By ,
Published January 14, 2015
What if you could transform the lazy, hazy days of summer into an opportunity to attend your dream college practically for free?
Ben Kaplan did just that: Winning more than two dozen scholarships worth $90,000 —enough to cover virtually the entire cost of his Harvard degree.
Here's how:
1. Research Scholarships Online
(Projected savings: $10,000 - $15,000)
— $6 to $8 billion in scholarships available from private corporations, foundations, associations
— Use 12-14 free Internet scholarship databases (Fastweb, ScholarshipExperts, CollegeAnswer, etc.)
— CityofCollegeDreams.org has a helpful scholarship tool for better using all of these databases
— Don't neglect small, local scholarships (few apply, there's a snowball effect, and they really add up)
— Recycle old applications — once you've applied for two, you've done most of the work to apply for 10
2. "Supersize" Financial Aid
(Projected savings: $10,000 - $20,000)
— Getting a "preferential package" means more grants and less loans
— Majority of colleges give preferential packages to those students they really want to attract
— Position yourself as a "special" student through your application, in-person visits, and campus contacts
— Better chance to appeal your award (and access "adverse circumstances" funds) if you apply early
— "Professional judgment" appeals for your unusual circumstances can result in thousands more in aid
3. Claim New Tax Benefits
(Projected savings: $5,000)
— Recent stimulus bill contained little-known American Opportunity Tax Credit
— If you spend $4,000 on college this year, you can get $2,500 back as a tax credit
— $1,000 is refundable (meaning you can still get it even if you don't pay taxes)
— Over the next two years, it's an easy way to save $5,000
— Estimated that more than 25 percent of those who could qualify don't claim these types of tax benefits
— High income limits: Can make $80,000 (single filers) or $160,000 (joint filers) and still claim the full credit
4. Get Free Tuition Credits
(Projected savings: $10,000 - $15,000)
— Earning college credit from AP, CLEP, IB, and other tests is the most underutilized way to save
— Each credit you earn now is one less you have to pay for later
— A single test can now save you $8,000 - $10,000 at many private colleges and universities
— You can reduce costs by 25 percent at most colleges if you have enough credit
— Research the policies of potential colleges and choose classes and exams that maximize savings
— I personally saved $30,000 at Harvard by entering with the credits of a sophomore.
5. Climb the Student Loan Ladder
(Projected savings: $10,000 - $15,000)
— Loan types are confusing and it's critical to make sure you have the least-expensive loan type
— Choose government-backed loans (Stafford, PLUS, Perkins) before private alternative loans
— Shop around for the best deal and look for "front end" benefits (waive origination fees, etc.)
— Opting for a longer repayment plan (many do this) can double the cost of your loan
— By maximizing scholarships and financial aid, you not only borrow less but save compound interest, too
Total Savings: $45,000 - $70,000
For more information, visit: www.cityofcollegedreams.org
https://www.foxnews.com/story/cash-for-college