Education Finance: Where do you begin?

It seems easy enough. Just fill out a quick online survey, and you'll be linked to hundreds of companies and organizations offering college scholarships.

The reality is that most students obtain financial aid in the most traditional way: by filling out the FAFSA, or Free Application for Federal Student Aid. The FAFSA is the form the federal government uses to determine eligibility for grants, loans and work-study programs.

The FAFSA also determines your Expected Family Contribution (EFC). This is the amount that you and/or your family must contribute toward the cost of your education (including living expenses) for one year.

After your form is processed, you'll receive an award letter indicating how much and what types of aid you are eligible for. These may include federal or state grants, school scholarships, eligibility for work-study, or federal or private loans.

Types of Financial Aid Awards
Some types of financial aid, like grants or scholarships, don't have to be repaid. You may be offered a Federal Pell Grant or Federal Supplemental Opportunity Grant (SEOG) if you are eligible.

Scholarships are usually offered by the school or a private organization. For example, Wachovia Education Finance sponsors the Gimme Five^® Scholarship Sweepstakes which awards a high school senior with a $5,000 scholarship every quarter. These funds are applied to their first year expenses at an accredited college or trade school. Also, don't forget about Wachovia's DoubleTake^SM Sweepstakes in which students and schools can win joint $2,500 scholarships!

Federal work-study programs allow students to earn money on or off campus while in school to help cover educational expenses.

Government loans, such as the Federal Perkins Loan and Federal Stafford Loan for students and the Federal PLUS Loan for parents, are insured and regulated by the Department of Education, and offer low variable interest rates, and favorable repayment terms.

Private loans are for students who need more financing than federal aid programs can provide. Banks and other financial institutions offer private loans. Visit Wachovia's resource center www.educaid.com and get answers to your questions about financial aid.

Questions to Consider

If the college can't meet your total financial needs, can you earn money while at school or will you need a loan?
How much loan aid is offered? What are the terms and conditions?
Is work-study a realistic option for you?

Ready to get started? You'll find complete information about student grants, loans, scholarships and the FAFSA process at Wachovia Education Finance's education resource center www.educaid.com. You can also call us at 800-338-2243 or email us at customer_assistance@educaid.com.