Don’t be another debt-laden graduate!

According to the National Center for Education Statistics, between 1997–98 and 2007–08 (the most recent year data is available,) prices for undergraduate tuition, room, and board at public institutions rose by 30 percent, and prices at private institutions rose by 23 percent.

Early March signals looming deadlines for financial aid applications in many colleges, and with these steep tuition prices, it’s important to snag your piece of the grant pie.

The U.S. Department of Education says that grants make up about 40% of student financial aid, with scholarships only accounting for 2%, and loans making up the remainder. So how does one go about finding all of this free money, just waiting to be awarded?

A good start would be combing over the U.S. Department of Education’s grant index page, located at http://www2.ed.gov/fund/grant/apply/grantapps/index.html.

It’s certainly a wealth of knowledge, and there’s also a handy FAQ page, although it’s run in government fashion: strict and utilitarian. http://answers.ed.gov/cgi-bin/education.cfg/php/enduser/std_alp.php

Regardless, it’s a great start, with a wealth of links and information. Once a grant seeker starts there, it’s time to really brush up on your knowledge of what grants you can get and when you need to apply:

1. Pell grants. Pell grants are awarded to colleges by the federal government, then distributed by an as needed basis. It’s important to get your application in early, as Pell grants run out. Most grant money is provided through Pell grants.
2. Federal supplemental education opportunity grant, or FSEOG, is a grant aimed toward the most needy students. Grants range from $100 to $4,000.
3. Institutional grants are handed out by the colleges, and pick up where Pell grants leave off. These are highly competitive. You have to show the college that you are worthy of their money!
4. State grants usually target very specific majors or areas of expertise. For example, one state may decide it needs more teachers or a boost in science, so it will offer grants in those fields. Others may target only the more needy students. Search your state on ed.gov for a list of state grants.

To up your chances, it’s highly recommended that you fill out the free application for federal student aid, located at http://www.fafsa.ed.gov/

According to the U.S. Department of Education, sixty-six percent of all undergraduates received some type of financial aid in 2007–08. For those who received any aid, the total average amount received was $9,100. Fifty-two percent received grants averaging $4,900.

With this much grant money floating around, a little research and filling out the proper forms could save you a lot of cash now, and avoid paying back some serious debt later.