Federal Helps
College Students still Have Financial Problems?
Living in Los Angeles is expensive, especially, for a college student. As an independent
full-time student I have a hard time maintaining good grades and financial stability despite
receiving federal student aids. But, Not everyone knows what Federal Student Aid is. Federal
Student Aid is a part of U.S. Department of Education, which financially helps students to
graduate from college; “The U.S. Department of Education awards more than $120 billion a year
in grants, work-study funds, and low-interest loans to more than 13 million students”
(About Us). This quote shows that government yearly helps $120 to 13million students, but why
after all this money students still have financial problems? To answer this question First we
should see how Federal Student Aid helps student, and then by comparing it to students’ costs we
can see why students have financial trouble.
To be considered for Federal Student Aid, students should fill out Free Application for
Federal Student Aid (FAFSA) online, and later they will receive a letter from schools that they
have listed in their applications, which indicates what types of federal and nonfederal financial
aids they are awarded. Federal Student Aid helps students by offering grants, loans, and work
studies.
Firstly, grants are financial aids, which students do not need to pay back, unlike loans.
Federal Student Aid has four different type of grants: Federal Pell Grants, FSEOG (Grant),
TEACH Grants, and Iraq and Afghanistan Service Grants. Pell grants is for full-time undergrad
students, and the amount of pell grant can vary between students based on their needs. The
maximum of pell grant awarded for the year 2081-2019 was $6,095. Next, Federal
Supplemental Educational Opportunity Grant (FSEOG) is another grant that the college decides
who can receive it based on the students’ financial needs, which can be between $100 and
$4,000. Third, TEACH Grant is only for students who decide to be teachers in a high-need fields
in a low-income areas. TEACH Grant can help student up to $4,000 based on their their financial
needs. Lastly, Iraq and Afghanistan Service Grants is eligible for students whose parent or
guardian has died during a military service in Afghanistan or Iraq, and the amount of grant is
equal to Pell Grant. So, the amount of grants that each student would receive varies based on
their needs and situations.
Secondly, Federal Student Aid helps student by loaning them money. Three types of loans
are available for students: Subsidized and Unsubsidized Loans, PLUS Loans, and Perkins Loans.
