<p>Hello,</p>
<p>I filled out my Fafsa and my CSS profile way back in Feb/March. I received my financial aid package sometime in April or May. I did not know I had to "accept" the package, but I don't know if I already did that by sending in my deposit to Cornell. Now come the part about loans.</p>
<p>My package says I have to pay 13,000 a year, with a $1,800 Federal direct unsubsidized loan and a $1,200 Federal direct subsidized loan. Despite having to pay $13,000, I still need more loans on top of that. So, my question is, what do I have to do to prepare? Do I need to sign up online for the loans included in my financial aid package? Where should I go for the loans that I need for my family contribution? I am doing this too late? Please help.</p>
<p>Thanks,
Dan</p>
<p>Yes, you have to “accept” the loans. Often this means clicking on the online award and following instructions. Your biggest concern is to fill out the Master Promissory Note (MPN) which is your legal agreement to be responsible for and pay back the loan/s. Until that MPN is signed, no loan monies will be distributed!</p>
<p>Your 1800 + 1200 in federal loans leaves a 10,000 gap. This gap is best addressed when paid out of saved money (your parents’ savings and savings from your own work over the past summer or two) and current earnings (parents’ current income and income you are bringing in this summer with work). Last resort are additional loans, which are NOT easy, guaranteed or plentiful.</p>
<p>You can not borrow any money on your own. There are Parent PLUS loans that your <em>parents</em> may be able to take out–but these loans are your parents’ responsibility and based on their credit, and payment affects their credit history, etc. </p>
<p>As for any loans you take out, you would have to have a co-signer. Are your parents willing to co-sign? This means that they are on the hook for the loan, too.</p>
<p>Yes, you are starting this a little bit late, depending on when tuition is due. You may be able to still cobble this together. </p>
<p>The big question you need to ask is if you can afford (or indeed have cosigners, etc) for upwards of 40K+ in additional loans over the next four years. It looks like you are on track for over 50K in total loans… which is about double of what is usually recommended as an upper limit of debt around here.</p>
<p>Are you saying that your parents won’t pay their “family contribution”? Will they borrow the money for that?</p>
<p>If not, you may have a hard time covering it because you can’t borrow that much. You need them to either borrow or co-sign.</p>
<p>Why did you wait until JULY to figure out your finances???</p>