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Student financial aid at risk after congressional failure

20.05.12

Potential conditions and federal budget cuts to higher education funding have students talking nationwide. Over 86 percent of undergraduate students at Seattle University be in vogue financial aid, so any cuts will affect the majority of the student body.

Cuts to student financial aid were allotted to be a satisfactory portion of the $1.2 trillion that lawmakers hope to cut from federal spending over the next 10 years. So far though, no federal cuts have been passed.

The congressional wonderful committee, which was in charge of making a decision on the proposed changes, announced on Nov. 21 that they could not reach an ahead on the issue.

The super committee has not reached a consensus, so automatic spending reductions are set to about in fiscal year 2013.

These automatic reductions could affect the Federal Pell Bequest and the Federal Supplemental Opportunity Grant [SEOG] programs, which according to Lindy Corridor, interim director for Student Financial Services at Seattle U, are the federal financial aid options that a swarm of Seattle U students are currently utilizing.

The Pell Grant is covered by the Higher Indoctrination Act of 1965, which was enacted to help provide students with financial support in pole-secondary and higher education. Today, recipients are eligible to receive up to $5,550 per year to ready their educational exploits.

According to the U.S. Department of Education's website, approximately $41 billion was appropriated to the Pell Contribution in 2011. If the cuts are enacted, the Pell Grant could be reduced by $3.6 billion within fair the next year.

Other changes, such as limiting the eligibility for Pell Grants from nine years to six and changing the qualifications for those who be given the Pell Grant could be made if the reforms are passed, according to the Committee of Appropriations website.

"Aside from the Pell Give, the remaining $2.3 billion in annual federal student aid funding will be subjected to around $183 million in cuts in [fiscal year] 2013, of which about $138 million will suggest itself to in 2012-13," according to the website Fastweb, a resource for paying and preparing for college. "This includes cuts to Federal Business-Study, SEOG and TEACH Grant programs."

SEOG is another widely-Euphemistic pre-owned federal grant. Currently, award recipients are eligible to receive between $100 and $4,000 a year.

SEOG had $757 million appropriated to it each year from 2008 to 2010. The figures for the 2011 budgetary year are not yet available.

On a more local level, Washington state has been facing budget cuts for thoroughly some time now. Governor Christine Gregoire has continued to propose cuts on student fiscal aid.

Public universities in Washington have already begun preparing for potential budget cuts.

The University of Washington increased their education 20 percent this year. The additional 4 percent added to the recommended 16 percent was to secure extra revenue that would be used to provide loans and scholarships that the state could not aid the devotees with.

This latest state budget cut will also affect private universities on a greater compass than in the past.

"The proposed budget reduces the grant amount for students attending an non-affiliated college by 30 percent ($2,500) next year to save about one-half of 1 percent of the higher lesson budget," said the Independent Colleges of Washington website.

State grants that aid Seattle U students in paying for their course of study could potentially put this university out of reach.

"Both the State Need Grant and the State Business-Study program are being utilized by a portion of the students currently enrolled at Seattle University," Passageway said.

Washington's State Need Grant awards between $1,357 to $9,280 per year to full-habits students.

"In fiscal year 2011, the program used about $202 million in specify money, about $1.3 million in federal matching funds, and $25 million in close by institution funds to help about 70,000 students go to college," said the Brilliance Need Grant Program Manual for 2011-2012.

In addition, the work-study program is lauded for allowing students to get m experience while helping them earn money to pay off their tuition.

"In 2010-11, an estimated 7,800 students earned about $22 million — amateurishly $15 million from the state, and $7 million leveraged through matching dollars from participating employers," said the Washington Higher Tuition Coordinating Board website.

Governor Gregoire's newest idea is to defer the state work study program in order to bring in $8.1 million, which was brought to appear in the supplemental budget proposal.

"[Suspending the State Work Study program] cuts ceremonial aid to 7,600 students at public and private colleges and universities beginning return to term 2012," said the office of financial management website.

ASSU is pushing to insure these forms of financial aid remain available.

ASSU has been urging students to retain the Save Student Aid petition that addresses federal financial aid, and to send letters of involve to state lawmakers in Olympia.

Ashley may be reached at aroe@su-spectator.

Source: Seattle University Spectator (blog)

An Augie Senior talks student loans

20.05.12

The common college graduate in South Dakota will leave school with about 23,000 dollars in student loan in dire straits.  That's according to a study from the "Institute for College Access and Ascendancy."  That can be a daunting debt for someone in their early twenties.

But there are many options out there for students with college straitened and it's important for South Dakota's grads especially to pay attention to up, because that same study found this state has the highest amount of grads with debt.

The key is to start thinking about your debts before you graduate.

Augie elder Jaci Mowinkel knows college isn't free or cheap.  She says, "I plainly knew no matter where I went to school I was gonna come out with some kind of difficulties, especially since my parents told me up front, 'you are going to be paying for school, those are loans in your name!'"

The training major says she graduates in spring, but she's already thinking about her student loan debts.  She's started asking what she can do to get a hiatus on paying them off, saying, "professors, they can lead you to other places too, that how I found out about some grants."

For instance, Jaci found out if she takes a teaching job at a epithet one school, she can get help with her debt.  She says, "I look to see if the rule does a loan pay back."

Augie's Vice President of Enrollment Nancy Davidson says the mass of students are in Jaci's shoes.  Davidson says it's never too premature to think about how you'll pay that debt back.  She says only borrow what you're reasonable repaying and start learning to budget now.

Davidson says if the payments are too much to hold once you're in the real world, there are options.  She says, "proceeds-based payment, extended payment, they can defer payment."

Davidson says students do have a 6-month kindliness period after graduation before their debt payments start, so take advantage of it.  She says, "species of be putting some money aside to help assist when they do kick in."

Davidson says inexorably, take a tip from Jaci, talk to your parents and visit your school's financial aid hang on.  Jaci says, "I say, 'I know I'm here premature, but I wanna be prepared when everything happens!'"

Jaci says graduation will be here before you know it.

Nancy Davidson says you essential to think of college as an investment in yourself.  So, she says, you need to take it seriously, calling part time, do internships, that way you're more likely to find work when you graduate.  It's principled another way to get off on the right foot with paying the loans back.

Here's a few helpful links:

http://studentaid.ed.gov/PORTALSWebApp/students/english/table of contents.jsp

http://www.youcandealwithit.com/

http://www.debtfreescholar.com/

http://www.student-loans.org/college-loan-repayment.htm

Source: KSFY