PREFACE

Considerations

When you're considering college—or some form of education after high school—financial aid almost always comes to mind. How much aid you'll receive may be a deciding factor in whether or not to attend college or whether you'll be able to attend the college of your choice.

You and your family have the primary responsibility of paying for college. But when those funds aren't enough, you need to look at other resources. First you need to make the most of scholarships and grants. If you've already done that and still need more money, a federal student loan (a loan from or guaranteed by the federal government) is your best option (see cautions regarding private loans on page 7).

Every year, more than $83 billion in federal student aid (grants, work-study, and loans) is available to students. Everyone can receive a federal student loan because not all federal student loans are based on financial need.

As with any financial decision, you should understand the process to make informed decisions. This publication provides you with the information you need.

Organization of Content

Each section covers the different stages of the student aid lifecycle.

The four stages in the federal student aid lifecycle are:

Prepare	Apply	Receive	Repay
Learn what you need to know about federal student aid.	Learn how to apply and what happens when you apply	Learn when and how you will receive your aid.	Learn how you will repay the loan and what to do if you're having difficulty repaying your loan.

Questions

If you ever have any questions about federal student aid, you can always:

call us at 1-800-4-FED-AID (1-800-433-3243),
talk to your high school counselor, or
contact the financial aid office at the school you plan on attending.

Remember

Federal student loans are real loans, just like car loans or mortgage loans. You must repay a student loan even if your financial circumstances become difficult. Federal student loans usually can't be written off in bankruptcy. They can't be canceled because you didn't get the education or job you expected, and they can't be canceled because you didn't complete your education (unless you couldn't complete your education because your school closed).