An additional one million students will be eligible for the Pell Grant this year, thanks to the federal government’s expansion of the program. While we know that there is no “one size fits all” Pell Grant recipient, it doesn’t mean there’s nothing you can do to make yourself a little bit more attractive to the formula that determines whether or not you receive one. The amount of your Pell Grant award is based on a number of factors, including your Expected Family Contribution (EFC), which is the amount that the federal government determines your family can pay toward college costs, as well as the Cost of Attendance (COA) for your school of choice and whether you enroll in school full-time or part-time.

This week, we shared a press release that outlined four tips on increasing your eligibility to receive a Pell Grant award. Here’s a peek:

1. Demonstrate a substantial financial need for aid to attend college be having as little money as possible on hand in your checking or savings accounts the day you file your FAFSA.
2. File your tax return before completing your FAFSA, even if you have no income.
3. If possible, opt to live on-campus.
4. Avoid errors by completing the online version of the FAFSA.

To read the full release: EducationGrant.com Offers Tips on Increasing Eligibility for the Pell Grant

If you haven’t already, you should get a head start on filling out your FAFSA application. Each year, more than 16 million students apply for more than $100 million in student aid using the FAFSA, or Free Application for Federal Student Aid.

Vangent, a information management and strategic business solution company, announced that the “FAFSA on the Web” web portal received the highest citizen satisfaction score on the latest American Customer Satisfaction (ACSI) survey of U.S Federal Government 2009 news and information sites, according to a recent press release. Vangent co-designed, built, and helped operate the FAFSA web portal on the behalf of the U.S. Department of Education.

Vangent has been working with the Department of Education’s Office of Federal Student Aid (FSA) for more than 25 years, and in January 2010, they launched a new simplified form that includes text pop-ups, skip logic, and a IRS Data Match – a feature that automatically transfers and verifies application tax data with the IRA in real-time. Approximately 99% of all financial aid applications are submitted electronically via the FAFSA on the Web portal, which has greatly improved efficiencies.

The new and improved FAFSA on the Web portal has increased user satisfaction, as well as meeting the Obama Administration’s objectives to simplify the financial aid application process.

Don’t miss FAFSA deadlines!

• For the 2009-2010 year, all FAFSA applications must be turned in by midnight Central Daylight time, on September 21, 2010.
• For the 2010-2011 year, all FAFSA applications must be turned in by midnight Central Daylight time, on June 30, 2011.

More information on the FAFSA:

The Key to Filling out the FAFSA in 3 Steps

FAFSA

There are scholarship scams, diploma mills, fake schools, and other fraudulent organizations and people who try to scam others out of their money these days. You must be careful when applying to online schools, for scholarships and financial aid, and when making transactions online – make sure your information is safe!

Here are 5 of the Biggest College Scams:

5. University of Missouri Email Harvesting Scam

Between 2001 and 2004, two former University of Missouri students operated a national email scam that included over 2,000 colleges and universities, where they illegally collected over 8 million student email addresses. The spammers used these to send targeted spam emails to sell products and services, earning them $4.1 million. They used the University of Missouri computer network to send out the massive amounts of emails, and even after they were discovered the spammers continued to email students at other schools.  Four people were charged in the incident under the CAN-SPAM Act of 2003, which says email fraud is a federal crime.

4. Purdue Textbook Scam

A student at Purdue University created 568 fake seller accounts on Half.com. He  advertised that textbooks were on sale for all of the fake Half.com seller accounts, so buyers sent in over $5.3 million dollars, thinking they were receiving textbooks for cheap. The student wired the illegally obtained funds back to his bank accounts in Malaysia. The scam was discovered once none of  the buyers received any of their textbooks.

3. Las Vegas Woman Scams $1 million in Student Aid

From January 2000 to March 2004, a Las Vegas woman (along with her 4 children and 3 grandchildren) obtained personal information from over 65 people, and used it to apply for federal student loans and grants for distance learning schools in several states. The financial aid checks were sent through the mail, and the funds were obtained with false identification documents. A financial aid officer noticed that many students were applying for financial aid using the same addresses and phone numbers, so the scam was discovered.

