Financial Aid and Financial Literacy

Choosing how to pay for college is often one of the first major financial decisions that young adults make. Financial literacy education can provide an understanding of how to manage personal finances, establish financial goals, and form a plan to reach them.

What is Financial Aid

Types of Financial Aid

Repaying Your Loans

Understanding how to repay your federal student loans can save you a lot of time and money. Check out this video to learn more about changing repayment plans, postponing or reducing your payments, or combining your federal student loans. 

View accessible version (wmv)

Sample Monthly Repayment Amounts

More on repaying loans

Source website

Consequences of Default

 The consequences, which can be severe, include the following:

  • The entire unpaid balance of your loan and any interest you owe become immediately due.
  • You can no longer receive deferment or forbearance, and you lose your eligibility for other benefits, such as the ability to choose a repayment plan.
  • You will lose eligibility for any additional federal student aid.
  • The default will be reported to credit bureaus, damaging your credit rating and affecting your ability to buy a car or house or to get a credit card.
  • Your tax refunds and federal benefit payments may be withheld and applied toward repayment of your defaulted loan.
  • Your wages will be garnished. This means your employer may be required to withhold a portion of your pay and send it to your loan holder to repay your defaulted loan.
  • and more…

More on default

Where to Start

Personal Finances and Budgeting

While you’re in college or career school, you’ll need to learn how to manage your finances, plan for changes, and prepare for the unexpected. Budgeting will help you build decision-making skills and reach your financial and academic goals.

More on budgeting

Credit and Debt

 The difference between credit and debt is essentially a story of "before" and "after."

  • Credit is the ability to borrow money, while debt is the result of borrowing money.
  • When you use credit, you create debt.
  • … and the more responsible you are at managing your debt, the more access you may have to credit in the future.

Source website

Student Perspective

“Receiving scholarships during my time at LWTech has really freed me to focus fully on my program. I think that has really paid off in academic achievement, lower stress and more possibilities in the future.”

– Peter Stanton, The Boeing Company STEM
Scholarship & LWTech Foundation
Bright Futures Scholarships