I'm a third yr. college student & was denied aid so I'm looking n2 alternative funding what exactly is that??

Question

I'm a third yr. college student at a 4 year university, I was recently denied financial assiastance due to academic progress to finish out the year I paid for tution out of my pocket, but I don't think I'll be able to do it the for the fall semester, so I was browsing on the internet for options, for students who were denied for finacial assistance to seek alternative funding I don't know exactly what that is will I need my parents for this or is this something I can do myself I'm only 20 so if loans are involved I'll probably need a cosigner which will involve my parents I was just wondering if anyone could really explain to me what alternative funding is, I mean will I still have to pay for my college education out of pocket until my g.p.a is back in good standing I will add that I passed all 12 credits last semester but I still have a ways to go to build my g.p.a so the letter I received still says, I was just wondering if anyone could explain this to me before I call my school.

Answer 1

You could go for scholarships or grants. www.fastweb.com will show you many scholarships you can apply for.

Then, as you mentioned, there are loans. Some require that a parent cosigns, but there are many student loans that do not require a cosigner. You should call the school regardless, they may be able to help you out in ways you didn't know about. I was turned down for a loan so I called the school and they gave me $2,000 more than they were already giving me.

Answer 2

alternative funding is like if you have a job, scholarships, grants, etc. some of which you already have.

Answer 3

usually if you've reached your max or not eligible for federal loans, your school may refer you to get private loans.  which most do need a cosigner, but because careful with  that.  cosigners are equally responsible for YOUR private loan.  not to mention they have variable interest rates that are crazy high, try talking to your school to see if they have any other alternative options.  if you accept a private loan READ your promissory note, PLEASE!!!!!  there are details about those loans you NEED to know prior to accepting and signing of the loan.  

Best of luck to you!

Answer 4

Your school has a Satisfactory Academic Progress policy that requires all students to maintain a certain grade point average and a certain amount of progress towards your degree requirements in order to remain eligible for federal financial aid (Stafford loans, Pell Grants, work-study, etc.).

Your school has no choice in the matter - every school that applies to participate in the federal financial aid program MUST establish a Satisfactory Academic Progress policy.

At this point, you have been academically suspended from financial aid eligibility. As you indicated in your question, you clearly understand that the only way to regain that eligibility is to get your cumulative GPA back above the 2.0 baseline that your school requires.

If you can not turn to the federal government for educational assistance right now, your other options are either to cut back (or possibly withdraw) from school so that you are able to pay your own expenses out-of-pocket, or to evaluate other, non-governmental forms of educational assistance.

There are fewer lenders offering student loans this year then there have traditionally been in years past, but there are still a number of well-known banks that are making "private" (which simply means non-governmental) student loans.

These private loans are more costly than governmental loans (higher interest rates, higher origination fees, variable rates that MAY increase significantly over the life of the loan), but the biggest difference is that private lenders only lend on the basis of credit worthiness. The lenders will only lend directly to students who have an unusually strong credit history and/or substantial income. Most college students don't have either, so most private lenders will require that the student apply with a cosigner who will guarantee payment of the loan.

In this case, your cosigner must be credit worthy. If they wouldn't qualify on their own, they're certainly not going to qualify as a cosigner for someone else.

I can not recommend any specific lender, but I can tell you who NOT to borrow from. Any of the people who post an answer to this question that try to direct you to their website. If you don't see them here, you'll see them all over the financial aid area of Yahoo! Answers. Look for "Hello everybody. So-and-so is the name...." or other answers written in bizarre stilted English.

Here are a few legitimate lenders to take a look at:

Wachovia, Campus Door, US Bank Gap Education Loan, Wells Fargo Collegiate Loan, and any major bank that you and your parents have a banking relationship with.

Whatever you do - get some reliable and responsible financial advice. It may not be in your best interest to borrow from private lenders - you might be better off working for a while, clearing your head, and putting some money of your own aside. You'll need to look at what it's going to cost you to pay for your schooling out-of-pocket, and consider the impact that years of student loan payments will have on your lifestyle.

I hope that helps - good luck to you.