2. Terrorists Enroll in Fake Colleges to gain Student Visas into the UK

A Pakistani gang set up fake colleges in the UK, which allowed men from al-Qaida to enroll and gain entry on student visas. The students were able to stay in Britain longer, and the gang made almost £2m in less than two years from fake diplomas and fake tuition fees. 8 terrorist suspects were arrested in April 2009 for a bomb plot in Manchester and Liverpool. The suspects all came from the same “college”. All of the fake colleges that the authorities investigated in the UK were controlled by 3 young Pakistani businessmen, all of which entered the UK on a student visa.

1. Student Loan Scandal:

In 2007, New York Attorney General Andrew Cuomo uncovered illegal practices and conflicts of interest between colleges and student loan lenders. Revenue-sharing agreements with multiple colleges, as well as perks for the financial aid officials in exchange for placement on preferred lender lists were discovered. Some financial aid officials also owned financial stake in the loan companies they were promoting to their students. In 2007, the Student Loan Sunshine Act was passed which included provisions banning gifts, perks, and revenue-sharing agreements between student loan lenders and schools.

It’s crazy to think about how some people can get away with such extreme scams. Protect yourself and don’t become a victim when you are applying to schools and financial aid!

Check out more information on scholarship scams: Top 10 Scholarship Scams

Source: CampusGrotto.com, http://www.campusgrotto.com/the-10-biggest-college-scams-of-all-time.html

The AARP Foundation Women’s Scholarship Program is for nontraditional students – women who are 40+ years old, and who are seeking new educational opportunities, job skills, and training.

The deadline to apply for this scholarship is March 31, 2010. It is available for full or part-time students.

The AARP Foundation Women’s Scholarship may be used at public or private schools, community colleges, technical schools, and universities, for tuition, fees, and books. This scholarship is not for graduate degree programs. Rather, it is for women seeking out training and certificate programs. Many women are returning to the workforce after an extended absence, or are underemployed and need more skills and experience to further their careers.

Requirements for applying for the AARP Foundation Women’s Scholarship Program

Applicants must be:

• Women
• At least 40 years old (by 3/31/2010)
• U.S. Citizens
• Enrolled in an accredited school or technical program in the United States (within 6 months of the scholarship award date)
• Able to demonstrate a need for financial aid

For more information, or to apply to the AARP Foundation Women’s Scholarship Program, please visit their website. (Click on the “Apply Here” tab). Remember, the deadline is March 31, 2010 – so apply today!

Check out the other available scholarships for women:
Scholarships for Single Mothers

An Income Based Repayment (IBR) is one repayment plan option for student loans, under the William D. Ford Federal Direct Loan (Direct Loan) Program, or the Federal Family Education Loan (FFEL) Program.

Any Stafford, Grad PLUS, or Consolidation loan made under the Direct Loan or FFEL program is eligible for repayment under the Income Based Repayment Plan – except loans that are currently in default, parent PLUS Loans, or consolidation loans that paid for a parent PLUS loan. Income Based Repayment Plans can pay for new or old loans from your undergraduate, graduate, or professional education or job training.

If you qualify for a IBR Plan, your required monthly payment is capped at an amount that is intended to be affordable based on your income and family size. It will be less than what you would have to pay under a 10-year Standard Repayment Plan.

President Obama’s new student loan proposal states that the cap on federal student loan payments will be lowered from 15 to 10 percent of income, and will forgive any remaining debt after 20 years of payments, rather than the current 25 years.

