In this guide, we will show you everything you need to know about how to accept fafsa loan, so keep reading!
Below you can find out 5 different methods to accept fafsa loan,
- Method 1 – How To Easily Complete Your Fafsa Loan Application (2019
- Method 2 – Viewing And Accepting Financial Aid
- Method 3 – Loan Entrance Counseling Continued
- Method 4 – How To Complete The Master Promissory & Entrance Counseling Forms Step-By-Step Guide For Fafsa Loans
- Method 5 – Accepting Federal Student Loans
Method 1 – How To Easily Complete Your Fafsa Loan Application (2019
Hey guys anthony here so this video guide is all about fafsa the free application for student aid its a. Form that will take about 30 minutes to complete and it should be your third step when it comes to. Financing your degree the first two should be looking for scholarships and grants because this money is not gonna be. Free the application itself is free but the money most definitely is not itll be used to determine if youre.
Eligible for federal student loans and if youre not youre gonna have to go through private lenders well thats not. Always bad news its not really great either because federal loans are much more regulated and you know exactly what. Terms youre going to get they can also be a little bit cheaper if youre here you probably know all. About that so lets just jump straight into the guide starting with step one and that is remembering the deadlines. The fafsa is due in june of the following year the current deadline is june 20th 2020 so if its.
Past that date you either missed the deadline or this video is super old ill try to keep the deadlines. Up to date in the description just in case you are hear from over a year in the future well. The deadline is in june you should try to do your best to submit your application as close to october. 1st as possible so you dont miss any state deadlines remember if you do miss the deadline youre stuck fending. For yourself in the private student loan world and that can cost you a lot of extra cash for that.
Reason the first step is to set a reminder for yourself about the deadline this is so important that we. Should do this now here ill do it with you on screen the next step is to get your documents. Together and which documents youll need will depend on your citizenship status and whether or not youre still classified as. A dependant to figure out which documents you need to take a look at this table if youre wondering whether. Or not youre classified as a dependent you are not alone the criteria for federal student loans are not the.
Same as the irs uses so take a look at these questions if you answer yes to any of these. Questions you are classified as an independent student ill show you this list later on and its also available down. Below this video in the description once youve got your documents and your dependency status its time to create a. Federal student loan id the link to do that is right here as well as down in the description this. Is just a standard form but if you classify it as a dependent your parents are going to need to.
Sign up to to provide all of their financial information if theyve already created one of these ids like for. One of your siblings they can just use that one so good luck to them in finding their old password. With the background stuff done lets actually jump into the application itself its a pretty straightforward form but im gonna. Walk you through it just so youre totally confident when you do finally fill this thing out start by heading. Over to the fafsa site and clicking on the free application link then signing in with the account that you.
Created earlier then select which form youd like to use you should select the 2019 to 2020 form if youre. Going to school anywhere from july 1st 2019 through june 30th 2020 next up create a save key so you. Can resume your application in case your computer disconnects from the internet or you just get bored once thats out. Of the way enter your demographic information so copy this exactly from your id card no nicknames allowed next up. You should select your schools and here you should choose every school that youve applied to only the school that.
Actually accepts you will finalize the loan process the rest will just ignore your application so by selecting all of. Your schools now it means you only need to fill out the fafsa one time you can select up to. 10 schools here now its time for that dependency status question if youre an independent youll move straight on to. Step 9 otherwise your parents will need to step in and fill in their information in the next step if. You are classified as a dependent get your parents to step in now and enter the information about their marriage.
And their social security numbers this will be used in step 9 to verify their finances and to determine if. Youre even eligible for federal student loans with that information out of the way youll head over to step 9. Which contains the irs data retrieval tool theyll use your social security number to verify your income so you dont. Need to submit any tax returns theyll actually pull it directly from the irs s website once thats done all. Thats left to do is sign the application and your fafsa is complete after its done a few things will.
Happen first youll get your student aid report which will just mirror back everything you submitted in your application you. Can use this to check if you made any errors and if you did you can just head right back. To the fafsa update it and save your application once you are accepted by a school and that school processes. The application theyll get back to you and tell you how much youre eligible to receive and funding if you. Arent eligible for enough money dont worry because there are other options i have some links in the description for.
