<p>I've heard that the financial aid packages are not as impressive for those who are accepted early decision. Is this true? If so, how does the package compare to that of early action?</p>
<p>I’m really not sure how anyone would KNOW whether THEIR package would have been better if they had NOT applied ED. If a school meets full need for all accepted students, presumably they use the SAME formula to compute need based aid for ED accepted students as for RD accepted students. There is speculation that some schools that include loans for students (Direct loans) MIGHT include more for students applying ED. BUT that is speculation only.</p>
<p>If you have serious financial considerations, applying ED, Early Decision, does not give you the option of comparing financial aid packages from many schools. You will get accepted to the ED school…with THAT ED financial aid package…and that’s it. You will need to make your decision ASAP on whether that will work financially for you. The trouble is…that ED package COULD BE the best one you will receive. You have no way of knowing. It’s the ONLY one. </p>
<p>Early Action students typically receive their financial aid packages either when the RD kids get theirs OR shortly before. Because it is not a binding acceptance early, you still have the ability to compare financial aid packages from other schools.</p>
<p>First post – oldest DS is a junior and starting his college search.</p>
<p>First choice school for DS is CS or CompE and Carnegie Mellon, which he fell for after our visit this summer. CMU offers the opportunity to submit your financial information and they will process your financial aid as though you applied this year. The results were fascinating in that ED financial aid was $9.5k greater than RD aid. I called the office to understand why, and they explained that they meet full financial need of all ED applicants. For RD, they divide up what is left among all RD applicants based on need but can’t meet full need for these applicants.</p>
<p>Other reach schools for DS are Cornell and Northwestern (legacy), which appear to meet all financial aid for all US applicants. He isn’t strong enough to get merit aid for any of these schools even if they offer it. He is a reach for CS at CMU RD let alone ED, so the plan is for DS to apply ED to CMU in CompE. If he gets it, it is his first choice and the aid estimate was acceptable, so we are done. If not, he still has RD at CMU, and the other reach schools, as well as couple of merit aid possibilities and our state school as a safety.</p>
<p>Does this all seem like a reasonable approach?</p>
<p>Most schools are not interested in ED students having to back out due to lack of financial aid, so my thought has been that the schools do tend to meet need. If the package is not acceptable, most schools will try to work with the ED student to make sure all of the information has been taken into consideration. </p>
<p>Where it may become an issue at some schools has to do with merit money and ED. Many merit awards are not made until the spring. An ED applicant is a done deal by then. All applications have been withdrawn and the aid packages have been put together, presented and accepted. Many schools use scholarships and merit money as sweetners to try to get the students that they most want, to come to their school. ED students do not fall into this category. So it is my opinion that ED students at some schools that do have merit awards that are not announced until the spring could be missing out. I have no direct evidence and it may not be the case for every school and every award, but I do believe that it is a smart way to distribute the merit money.</p>
<p>EA candidates would be treated the same way as anyone for awards as they do not usually commit unti everyone else does.</p>
<p>Daddio, as a rule, if anyone needs financial aid, I don’t recommend ED because it does have some risks even the way you have shown it to work. I think what you have done has lowered the risk considerably and with the schools you have listed, it might just be fine. If the estimate given is acceptable and you know that there are no “curve balls” in your financial statements so that there are no changes with the final award (yeah, that can be a real killer for those with need), then fine. I also suggest your run some NPCs and ask for estimates at NW and Cornell, if they will give you the same sort of thing that CMU has done. That is a great service that CMU is doing and all who need fin aid should request these early estimates. I hope the school GCs are aware of this.</p>
<p>Here is where the problem exists. OK, you have a number from CMU and it’s acceptable to you. In this case, doing it all a year ahead of time makes it less of a risk, but the way it usually works is that a student applies ED to a school s/he desperately wants, and the parents want it very much for the student. The acceptance comes, all are over joyed and the number comes. It may be a “gulp” figure but is doable. Maybe a few pnone calls are made to admissions and some discussion and it is decided that with loans and all the family can swing it. The momentum is all there to go. What the ED candidate does NOT know is what other school might offer him. He might well get all grants and more money from another college that uses a slightly different or even way different methodology for financial aid calculation. Your home equity might be a big deal at one school, and not so much at another. Some schools consider Stafford loans and work study as part of the award, whereas another school might not so that the student has loans and work as a bit of a buffer if things go off as it did for my son last year. If you really have need, you should not be backing yourself in a corner because things do happen. SOme schools limit or don’t give loans, and many schools use packaging to lure their favorite applicants. But as an ED applicant, you are looking at a package with the loans, grants, etc in isolation. You have no idea if NW or Cornell might be more generous. </p>
