Company Encourages College-Bound Students to Make Their Resolution to
Complete Their Financial Aid Application Early
RESTON, Va., Dec. 18 /PRNewswire/ -- Jan. 1 is the first day that
students planning to attend college next fall may submit the Free
Application for Federal Student Aid (FAFSA) and begin the financial aid
application process. Sallie Mae, the nation's leading saving- and
paying-for-college company, advises students and families to submit their
FAFSA early to reduce the amount they spend out of pocket to pay for
college.
(Logo: http://www.newscom.com/cgi-bin/prnh/20030617/SLMLOGO-a )
The federal government, state governments and higher education
institutions each award financial aid - which includes need- and non-need-
based grants, scholarships, work-study and student loans - to students and
rely on the student's FAFSA information when making award determinations.
By submitting the FAFSA before the earlier of state and institution
deadlines, students maximize their chances of receiving all of the gift aid
- financial aid that does not have to be repaid, such as grants and
scholarships - to which they are entitled. Last year, approximately $150
billion in college financial aid was awarded, with grants comprising 43
percent of that total.
"While nearly eight out of 10 full-time undergraduates receive some
form of financial aid, there are millions of students who are missing out
entirely because they are not completing the FAFSA," said Martha Holler,
spokeswoman for Sallie Mae. "Don't pay more for college than you have to.
Make it your resolution to complete the FAFSA, and let financial aid pick
up some of your college tab."
Sallie Mae advises students and families who are looking to cover the
cost of higher education first to determine what they can contribute from
college savings and current income, and then to follow its 1-2-3 approach
to paying for college. And that begins with completing the financial aid
application, the Free Application for Federal Student Aid (FAFSA).
Students and their parents can complete the application on the Web in
as little as an hour or two gathering relevant documents and information,
including Social Security Number or alien registration card, driver's
license, latest federal income tax return, W-2 forms, bank statements and
investment information, before going online to http://www.fafsa.ed.gov to complete
the application.
Students need to submit a FAFSA every year they are in college.
Students who are already attending college and who submitted the FAFSA last
year may submit a Renewal FAFSA after Jan. 1. The Renewal FAFSA form is
streamlined to reduce the number of questions the student must complete,
and many answers are pre-populated with information from the student's
previous FAFSA.
Sallie Mae supports proposals in Congress to simplify the FAFSA and to
make it quicker and easier for students and parents to apply for financial
aid for college. "Efforts to simplify the FAFSA will help many families,
especially those with first-generation college students who have never been
through the process," said Holler. "In the meantime, every family should
know that free help and resources are available."
Sallie Mae advises students and parents to use the following 1-2-3
approach when saving for college via tax-advantaged 529 savings plans (such
as http://www.Upromise.com) and using interest-free tuition payment plans (such as
http://www.TuitionPay.com) are not enough to cover the full cost of a college or
university degree:
1. Find free money first. Apply for financial aid that does not have to be
repaid, such as scholarships and grants, by completing the FAFSA.
2. Exhaust federal student loans. Consider borrowing under the federally
subsidized student loan programs, which provide the most consumer-
friendly loan rates, benefits, and repayment options for students and
parents. Parents and graduate/professional students can borrow up to
the cost of attendance under the Parent PLUS and Graduate PLUS
programs, respectively.
3. Use private student loans as a last resort, and only to fill any
remaining funding gap.
Sallie Mae's award-winning CollegeAnswer.com Web site has free tools
and information to simplify the application process and help families
navigate the financial aid process. Resources include sample FAFSAs in both
English and Spanish, a list of state financial aid deadlines and a
three-minute FAFSA podcast which can be downloaded to an MP3 player or
computer. CollegeAnswer.com also contains the largest free online
scholarship database, containing more than 2.8 million scholarships worth
over $16 billion. Visit http://www.CollegeAnswer.com/fafsa for more information.
SLM Corporation (NYSE: SLM), commonly known as Sallie Mae, is the
nation's leading provider of saving- and paying-for-college programs. The
company manages $160 billion in education loans and serves nearly 10
million student and parent customers. Through its Upromise affiliates, the
company also manages $19 billion in 529 college-savings plans, and 8
million members have joined Upromise to help save for college with rewards
on purchases at nearly 70,000 places. Sallie Mae and its subsidiaries offer
debt management services as well as business and technical products to a
range of business clients, including higher education institutions, student
loan guarantors and state and federal agencies. More information is
available at http://www.salliemae.com. SLM Corporation and its subsidiaries are
not sponsored by or agencies of the United States of America.
SOURCE Sallie Mae
 back to top
Related links:
http://www.salliemae.com
http://www.fafsa.ed.gov
Photo Notes:
NewsCom: http://www.newscom.com/cgi-bin/prnh/20030617/SLMLOGO-a
AP Archive: http://photoarchive.ap.org
PRN Photo Desk, photodesk@prnewswire.com
http://www.prnewswire.com/comp/827187.html/
CONTACT:
Media, Erica Eriksdotter, +1-703-984-5628,
Erica.Eriksdotter@SallieMae.com, or Martha Holler,
+1-703-984-5178, Martha.Holler@SallieMae.com, both of Sallie Mae
|
