1. Entrance Ticket
Based on yesterday’s lesson, what are the costs and benefits of attending private vs public schools?
How does Rhode Island compare to the rest of the country?

2. Agenda 1) Options to Pay for College
2) Comparing Public and Private Loans
3) Fastweb Activity
4) Exit Ticket

3. Options to Pay for College

4. Key Terms Full tuition = all tuition paid
“Full ride” = everything paid
Loans: need to be paid back
Grants/scholarships: do not need to be paid back
Financial Aid: based on financial need
Merit Aid: based on achievement (e.g. grades/test scores)

5. Federal Aid Largest source of financial aid; based on financial need
Types:
Grants (Pell = up to $5730/year and SEOG = up to $4000/year)
Loans (Perkins and Stafford Loans)
Subsidized loans are awarded to low-income students and do not require student to pay interest
Unsubsidized loans require payment of interest
Work-study (jobs that help you earn an income)

6. State Aid Smaller source of aid, based on financial need
In RI, comes from the Rhode Island Higher Education Assistance Authority
Awards range from $250 - $500

7. School Aid
Depending on the school, can be the largest source of aid; based on financial need and merit
Amount schools have usually depend largely on size, wealth, and rank of school
For example, the best private schools offer the best financial aid packages

8. Private Aid
Private banks can be a source of student loans if federal loans are not enough (typically have much higher interest rates than federal loans)
Non profit organizations and corporations may offer competitive merit-based scholarships
Ex)
Ex)

9. COMPARING PUBLIC AND PRIVATE LOANS

10. Perkins Loans vs. Stafford Loans
5% Fixed interest Rate
Subsidized through graduation
Limited funds available; only for students with significant financial need
4.29% Fixed Interest Rate
Can be subsidized, if eligible
The “going rate” for the loan will vary by year (see next page)

11. Changing Interest Rates (***4.29% in 2015-2016)

12. Private Loans (Ex )

13. Assignment / HW Create a fastweb.com account
Fastweb is a free resource that connects you to scholarships that you qualify for
Write down any scholarships you already qualify for and how much they are worth (minimum = 3)

14. Exit Ticket
What are 4 sources of financial aid available to you in RI? Be specific. (don’t say “the bank”)