If you are interested in attending an online college, you probably have heard the television and radio ads that promise financial assistance for those who qualify. If you’re unfamiliar with financial aid, then you should definitely read about these five forms of financial aid for online college students. Each of the five types has different requirements that a student must meet to be eligible.
1.) Federal Student Loans: Federal student loans are available to any student who attends an accredited, or approved, program of study. This extends to students who attend online colleges and have at least half time status. There are several different federal student loans programs. Students who are not in default on previous federal loans will qualify to borrow a specific amount of money for each eligible term of study. There are both subsidized and unsubsidized student loan programs Subsidized loans mean that the government pays the interest while the student is attending school and there is a six month grace period after graduation before the student is required to repay the loan in monthly installments.
2.) Private Student Loans: Private student loans are available to students who qualify through banks and credit unions. These loans generally require that the student or their parent(s) has a good credit history to be eligible. Online colleges may not qualify for all private loan programs so it is important to investigate the options available.
3.) Institutional Student Loans: Often backed by the federal government, there are institutional student loans offered by some online schools to help students defray the cost of education.
4.) Federal Education Grants: Depending on a student’s financial situation and the online college that they choose to attend, there may be federal grant money available. Grant amounts will vary depending on the student and the school.
5.) State Education Grants: Again, depending on the school and the student’s financial situation there may be state grant money available to help offset the costs of education.
6.) Scholarships: Scholarships are a broad category of financial aid that does not require re-payment. They are issued to students who meet specific criteria that is defined by a scholarship committee.
7.) Loan/Scholarship Programs: This type of financial aid generally applies to students studying at health care specific online schools. The aid is given in the form of a loan that is forgiven after graduation so long as the student maintains employment in their field at a qualified healthcare facility.
8.) GI Bill: This financial assistance is for eligible veterans and it can be used to assist with tuition at an online college.
9.) Payment Plans: Most online colleges will allow students to pay on a monthly basis using a payment plan that is administered either by the college or a third party.
10.) Tuition Reimbursement: Many employers offer financial aid for students who attend online colleges as an incentive to further their education.