<p>In your case, since NW and Cornell do not have merit money, nor does CMU have much, it does not come much into play, but there are schools that do, and if it comes down to a full ride as say an Emory Scholoar vs paying $45K a year with an aid package of $15K, is that something that can make a difference.</p>
<p>I know of two families who reneged on ED because at the end of the year, their state schools, though the families notified them of the ED acceptance, went on ahead and ran the appls through and the students got accepted with very generous packages and lower cost anyways. Yes, they could eke by and do the ED, but when the emotions are not so high and it looks like a lot of classmates are going to State U and the roof needs to be fixed all of a sudden and everyone is budgeting for college because the family knows what it 's going to have to ante up in September, all of a sudden State U looks pretty good. The roof can be fixed, and you can do that last family vacation after all, and college kid can go on a cross country trip instead of pounding salt all summer, and hey, a car might even be in the picture. Also when the final actual returns are submitted and the real numbers are done for aid, the package shrinks by a few thousand because it was estimate only back in the fall and you got a little more money than expected during that year, not that you saved any of it for college. </p>
<p>Those are the real pitfalls of ED. To complicate things further, a lot of times the ED push has become a rite of passage at some schools and kids use it to get into a “Better” school rather than a true first choice. In your son’s case, Daddio, given his interest in CS, I can see where CMU would be a true first choice. But for some kids, it’s a matter of getting a boost to get into a highly selective school. I’ve heard kid’s wondering which school to pick for ED. So we hare getting hype and momentum for a school that is often not really what the kid wants, just what he thinks he wants the way things are these days. </p>
<p>So, in your case, it’s a great approach. No merit in the picture at the other top contenders, a reach at the schools and a clear first choice with a very good idea of what the aid is going to be. So get some comparison numbers from COrnell and NW and see if that changes the picture. But you can swing what CMU says the cost will be, and your student really wants that school; it isn’t pumped up artificial hype, so you are solid even if the estimates are more from the other school because everyone is on the same page that this is where the student’s true first choice is.</p>
<p>But you see where it can be an issue, ED, that is with some families?</p>
<p>I would think if the word got around that school X provided inferior FA offers during the ED round that applicants would go down. It is not in the school’s interest to do that.</p>
<p>cptofthehouse – thoughtful post. I really appreciate it. I plan to check into aid at those other schools as closely as I can, as well as push the state school early regarding the likelihood of DS receiving a scholarship. We also need to visit a couple more school to make sure CMU remains at the top of his list.</p>
<p>In a specific situation, a friend of mine decided to support his daughter’s passionate wish for her dream school and she appled ED there. The aid package was doable, but not great. But the parents and daughter had been holding their collective breaths for this acceptance, and even praying for it. So that it would include loans and self help and was really going to be tight did not matter. Anything for this much beloved daughter who was such a deserving student. </p>
<p>But after the initial euphoria wore off, and some unexpected bills came rolling in, plus wonderful opportunites for the DD–a month in Europe that summer, some great summer programs for younger siblings, a year end W2 several thousand higher than the estimate send to the EA school (it is an estimate only, you know) and reduced sales commissions that first quarter the following year which meant not so much family income, the cost was beginnning to take a whole other focus for the parents, and the DD too who for the first time in her life was having to scrimp some. Yes, she had been eager for the prospect of working all summer, but that meant training sessions the week her friends were all going to the beach for a grad party. She would not be able to go. And forget Europe. </p>
<p>Then the main family car died. To repair was a major expense, and then a grandparent needed a surgery and that meant an unexpected plane trip out to somewhere. THe dog needed a surgery, and he’s a family member and much beloved. Oh, and health insurance premiums went up steeply and little brother really should get braces now. Also he wants to join the traveling team which means more expenses. When my friend talked to his accountant in to get his taxes done, the CPA told him flat out that he was crazy to be thinking about liquidating some funds and taking on that kind of expense for the next four years or borrowing. “You can’t afford it” was what he was told. New glasses for the family the next week was another cost bomb. You get those months sometimes–we got them this summer.</p>
<p>Then the DD got not only the acceptance from state U but was accepted to the Honors Program and it offered a very nice scholarship. Several very good friends going there, and all of a sudden the luster of FIrst Choice U was not so great. She told her father that she really would rather go to STate U and that she did not feel the extra expense and stress of going to FIrst Choice U was worth it. Big change in tune from praying to get in and being able to somehow swing it. </p>