Those and if you have any questions about this process hit me up in the comments im happy to help. You thanks for watching and good luck.
Method 2 – Viewing And Accepting Financial Aid
Note – This section will be updated soon.
Method 3 – Loan Entrance Counseling Continued
All right so were starting the webinar im logging in here at student loans this is the website that youre. Going to go to for any loan entrance counseling or master promissory notes as your first step which most of. You have done is in your students portal of the school that theyre going to be attending youre going to. Accept all of the financial aid and when you accept the financial aid including the loans when you accept the.
Loans in the portal it does not obligate you to those loans all it does is it tells the school. That youre interested in taking out these loans if you actually want these loans to be dispersed you will have. To take the step that were going to go over today which is the loan entrance counseling and the master. Promissory note which is all done on the governments website so student loans gov this is where youre going to. Navigate to so as im logging in im logging in as a student and parents when youre logging in for.
Your loan youre going to use the same exact website and same login but youre just going to use your. Fsa id instead of the student perfect okay so as you get in what youll see is this is your. Homepage anytime you want to see what documents you have on file you can always navigate to your my documents. Page so view my documents now again as i mentioned for this particular student shes a returning student so shell. Be a sophomore in the fall and im just doing this on her profile right now so she already has.
From last year a loan counseling session that she did and remember that if youre gonna use the federal loans. Then youre going to have to do this every year its a process that does repeat itself just like filling. Out your fafsa youre going to do this per year as well also she has on file the master promissory. Note that she completed last year though what after youre done looking at the you can always go back to. Your home page and is what were going to start with complete loan counseling entrance counseling this is the required.
Part financial awareness counseling these are things that you should just familiarize yourself with plus credit counseling this is if. For whatever reason a parent has something derogatory on their credit history and they cant qualify for a loan there. Are some processes that you can go through and then so you can read about it here and again if. A parent doesnt qualify for a loan then youll have to show the school the disqualification letter and the school. Can offer the student additional stafford loans but thats something that has to be communicated directly with the school again.
Im using this as a student right now so as i go into entrance counseling im starting her entrance counseling. Process and now im going to select the school that needs to be on file for this particular loan when. These loans are dispersed the loans are dispersed directly to the college so they do not send the loan money. To the student or to the parent it all gets sent directly from the loan servicer to the school so. The school will keep on record how much they have received from the loan and when you log in to.
Your students portal youll actually notice what the remaining tuition balance is or how much in the loans have been. Applied to your tuition here im going to choose and for this particular student shes going to boise state so. I choose idaho and youre going to navigate to your school selection here this school is participating in loan entrance. Counseling through student loans gov so now you want to select i am completing entrance counseling to receive direct loans. As an undergraduate student because remember im doing this as a student right now for the stafford loan dont get.
Those confused because parents when youre in here and youre doing it for the parent loan youre going to have. The option to do it to choose as a parent continue current loan balance for this student is 56 oh. For so now these are things that youre going to want to familiarize yourself with the reason why the the. Federal student aid commission initiated this loan counseling is because several years ago there were students graduating from college who. Basically said we never knew that we had to repay our student loans and there was a big i guess.
Court case that went on about this so the federal government said well now we have to educate borrowers on. What it means to take out a student loan so this is why they initiated this process of student loan. Or loan entrance counseling so here what im going to do is im going to add a loan and im. Going to do a direct subsidized loan so the difference between a subsidized loan and an unsubsidized loan is a. Subsidized loan carries no interest while your student is in school so if youre awarded to subsidized loan then the.
Federal government is paying for the interest while your students enrolled in college in unsubsidized loan is basically an interest-bearing. Loan so for a student loan once its dispersed it will start accruing interest and for a parent loan it. Will start accruing interest but thats only true if its an unsubsidized loan the only types of loans that dont. Carry interest are the subsidized loans so just be aware of those two differences interest rate im going to put. For a subsidized loan 0% and total im going to put 4500 borrow only what you need control how much.
