if your parents take you (or don't take you) as a dependent on their tax return, and it doesn't matter if your parents won't provide information for your FAFSA application or give you money for college.

If anyone tells you that you can appeal to your financial aid office and tell them that your parents aren't giving you money, then they are wrong. The financial aid office has no discretion to change your dependency status on the basis of parental support.

3. Depending on the financial need (as determined by your FAFSA),  your financial aid office will evaluate what types of financial aid you are eligible for. Very few students receive sufficient governmental aid to cover their entire cost of education. There just is not enough money to go around for everyone who needs it.

You may qualify for as much as $4731 in Pell grants, you may be awarded an FSEOG grant, you may receive work-study, but you will be given the opportunity to borrow with a Stafford or Perkins loan. The maximum amount of Stafford you can borrow each year is determined by your year-in-school - freshmen can borrow up to $5500 this year, sophomores and more advanced students can borrow a little more.

If the cost of your education is a concern for you (and it is for almost everyone) you need to keep your financial aid eligibility in mind. $5500 towards the cost of an education at your local state school or community college is a big deal, but $5500 towards the cost of an education at an expensive, private university is a drop in the bucket.

If your federal financial aid award leaves you short, there are alternative private lenders who can help you make up the difference - that's called your 'financial aid gap'. Be VERY cautious about borrowing from private lenders, because private lending is FAR more expensive than borrowing from the government. If you do need to go in that direction, focus on the major lenders - names you know. Don't be tempted to check out the "deals" that are being offered by the dubious 'lenders' that promote their "incredible deals" in the answers to these Yahoo! questions.

Start by checking out the booklet that I've attached below. It's a US Department of Education pamphlet that explains just about anything you could want to know about the federal student aid system - and there's also stuff in there about how some of the alternative programs work, too.

I hope all this helped you - good luck!