<p>My friend was willing to do just about anything to give his darling girl what she wanted. An excellent student, good worker and a great kid, and he felt like she deserved it all and he would do anything to make it work. But now she’s saying she doesn’t want it with what has to be done. She would rather not work this summer–it’ll be her last with her high school friends most likely and she wants to go to Europe with that family. She has seen the worry lines and the heard bits of the conversations and she knows that going to STate U is very affordable. In fact, if she takes out the Staffords and works a little this summer and during the school year, no loans for mom and dad, and they won’t even have to pay much at all. It’s a change in perspective.</p>
<p>But you can’t tell that to parents and kids hot on the trail for an ED acceptance to a dream school. The momentum, the desire all plays a strong role in the process. When I was a college applicant, you only appled ED if that was truly the one and only school you wanted. It was not a ploy to get a better chance to get into a college that was a bit of a reach. But then a lot of things were different then.</p>
<p>So, yes, if it’s somehting the kid truly wants and has good reason to want, other than it’s the best school he’d get into, that is a factor. But as I said earlier, these days, kids look for the most selective school that would be the best EDchoice just in terms of getting in. They too may be settling even without financial aid in the picture. I remember one kid who decided that Davidson or some other LAC was a good pick, a reach and ED would get him in, and it had the rep among his crowd and so he went ED. The mom, I spoke to her later, was not really happy. Apparently some peers got into some schools where he might have preferred going but didn’t want to take the chance of missing the ED train, and strategy dictated choices other than those schools. You really don’t know until you apply whether you will be accepted or not, and by going ED you lose that opportunity if you do not apply to your true first choice.</p>
<p>
So she didn’t pull her applications to other schools after being accepted ED…? I have to think there was some time lapse between the ED and the state U acceptance with all the "then"s in your story. I agree with the sentiment of what you’ve written but I think the darling girl did wrong.</p>
<p>No. Some state universities and other schools that do not subscribe to the ED program simply ignore the Email or letter that student is accepted ED and to pull the app. In fact, pulling the app for any reason just doesn’t happen. Once you send all the materials including the all important check, you have set the wheels into motion and you will get a reject or accept. You might even get a reject if you don’t send all the materials into the school. Rather than just dropping the app, a rejection letter is sent. I guess that ups the stats for the school as to number accepted vs not. </p>
<p>There was a lapse between the state U acceptance and the ED. The acceptance was actually ignored since the ED deposit (which was lost) was sent in and it was still all systems go at that time. The award and the honors college invite came later. The same pattern occurred with one of my sons. ANother was “rejected” because he decided not to follow up on the application process and something was missing, even though he sent an email letting them know he was withdrawing his application. </p>
<p>There were a lot of problems with this student’s situation because although neither the ED school nor the state school cared about the ED situation (though the deposit was forfeited), the student’s high school was very upset and initially refused to send final transcripts to the state school since the student was violating their ED rules. THAT was the sticking point, and the family (the Dad is a friend of mine) had not expected that reaction which was spelled out in the school’s handbook and other school papers. So darling girl and family were in the wrong here, yes. Under ED rules, they were supposed to ignore the State U acceptance, Honors College invite and turn down the award. That would have been the honorable and right thing to do since they had signed all fo the ED papers and even sent in the deposit. But after looking at the options, they wrote to the ED college and requested to be released from the commitment due to financial developments including an imminent decrease in fiancial aid due to increased income from the estimate, plus advice of the accountant. . The ED school acquiesed. They did not even think about the highschool which turned out to be the problem.</p>
<p>It does come down to an ethical issue. But there was no exact stipulation on what to do if an offer arose after ED commitments were made even if colleges were notified, </p>
<p>What does one do if after the euphoria of an ED acceptance and all is said and done, a few months later, it is clear that is financially a very bad idea to go forward? Some home disasters, investment down turns, business is not good that year, and you and your kid look at the picture more realistically? Some opportunities for the other kids…the list goes on. In my opinion, it would be crazy to go forward because you made that foolish decision. You ask to withdraw from it and ask what the consequences should be. If they are not to your liking, you appeal and argue them. I’ve known families who had to back out of house or other large purchases because a closer look at their finances and some new turn in events made it clear that bid was not a smart move to make. It cost them their deposits, and they risked being sued in doing this. But to go through with it had potential ramification that were worse.</p>
