Donna’s Monthly to Do List - June

Newly admitted college students should be finalizing their financial aid plans. You should have completed the FAFSA and have researched all of the loan options. Have you met someone in Financial Aid who can answer your question and doesn’t just send you to apply on line? Part of your financial aid package is a loan. What kind of loan is it? Is it subsidized or not subsidized? Educate yourself about this. What are the backend borrower benefits? Some loans have origination and guarantee fees, are you responsible for them? Do you know that you don’t have to use the college’s lender? The law says you can get those loans anywhere, so shop around. If you know you need a loan, first take advantage federally guaranteed loans; they have the most competitive interest rates. If you need additional loans, you may be eligible for PLUS or Private/Alternative loans. Be aware that they require a credit check (both) and cosigner (privates) Private loans are more expensive, the rates bare variable and dependent on your credit history. So shop around. The rule is: The better your credit, the lower the rate. Remember, these loans will pile up quickly so borro0w as little as possible. Now is a good time to learn how to live on less. You’ll appreciate it once you start repaying them.

For those of you still in high school, start thinking about how you can get the most out of your summer vacation. You should consider pursuing a variety of activities that will feed your mind and refresh your body. Starting with your school, research opportunities to attend a summer program, travel abroad, or participate in work/study internships. Looking for a job? Are there opportunities to work in a field you’re interested in? Seek out adults in your community who can mentor you, introduce you to new ideas and interests. Although making money is always a plus, there are loads of volunteer opportunities that provide you with early career exposure, mentoring relationships and real experience. Sometimes these positions lead to paid positions in subsequent years. Working at McDonalds? Try to start saving some of your money to pay for college. It is a lot easier to work during the summer than during the school year, especially if you are taking a challenging course load. Ask at your school for special programs and school sponsored activities you can take advantage of. You don’t have to have a lot of money to participate in some of the State sponsored preparatory programs available.