You do so as of today how much do you own student loan so youre just going to look at. The estimated loan balance here this is basically an open-book test they just want to make sure that youre reading. Everything correctly before you sign up for these loans loan basics teaches you about the history of the loan programs. Everybody will receive notice from their loan servicer so that might be a term that you want to write down. Everybody will be assigned a loan servicer so this is a person that you can contact to talk about your.
Loan theyll give you options such as do you want to make payments right away do you want to defer. Your payments while your students in school which means that you dont have to make any payments while theyre studying. Or attending college do you want to make interest-only payments so those are some of the repayment options that theyre. Going to talk to you about once you assign the loan servicer and once you complete this process interest accrual. How the interest accumulates over time capitalization of interest this is important to understand what it means if you do.
Let your loan go into deferment and youre not making any payments on it then eventually you will be paying. Interest on interest so its just something that you need to also be aware of master promissory note we talked. About that halftime enrollment once your student goes into whats considered halftime enrollment then their loans could become due at. That time so they really want to encourage students to pursue full-time enrollment free money first these are things that. Youre going to want to familiarize yourself with and then like i said this is an open book test so.
What sources of federal student aid do you have to repay grants do do you have to repent so as. Loans again its going to matter as yourself with the different loans this is the parent loan federal perkins loans. Will be offered to some families depending on your income level this is important information you want to read so. The loan limits and how the loan amounts will rise over time while your students in school youll notice that. As a first-year undergrad 5500 is the max amount thirty five hundred of which will be a subsidized them up.
The remaining balance after your student has borrowed from their stafford loan the remaining balance will be taken out as. A parent loan so because the federal government gave the student limits on how much they can borrow they require. The parents to borrow the meaning balance if they choose to but the pic the student cannot borrow more than. The max thats allowed only time that the student can borrow more is if the parent gets declined to borrow. From the plus loan thats the only time ive actually seen the student get allowed down so in this instance.
Im just going to add in some scholarships so these are the awards that the student received youre going to. Have put in your specific amounts based on what you received in your award letter and employment there you go. So total of 9,000 educational expenses type of school with state and state on campus so it gives you a. Little financial summary of what youre looking at so if you were to have an income of this you would. Be basically your expenses would exceed the income so its trying to show you how to be a responsible saver.
And also when you start earning an income how much your repayment schedule will be to apply it back to. Your loan where your total estimated sense is for this year there you go for the year we gotta go. Nineteen seventy sixty how much funding do you have available this year financial summary and wheres my funding expenses total. Funds other funds student aid nine thousand so im going to put nine thousand right here correct will you be. Notified you will be notified in time dispersed portion of your loan absolutely if school costs are less than the.
Loan disbursement the amount remaining will be paid to the student or borrower so what this means if there is. An overage so if you request an additional amount from the parent loan that you want to just use as. Money to buy a laptop or maybe to purchase books you can actually request additional money from the parent plus. Loan as well but that money will be sent to either you or the student so you decide on if. You are requesting additional money from the parent plus loan through that money gets dispersed to i would caution people.
Though if you are going to use that type of money just remember that you are paying interest right away. So if you dont need to borrow that money to pay for laptops or things like that and try to. Not do that paying student loan interest while you are in school will reduce your overall amount you have to. Repay true this gives you an idea of how much interest you would save if you were to pay it. Off sooner for example so if you finish school in twelve months your potential savings projected annual inc lets project.
That were going to make about $50,000 a year getting out of school use your loans family-sized one protected balance. Will have about ten thousand will say nice interest rate so if were going to use the standard repayment method. Be ninety three dollars total amount paid and repayment over ten years so these are generally going to be a. Ten year repayment option so similar to how a home mortgage is amortized over thirty years twenty years fifteen years. These loans are really going to be offered over ten years if you paid off sooner there is no prepayment.
