Today we come to the last topic in our series on understanding financial aid, loans. Student loans can be confusing and frustrating for many families. Federal vs private? Interest and APR? And what on Earth is a prepayment penalty? We are not finance experts, but there are many resources available to help students understand the differences between the types of student loans offered. 

The best resource available for students is the school guidance office. If you are an HRVHS student with questions about student loans (or any of your financial aid offers), make an appointment with ASPIRE coordinator and college adviser Lisa Roberts (lisa.roberts@hoodriver.k12.or.us). If you have questions about private loans, specifically, consider making an appointment to talk to a representative at your family’s bank and/or a local credit union.

If you would like to learn about the fundamentals and vocabulary of student loans, there are also excellent online resources. In particular, the US Department of Education has a simple explanation of the different types of federal loans along with frequently asked questions about government loans. The Department of Education also has a side-by-side comparison detailing the differences between federal student loans, federal parent loans, and private loans. Finally, finaid.org has a guide to help students understand and compare private loans offers. 

At the end of the day, online resources may be useful to help you understand the basic concepts of student loans, but we encourage students to reach out to the HRVHS Guidance Office for information and personalized advice on your financial aid offers.

Learn more about Financial Aid

The federal work-study program is an opt-in opportunity for students with financial need. Students indicate their interest in participating while filling out the FAFSA form, and may receive a work-study offer from schools as part of their financial aid offer depending on the amount of funding available and the level of student need. Not all schools participate in the work-study program, and students are not required to accept work-study if the offer is made in their award letter.

When deciding if work-study is the right option for you, it’s important to understand the parameters of the program. 

• Work-study jobs are part time and may be on or off campus (not every school partners with off-campus businesses)
• The job must explicitly be a part of the work-study program (a part-time position at Starbucks is not eligible)
• Students are responsible for finding, applying for, and securing work-study jobs
• Students may not exceed the pay amount listed in their work-study offer — meaning that your hours for the particular position are limited annually

If this sounds overwhelming, don’t panic. Participating schools often have listings for eligible on campus jobs as well as any off-campus opportunities and your school’s career office can help you with your search. If you accept a work-study offer, understand that positions are limited and in high demand, it is best to start looking for work as soon as possible.

The work-study program is not for everyone, and there are pros and cons to be considered. 

Pros:

• Money in pocket: Unlike many scholarships and grants, work-study does not go directly to your tuition costs. You receive a paycheck and can spend the money as you wish.
• Flexible Schedule: Work-study jobs are for students, and employers tend to be understanding of time-crunches and study needs. Some jobs may even allow you to hit the books during down time.
• Convenience: An on-campus job may alleviate commuting cost and time.
• Area of Study: In some cases, you may be able to find a work-study opportunity in your field of study. 

Cons:

• Pay: Most work-study jobs pay minimum wage — and may even pay federal minimum wage ($7.25) depending on where your school is located. The lower the pay, the more hours you will need to work.
• Pay limit: The money you can earn is limited to the amount listed on your financial aid offer, and rarely exceeds about $1800 for the year. Some students may need to secure an additional job.
• Time: Your time is limited, and your work-study job may impact your ability to focus on your studies.

It’s always a good idea to investigate the work-study opportunities at your school, even if you’re not on the fence about whether to accept the offer. Consider contacting your school’s career office to learn about the average starting pay, availability of opportunities, and when you can begin applying for work-study jobs. If you’re attending school in an unfamiliar city/state, do some research on available job opportunities to see if off-campus employment is a better fit for you.

More on Understanding Financial Aid

After touching on scholarships, it only seems natural to discuss another “free money” component of financial aid — grants. So, what are the differences between scholarships and grants?

• Grants are almost always dependent on financial need
• Almost all grants require the FAFSA
• Grants are primarily distributed by universities, the federal government, or state government
• Grants may require a student to work a specific job after graduation
• Grants may (in rare situations) require the student to repay a portion of the award amount 

Many grants do not come with labor or repayment strings attached, but it’s important to understand the terms of any grant you receive. Some grants – like the Pell Grant – may require students to repay a portion of the grant for not completing an academic term or reducing their course load from full to part-time. Similarly, grants with labor requirements, such as the TEACH grant, may require students to repay the grant award amount if the student does not fulfill the work requirements upon graduating.

