Best Choices For Financing Your College Education

Many people will agree that a college education is an excellent way to secure your future.  Having a degree from a college or university enables to have a career that might otherwise be out of your reach.  One of the hardest things about going to college is finding financing.  A college education isn't cheap and someone has to pay for it.  It's up to you to figure out who that will be.

Scholarships

A scholarship is usually a merit-based award given by a college or foundation based on some type of criteria.  You don't have to be a star athlete or straight-A student to apply for college scholarship.  There are many scholarships rewarded based on community service, test scores, or other criteria.

The good thing about scholarships is that you don’t have to pay them back.  Some scholarships are one-time awards while others may be renewed each year.  Most scholarships with renewal ability require you to maintain a certain grade point average.  Otherwise, you are at risk of losing the scholarship.

Grants

Grants may be awarded by the government or by private organizations and institutions.  The major difference between grants and scholarships is that grants are usually given based on need or some other type of affiliation rather than scholastic achievement.  (There are some exceptions).

Most grants given by the government are based on financial need.  It must be determined that, based on your family income and cost of education, you cannot afford to pay for college.

Since there are a limited number of grants available, not everyone who qualifies will receive a grant.

Military funding

If you, your spouse, or your parents were/are active members of a branch of the military, you may be eligible for military funding for college.  Military funding, like scholarships and grants, does not have to be repaid.

Check with your commanding officer, or have your spouse or parent do so, to find out if you are eligible for military funding for your education and how you can use it.

College Fund

Your parents or another relative may have set up a college fund for you when you were younger.  A college fund is contributed to over the course of a few years and used when you make the decision to go to college.

The amount in your college fund may or may not cover all your educational expenses.  When it's not enough, you can use another source of funding to make up the difference.

Student loans

Borrowing is one of the final ways you can pay for your college education.  The major drawback of student loans versus other kinds of funding is that you have to pay back the loan once you graduate.  Many times the benefits of your education greatly outweigh the total cost of the loan, making it a viable way of financing your college education.