Penalty so you can definitely pay it off sooner if you like and then you can combine loans you can. Extend a fixed term obviously everybody scenario is different so im just right now choosing a standard repayment options gives. You some idea their income per month loan repayment remaining balance when do i need to start remaking my payments. So again this is something that youre going to need to read but generally six months after you graduate is. When your loan payments become due so they will typically give you time to find employment and then six months.
After you graduate thats when the loan repayment options will become paid when you begin to pay those back would. You contact a selector change your pan plan your federal loan servicer thats the person we talked about you must. Contact your federal loan servicer to change your dress drop below on halftime enrollment or leave school definitely want to. Contact them if any of these happen so now avoiding default pay on time stay in touch with your federal. Answer it is very important to stay in touch with these individuals because they do give you options on if.
Youre having a hard time making your payments there are things such as forbearance that they can offer you these. Are people that you that will help you if you have questions about that generally speaking you could also call. Your financial aid office at the college and they can answer some of the basic questions for you as well. Such as if you didnt want the loan dispersed for the second semester for example you could call the schools. Financial aid office and speak with them directly and ask that they request that the loan doesnt get dispersed but.
So you can also have a dialogue with the schools financial aid office as well postpone your payments for lets. Say 24 months gives you a scenario their deferment or forbearance or ways of temporarily postponing your federal student loan. Payments true grab in trouble making payments repair they can give you all these options important information again want to. Read so this is just telling you how to become a responsible adult with finances parents probably good discussion to. Have with your students anyway spend wisely a tax deduction reduces taxable income true gives you a summary of what.
We were looking at based on this particular student submit counseling so weve actually successfully submitted the loan counseling for. The student loan so thats the stafford loan parents when you do your loan process youre going to have the. Same thing happened youre going to go through the loan entrance counseling process and you want to make sure that. Youre signing in with your fsa id so just be be sure to make that distinction when youre signing up. For those loans again when you come here gives you a summary and then you can go back to the.
Home page which is here so if i go here my account my documents remember we talked about this so. I can go to loan counseling and so now it shows the most recent loan counseling that madison completed the. Next step that everybody is going to take after this is the master promissory note so if i go back. To the home page my home page what youre going to do next is complete a loan agreement master promissory. Note im not going to do that on this webinar just because its pretty straightforward all youre doing is inputting.
Your familys information and then youre doing the two references that i mentioned so again ill just go over that. Youre going to need to have two references when you sign up for this loan the these individuals are not. People that are responsible for the loan but just in case the loan servicer needs to contact you and they. Need someone else to get ahold of thats why they ask for those references parents youre going to apply for. A direct plus loan right here so be sure that you do this part as well im going to stop.
The recording now but im also going to stay on so that i can answer some of your questions that. You have but thank you all so much for joining the webinar.
Method 4 – How To Complete The Master Promissory & Entrance Counseling Forms Step-By-Step Guide For Fafsa Loans
Hi and welcome back to the channel once again my name is ed zamora from principia prep and today were. Going to be discussing completing the master promissory note and entrance interview paperwork to be able to have your students. Receive their federal direct loans now if you had done the fafsa form your student will receive 5500 in federal. Direct loans 3 500 of the federal direct loans is typically subsidized 2 000 of it is typically unsubsidized now.
The first thing we need to do to be able to do the master primary note and entrance paperwork is. Go to the studentloans.gov site so youll watch me here essentially ill type in studentloans.gov and here pops up the. Website now what you need to do here on this website is click on the login button right here and. To log in you must log in using the students fafsa login box as you see here obviously i have. It blocked out once you log in using the students fast login youll click on the login and then what.
Itll do is at the moment you click login the first thing to see here essentially a consent form indicating. That you are the student which you obviously just click on yes that being said the first thing you see. Here is the home page youre essentially your students home page for all things federal aid now on here what. You need to do is go directly to on the right you can just go to where it says here. Complete npn this is one of the two forms you must allow well click on complete the npn now when.
You get to this page here youll notice its going to show you a bunch of different npns theres definitely. Three of them now being an in-going freshman you essentially want to fill out this one here at the top. Remember youre filling out these forms technically as the student is kind of the way of doing it or for. Students watching it obviously youre doing your own npn and then right off the bat youre going to notice a. Few of the boxes obviously are blacked out because ive logged into an account here on the account its automatically.
