General question about financial aid/loans

I’m way too stressed over my credit score… which is a big, fat zero. That’s right, I’m 17 and never have had a job in my life - or thought of getting one. I have my own reasons for that, so on to the real question.
If my parents do not sign on any loans… what options do I have besides to pay-out-of-pocket? I already have a 16,000$ scholarship, but that won’t cover a full year and it is distributed throughout the years. I also have about 2,000$ inheritance. Should I be flipping out right now and trying to find someone else to sign on my behalf? Who would sign these? My parents don’t have any real intention to sign or cover much of anything for me(except school supplies… that’s it). Will the government recognize they will not help? Will I get any benefits for them not helping? Sorry for all these questions. Maybe one of you can ease my mind? Thanks!
-Captain Waffles

The government will not give increased financial aid simply because your parents have the ability to help but choose not to. Otherwise, every parent who has the ability to help along with a bit of common sense would hold on to their money and let the government step in.

Can you live at home and commute to community college?

Are you a senior?

What are your stats? GPA, ACT, SAT?

How much do your parents earn?

Are you the first to go to college?

You need to cast a wider net and find some affordable options.

Unfortunately, there is no dollar fairy that can give you what you need to go to school.

You have to be willing to research schools that won’t cost you a lot of money. Yes, it will take time, but wouldn’t you rather take time now, than later, to pay back hundreds of thousands in loans?

You can take federal loans yourself regardless of your credit score ($5,500 freshman year, $6,500 soph year, $7,500 each Jr. and sr year). After those it doesn’t matter how great your credit score is, you won’t get loans without an adult co-signer.

Well, I’m already accepted and confirmed at a University to answer Madison. I AM the first to go to a University(and college out of me and my older sibling). I am a high school Senior currently.
Aunt, I never expected a “dollar fairy” but someone who will give me a loan regardless of credit score or whatnot. I already have a scholarship… as I said in my post, I’m already accepted into a university I am not willing to not go to.
Belknap, my parents aren’t really capable of paying due to their debt(which the government doesn’t have the common sense to even LOOK at…) so it’s a mixture of both.
Intparent, does it matter how long the adult co-signer has had their job?

We are just trying to help you by asking questions that you may not know are important.

Please answer these questions:

  1. What are your stats?

2.What is your resident state?

  1. What is your intended major?
  2. What college/university were you accepted to?
  3. You received a $4000/year scholarship x 4 years? Is is from an outside source or that college? Do you have to maintain a certain GPA to keep it?
  4. How much do your parents earn or what is your estimated FAFSA EFC?
  5. Who is the cosigner? A relative? Your 20-something year old sibling? Someone with excellent credit history/score?

It really is not advisable to ask another adult to cosign your debt. If you can’t make it with federal loans, working summers and part time during the school year, and any scholarships or need based aid you get, you need to consider other options. Can you live at home and commute to a 4 year school? Are you able to get more scholarships at other schools? If you default on your loans, your cosigner still has to pay them. If you DIE, your cosigner is stuck paying them.

Answer @Madison85’s questions right away – we may be able to suggest more affordable schools, but scholarship deadlines are very close.

How / why did you confirm your acceptance? If you were accepted and sent in a deposit to hold your place, but you cannot afford it without additional loans signed by someone else, and you cannot get them, then you simply cannot afford it.

You should be flipping out over trying to find a school you can actually attend.

For this one, how much will it be per year a for tuition/fees/books/room/board? For this year, you have your 4,000 aid and your 5,500 student loan available. If your parents are denied a plus loan you can get 4,000 more this year. You really shouldn’t take more debt than that.

I think many here would agree that it’s common sense for the government to not look at debt when making financial aid decisions. If your parents have high debt because of medical expenses or some other exigent situation, then by all means bring this up to the financial aid office at your school and ask for some professional judgment.

The gov’t should NOT be looking at parents’ debt unless that debt is from medical expenses.

Do you really think the gov’t should give people more money because they chose to buy extra stuff on credit? Don’t you realize that everyone would soon do that if it meant more money.? Hey, why pay for school, let’s go buy some new cars and new clothes and take a European vacation, put it all on credit…and then Uncle Sam will give us more aid.

Do you realize how crazy that would be?


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but someone who will give me a loan regardless of credit score or whatnot. I already have a scholarship... as I said in my post, I'm already accepted into a university I am not willing to not go to.

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No one is going to give you a loan. You’re a young person without an adequate income history to QUALIFY.

Don’t be stubborn. Do you realize how many students end up having to leave their unaffordable schools after one semester or one year? Do you realize how many of them are then STUCK and can’t go to school ANYWHERE because they still owe money to the school that they had to leave? They can’t start elsewhere while they still owe at their old school. We see this EVERY YEAR.