We recommend including grants on your financial aid comparison spreadsheet. It may also help to note if there are any requirements for the continuation of your grant, such as minimum course credits, area of study, work obligations, etc. Remember, most grants are for a single year, and you will need to submit the FAFSA form every year while you’re enrolled in order to reapply for grants. This also means that grant award amounts may vary from year to year if anything changes in your family’s financial circumstances.

Finally, it is important to note that while there are many grant opportunities available, some grants have limited funds and are distributed on a first-come, first-served basis. Fill out your FAFSA application and apply for grants as soon as possible after October 1. 

If you haven’t filled out your FAFSA (or ORSAA) yet, don’t worry! FAFSA applications can be submitted through June 30.

We have compiled a list of federal and Oregon state grants below. However, there are additional grants you may qualify for. Be sure to check Career One Stop and other scholarship databases to find independent grants (see UFA: scholarships for a list of resources). Click here to find more posts in our series on Understanding Financial Aid.

Federal Grants

Pell Grant

Federal Supplemental Educational Opportunity Grant (FSEOG)

• Not all schools participate in this federal grant

Iraq & Afghanistan Service Grant

TEACH Grant

• Recipients must agree to teach full-time for four full academic years in a high-need field

Oregon Grants

Note: Many Oregon student aid grants have a limited pool of funds. Apply as close to October 1 as possible. Grants are available for students attending participating Oregon schools.

Oregon Opportunity Grant

• Open to students attending community college or university
• Not all schools participate
• DACA students not eligible

Oregon Promise Grant

• Open to students attending community college
• DACA students eligible

Oregon Barber & Hairdresser Grant

Oregon Student Childcare Grant

• Provides childcare funding for Oregon students with children

Deceased or Disabled Public Safety Officer Grant

• For children of public safety officers killed or disabled in their line of duty

Chafee Education & Training Grant

• For current and former foster children under the age of 26

Oregon National Guard State Tuition Assistance

• For students who are current members of the Oregon National Guard
• Open to students attending community college, public university and some private colleges

In the world of student financial aid, scholarships and grants are thought of as “free money.” However, while grants are generally dependent on financial need, scholarships may be awarded for any number of reasons, including academic merit, student background, area of study, etc. There are thousands of scholarships available for graduating seniors and current college students in the United States, and scholarships may be offered via nonprofit organizations (such as HRCEF), individual philanthropists, religious organizations, or for-profit companies. 

The scholarships listed in your financial aid offer are scholarships offered by the university or university-affiliated foundation. In your financial aid spreadsheet, we recommend omitting third-party scholarships and only including school-dependent scholarships. It may be useful to keep a separate spreadsheet to track third-party scholarships and grants, and what the money may be used for (tuition, room and board, textbooks, pocket money, etc.).  

When evaluating scholarships in your financial aid letter it is important to consider:

• Is this scholarship for one term, one year, two years, or four years?
• Is this scholarship renewable? If so, what are the conditions for renewal?
• Does this scholarship only apply to tuition and fees? If not, what other expenses are applicable?
• Does the school offer any additional scholarships I can apply for after enrolling?
• Will the scholarship award amount be affected by any outside financial aid I have received?

The last question is particularly important for both university scholarships and third-party scholarships. Some scholarship committees will alter the award amount if the total award amount for all of your scholarships exceeds the cost of tuition. If this applies to you, make sure to contact the school’s financial aid office for assistance.

The annual HRVHS scholarship deadlines may have passed, but there are still plenty of scholarships available to graduating seniors. Check out the resources below to find scholarships for high school seniors and current college students. It’s never too early to search for scholarship opportunities. If you find college scholarships that interest you, get a head start by setting a calendar reminder for the date applications open.

Know of any resources we should add? Let us know!

More posts in our series: Understanding Financial Aid

Scholarships for High School Seniors

HRCEF High School Scholarships

OSAC (Oregon Office of Student Access & Completion)

Oregon Goes to College

Oregon GEAR UP

Scholarships for College Students

HRCEF College Scholarships

Central Oregon Community College

Columbia Gorge Community College

Mt Hood Community College

Portland Community College

University of Oregon Scholarship Bulletin

University of Portland Opportunities

Oregon Goes to College

Oregon GEAR UP

General Scholarship Resources

Immigrants Rising

Career One Stop

Cappex

Fastweb

Going Merry

Scholarships.com

Unigo

Not all scholarship search engines vet listed scholarships. Beware of scams!