Going to pull in the students name social email address as well as phone number so many cases you dont. Want to be doing these forms in the public area now the reason it pulls it in is because technically. This website here is connected to the fafsa form you filled out before for your student so what you need. To do is essentially go down and keep filling out the rest of this form this form has basically five. Different steps to it which you would think would be five different pages but its not some of the steps.
Actually have multiple pages most of this page here will automatically be filled out for you based on what you. Fill out on the fafsa form basic information address so on for so forth and at the bottom of this. Page what youll see is its going to have your your address now the address has changed obviously changed the. Address but other than that the really the only thing all you clear probably to fill out is just questions. Do one question will be all you have to fill out here which is they want you to click on.
This box right here this is my current permanent address so well click on that click continue that will then. Bring us to this screen here which you would think would be step two of five but as i mentioned. Before each step has multiple pages so were still in step one so on step number one second part step. Number one it wants to know what school you want this form to go to so youre going to type. In the information for the school that your student is going to the school that youve deposited to the first.
Person to type in is the state where the school is in so for the student im filling out the. Npn for pennsylvania as you notice here as i start typing in the name of the state it already pops. Up so i can just click on pennsylvania to the name of the school and ill type in the school. That im pulling this format for and what youre going to notice is as soon as i start filling in. A certain portion of the school it already pops up again so ill click on highlight that section and there.
It pops up penn state university so it automatically indicates when i send this information to penn state so well. Click on continue now weve reached part two essentially okay so on part two its mostly just they want information. About a reference they basically want two references the first reference should be a parent mom or dad doesnt matter. Your second reference of the two reference requirements must be someone outside of that address it could be a grandparent. Uncle aunt neighbor friend doesnt matter by the way these people are not contacted unless the student doesnt pay the.
Loan so its rare if ever these people are contacted by the us department of education as you can see. Here ive reached a second reference i completed the second reference from the bottom of this page here also done. After you do the first reference which is obviously has to be a parent and the second reference anybody to. Be honest with you next thing you need to do is just click on continue and once you get to. The next of the five steps you need to complete for step three most of the stuff youll be doing.
Here is just reading essentially the terms of the loans what the loans actually mean so on and so forth. Step three actually has a lot of pages to it so were gonna continue basically through step three its basically. Just indicating how the interest rate works how repayment works if you have issues paying back the loan what you. Should be doing what your grace periods are this is whats basically going over so you can see here as. I mentioned before some of the steps have a lot more pages than just one step one paid scenario now.
Obviously we want to read through all these things its up to you you can read through all these things. But theyre basically all saying the same thing that this is a loan it must be paid back so on. And so forth once again keep going through this page here actually illustrates the different breakdown loans how much loan. Money they can get based on the year theyre in college all the way up to 7 500 as an. Undergrad to the max so give them uh if youre denied the parent plus loan they can actually increase your.
Amount 4 000 for beginning students 5 000 for the tail end of undergrad programs as well as they tell. You here 20 500 is a typical amount theyll give a graduate student if they did the fafsa form and. Are looking for federal loans so this page is somewhat beneficial and does give you some information to continue and. Now weve reached section 505 for the mas.
Conclusion – How To Accept Fafsa Loan
The purpose of this post is to assist people who wish to learn more about the following – after the fafsa: what happens next, 3 big fafsa mistakes that will cost you a lot of money!, understanding your financial aid award letter (financial aid offer), pell grants: what they are and how to qualify, tutorial: accepting loans, how to receive your federal student loans, 7 things you need to know about unsubsidized student loans, how to get your student loan forgiven, how to accept student loan acceptance, for students cunyfirst financial aid overview, what is the maximum federal student loan amount?, subsidized vs unsubsidized federal student loans, college student loans explained | fafsa loans vs private students loans, financial aid explained! everything you need to know! fafsa, merit, need, loans, etc!, delgado lola navgation: accept or decline financial aid awards.
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