Paying For College

Cosigner

Someone who legally agrees to take responsibility for a person's debt if they cannot repay it

Cost of Attendance

Total expense to go to college which may include tuition, room and board, fees, books and supplies, computer costs, transportation to/from home, health insurance, etc.

Default

Long-term failure to repay a loan according to the terms agreed to, which has a substantial negative impact on the borrower's credit score

Deferment

A process that allows a borrower to pause their federal student loan payments

Fixed- Rate Loan

A loan with an interest rate that does not change over the life of the loan

FAFSA

A free online application that students can submit each year to determine eligibility for financial aid

Grants

Forms of educational funding that do not have to be repaid.

Room and Board

Cost of housing and food while at college

Scholarship

Type of aid primarily awarded for academic merit (good grades) or for something you have accomplished (volunteer work, athletics, etc) that does not need to be repaid

Work-Study

An opportunity for a student to work part-time and attend college. Work-study is designed to help students fund their college.

Tuition

Sticker price for the academic portion of your college expenses, which does not include room and board, textbooks, or other fees

Variable Rate Loan

A loan in which the interest rate can change, based on prime rate or index rate, over the course of the loan

Wants

Expenses that help you live more comfortably

Needs

Expenses essential for you to be able to live and function