If you forge ahead and try to attend a school that you can’t afford, then likely in a year we’ll see a new thread from you trying to transfer out.

The government will give you a loan, but it is limited to $5500 for freshmen. That’s the budget you have to work with if your parents won’t give you more.

Why would you apply to a school you aren’t willing to go to?

I think he means “not willing to NOT go”

I think you need a new strategy. Do you have any financial safeties on your list?

It would be a “dollar fairy” who loaned to people with no jobs, no assets, no work history, and no credit score. If I were a bank, I wouldn’t make that loan.

To everyone who asked WHY I confirmed: because I have no interest in other schools and I feel accepted by the people who go and work there to begin with.
Mom2collegekids: rude. My mom had open heart surgery and my brother is in prison and they face DEBT from MEDICAL and COURT FEES. Which the government doesn’t take the latter into consideration. We are a modest family who only spends money on necessities… Honestly, I have talked to the school about jobs on campus as well as they have given me a scholarship and I’m able to get a few more… so the amount I’d be in debt to isn’t a lot. Also, just because my parents had to make certain decisions doesn’t mean it should affect me.
Austin, I don’t have other schools but my mom is looking for a job so she could possibly sign.
Twoinanddone, thanks! I know I’m going to start filling out financial forms with my dad, soon… so it seems like FAFSA and stuff he doesn’t mind. That should be enough to help out A LOT with the addition of scholarships!
Belknap: Thanks for the help! Didn’t even think of that!
3puppies: I was told he wouldn’t sign AFTER it all happened. So I couldn’t control that.

Madison:

  1. What are your stats? Well I have a 3.3 GPA and I’m average in my class

2.What is your resident state? Ohio. Going to out-of-state

  1. What is your intended major? Journalism
  2. What college/university were you accepted to? Out of state, but I qualify for reduced fees.
  3. You received a $4000/year scholarship x 4 years? Is is from an outside source or that college? Do you have to maintain a certain GPA to keep it? That College. Yes, at least a 3.0
  4. How much do your parents earn or what is your estimated FAFSA EFC? around 50-60k a year. Only my dad. My mom is unemployed.
  5. Who is the cosigner? A relative? Your 20-something year old sibling? Someone with excellent credit history/score? Nobody at this point. My dad was going to sign but I honestly don't know what he is thinking whatsoever... I think he believes it's possible for me to go without his signature because he doesn't want me to not pay the loan and the burden put on him. He has a decent credit score. I couldn't give you the number.

I don’t think you can afford any out-of-state schools

OP: IF one of your parents has enough credit to co-sign a loan with you, how much, total would you need to borrow over 4 years to attend this school? If it’s anything over $20,000 then it is unreasonable. Fellow journalism major here, and it is just NOT a sound life decision to go into any debt for a JO degree. All you’ll do is start a new cycle of debt for yourself, which will follow you for the rest of your life. You can let yourself make decisions based on emotion–you love this school, you feel you HAVE to go there–override practicality. If you were to major in/decide to work in another field (a higher paying one), then I could recommend 40K of debt… but no more than that. (anything more than that and the repayment terms are almost impossible to manage–when you get into 6 figure debt, your monthly payments can be over $1,000–most entry level take home pay for average jobs is barely 2K a month)

That’s assuming you can get a parent to co-sign a private loan with you, which, again, most of us would not recommend anyway (taking out large amounts, that is). If you can’t, you simply won’t be able to procure funds for this school–there are no loans that a teenager is able to take above $5,500 without a co-signer.

I know this is a really tough situation, and there’s some hard advice to swallow. I get it–your heart really wants something but financially it may not work out. You need some backups–it could be applying to some “safety” schools right now (safety: you’ll get in and they will either 100% cover your financial need OR they’ll give you enough where the $5,500 loan you can take will cover the deficit), or you need to consider a gap year and reapply to schools next year. I would find safety schools that meet 100% of need–I’m guessing the school you got into doesn’t given what you said they’re giving you–and with your parents’ income, I’d imagine a full need school would cover your costs. You just have to find them/apply to them. (or, come to think of it: did you get into this school ED but hadn’t filled out the FAFSA yet? If that’s the case, if they meet need, you could see your package increase–check with the school on that. If that’s the case, you might end up being OK)

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My mom had open heart surgery .


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Your family needs to take the bills that were NOT covered by insurance to the FA office and if the amount is high enough, an adjustment would be made. How much of her heart surgery was NOT covered by insurance?


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just because my parents had to make certain decisions doesn't mean it should affect me. <<<

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sorry, but that’s the way the FA system works. Otherwise, parents would do whatever they wanted, and then other taxpayers would have to pay.

Is $50-60k your EFC or your dad’s income?

That $16k scholarship…is that $4k per year for four years?