<p>What we were told by a few admissions counselors is that there is generally more scholarship money that is given out with early applications. Not sure how true this is, but I do know that this was certainly the case with child #2.</p>
<p>Guitars101, it depends upon the schools. It is true getting that application in earlier rather than later does mean you get a better pick of what’s out there, in some cases, though some schools will divvy up the money to everyone at the same time–in other words looking at the whole pool of accepted students and decide who they want to give the most money to (who they most want). But with some money like Perkins and Seog, once the money is distributed it is gone, and if the financial aid distributions are done on a rolling basis, the goodies will pretty much go to the earlier apps.</p>
<p>After a few college visits, most admissions say that the financial aid package is calculated the same way it would be if you were accepted regular decision or early action. Applying early decision does prevent you from comparing aid, however.</p>
<p>Early action would definitely be calculated the same way as regular decision in many schools because a lot of schools do the aid allocations all at the same time. What comes into question is who gets the best limited aid? Like the grants, the Perkins loans. Those are often limited. Also who is gapped? Many schools do assess a student about admitting him/her with a grade, and the fin aid is calcuated on that basis. The ones that the admissions directors deem as the best catches get the best aid. Those that are the border line admits get less generous packages. That is done at all but the most generous schools where everyone get grants and full need met when accepted or loans are capped by income parameters. Schools come right out and say that some awards are allocated on a first come first serve basis. Others say that as long as you meet the deadline for aid, your chances are equal within other factors in the pool and that timing then would not matter for you. </p>
<p>Early Decision, is a whole other issue. Schools that may not guarantee to meet need, may well do so for ED candidates, otherwise the ED scene could be a debacle and more trouble than a boost. You don’t want ED kids backing out of the acceptances, so most schools do try to meet need. But then you are a done deal in terms of any merit money if the school has any unless they use some of that in the calculations. </p>
<p>It all comes down to the school.</p>
<p>Yeah, I heard that applying ED if you are can’t afford it without financial aid is a bad idea, so I did not ED any school (only EA’d, etc.). I had some friends who ED’d some schools, and their financial aid package was not good (though their parents’ income was probably pretty high). In general, I would advise against EDing if you are worried about financial aid. I feel that there really is not that much benefit in EDing except for maybe a boost of acceptance chances?</p>
<p>I don’t think the boost of acceptance chances is a good reason alone. The real reason for ED is if you have a clear first choice that you are willing to give up comparing costs, and are willing to pay up some extra to get in there. So yes, you are also getting that boost in acceptance, but you have to want that school enough to understand that you may be paying for that boost in dollars and in choices. </p>
<p>It sounds so easy to say that you can turn down the offer if the financial aid is not sufficient. If it is outright undoable and the family is clear on what it can do and what it won’t do, yes, it works. But most of us are weak when it comes to what are kids want, and what we can afford. Their is a lot of psychological momentum in the ED process. You also have no other choices, or very few other choices at that time, so you have the old “Bird in Hand” situation too. You are scared to death that any other like school will not take you and that all of the other offers will be less, so if you turn this down …, the ED school which is saying it gives ED kids the best deals in fin aid, and a boost in admissions, you are afraid you’ll lose it all. So, there really are very few kids who turn down ED. </p>
<p>Then in the spring, you see your peers with lower test scores, grades and maybe not as much need get some choices that you might have considered. And maybe you “settled” in picking that ED school, deciding to go more for getting in, and you see your “rival” that is generally acknowledged to be a notch below you get into a school that you really would have preferred to have tried, but you were going for that boost and so you went for ED at, Wesleyan, or TUfts or Davids, and did not apply to Brown, Harvard, COlumbia. </p>
<p>As I said earlier, in my day, ED was if you absolutely knew you wanted to go there. So that didn’t come up. And you only reneged if you absolutely could not afford to go there and could not work out a resolution on the fin aid. That part still remains, but you also might be taking on more than you should or would without another choice there. Many a student has gone to a second or third choice school when looking at significant dollar differences. I remember one kid very well who so gung ho on a school, but stopped in his tracks upon getting a near full ride at a college, not to mention some sweetners in research and program opportunities. He visited, talked to people, and changed his mind. Had it been ED, his parents would be paying close to a quarter million dollars for a school that he did not choose when he had other alternatives in hand, and some of the emotional pressure was released.</p>
<p>If you read the boards here when the kids get their acceptances in the spring, you see a lot of kids changing their minds where that first choice school is no longer a clear choice with a number of acceptances in hand. It’s kind of a let down for some of the ED kids. Buyers remorse is a real thing and there are real reasons for it.</p>