How does paying off tuition work?

Question

I'm going to be attending college in a couple years and I need to know how paying off tuition works. If I have a 14,000 dollar tuition racked up through two years of community than can I pay that off in lets say a matter of 10 years or so? Or are you expected to pay off tuition in those two years or upfront before you begin?

Answer 1

It really depends on what loans you take out, whether they are subsidized or unsubsidized, or if you have other kind of government or state loans etc.



Subsidized Loans are loans for undergraduate students with financial need, as determined by your cost of attendance minus expected family contribution and other financial aid (such as grants or scholarships). Subsidized Loans do not accrue interest while you are in school at least half-time or during grace and deferment periods.



Unsubsidized Loans are loans for both undergraduate and graduate students that are not based on financial need. Eligibility is determined by your cost of attendance minus other financial aid (such as grants or scholarships). Interest is charged during in-school, deferment, and grace periods. Unlike a subsidized loan, you are responsible for the interest from the time the unsubsidized loan is disbursed until it’s paid in full. You can choose to pay the interest or allow it to accrue (accumulate) and be capitalized (that is, added to the principal amount of your loan). Capitalizing the interest will increase the amount you have to repay



There is a 6 month grace period that starts the day after you graduate, leave school, or drop below half-time enrollment. You do not have to begin making payments until your grace period ends.

Answer 2

The college will expect you to pay your tuition before classes start, but most students don't pay that out of pocket because they use financial aid to pay it. Financial aid can come from several sources:



1) Grants. These are usually based on financial need, so not all students will qualify. Grants do ot need to be repaid.



2) Scholarships. These can come from private organizations or from the school itself. They can be awarded on the basis of financial need or merit (such as high grades)



3) State Aid programs--most states offer financial aid programs that can include grants, tuition waivers and low interest loans.



4) Student loans--these can include federal student loans they aren't based on credit, or private student loans that do require a credit check. In most cases, payments can be postponed until after you graduate, and you typically would have at least 10 years to repay.



With all those sources of aid, it is not uncommon for a community college student to find that he does not have to pay anything until he graduates. For an estimate of what you can expect at your particular school, you should contact the financial aid department there.

Answer 3

tuition is due before classes begin

each semester bill must be satisfied or you will be taken off the enrollment for the classes



you can take out student loans, but you might not get enough to cover the full cost

if you take student loans, you are given time to pay them off with interest, fees, etc..



working while in school is a great way to minimize your student loan debt

paying off $7,000 per year should be do-able with a 20 hour per week job