Benefits of the Income Based Repayment Plan:

• The IBR Plans makes your monthly student loans payments more affordable.
• If your IBR payment amount doesn’t cover the interest that accumulates on your loans each month, the government will pay for any unpaid accrued interest on your loan for up to 3 consecutive years (from the date you begin repaying your loans under the IBR Plan).
• If you repay your loan under an IBR Plan, and meet certain other requirements, any remaining loan balance you owe will be canceled after 20 years.
• Loan payments made under a IBR Plan count towards the 120 payments required for the Direct Loan Public Service Loan Forgiveness (PSLF) Program.

For more information, and to see if you qualify for a Income Based Repayment Plan, please visit the StudentAid.ED.gov website.

Happy Presidents’ Day! Since most of you probably have the day off, now is a good time to start searching for scholarships!  Here are some tips to help you with your search:

1. Don’t wait until your senior year of high school to start searching for scholarships. It is a time- consuming process that requires research. Search for scholarships from your community and state, the school you’re interested in, and any religious organizations or other groups that you may be involved in.
2. Don’t just apply for higher paying scholarships – a bunch of smaller scholarships can really add up! Apply to any and all scholarships that you are eligible for.
3. Market yourself in your applications and essays. Positively showcase yourself and your life experiences. Scholarship sponsors are looking for well-rounded individuals involved in their community, sports, or extracurricular activities.
4. Thoroughly answer the essay question that was asked. Don’t write about unrelated topics.
5. Proofread your scholarship applications and essays thoroughly.  You don’t want some grammar errors or typos to mess up your chances at a scholarship.
6. Send in all requested materials. Some scholarships want letters of recommendation, others want essays, and some will require both.
7. Make copies of all your paperwork – essays, transcripts, and applications. It will help you keep track of the scholarships you already applied to, and in case you need to reference or resend anything, you will have it readily available.
8. It may be helpful to create a spreadsheet with sections for the name of the scholarship, the deadline, requirements, contact information, and important links to organize your progress.
9. Don’t miss the deadline! Send things out early, since they may take longer than you expect to arrive at their destinations.
10. Send your application by registered or certified mail. You will have a receipt and be able to track its progress so you know when it has arrived.

Remember to start your scholarship search early – scholarships help pay for your education, so apply to as many as you can!

Diploma mills are organizations that award fake degrees to individuals who haven’t taken classes or done any work. Nowadays, people are looking for the easiest way to gain credentials that they can use towards their career advancement, and that is why diploma mills continue to remain in business.

There are two kinds of diploma mills – diploma mills that sell fake degrees for cash, and diploma mills that pretend to be real accredited schools.

Recently US Congressmen unveiled legislation that aims to stop diploma mills. The bill is part of a much needed effort to stop unauthorized colleges and degrees, and intends to:

• establish federal law definitions for diploma mills and accreditation mills
• bar federal agencies from using diploma mill degrees to provide jobs that are dependent of the person’s education credentials
• have the Federal Trade Commission define and crack down on diploma mills

The bill is further explained in an Inside Higher Ed article.

It has been hard to prosecute diploma mills, and the individuals who purchase false degrees, without a legal definition of what one is. The new legislation would define a diploma mill as any organization that is not accredited by an agency that is recognized by the U.S. Education Department, the Council for Higher Education Accreditation, or authorized to give postsecondary degrees by the state government. The new legislation will also make passing off a fake degree as an accredited diploma a crime.

Individual states are also considering bills to stop using phony academic credentials. For example, unauthorized schools will be prohibited from using words like college, university, or state in their names.

Things to remember:

• Receiving an education requires lots of time, hard work, and taking examinations and classes.
• Although you usually do have to pay for schooling, you never just pay and instantly receive a diploma.
• Make sure the online degree you are considering is being offered from a legitimate accredited school – you can now get in trouble with the law for purchasing them!

Although obtaining a degree from a diploma mill seems like a quick and easy alternative, it is not worth it in the long run. Find an online degree program that suits your individual needs and goals for the future, and save yourself time and money from being scammed by diploma mills!

Are you an aspiring professional athlete? Do you think you have what it takes to be in the Winter Olympics one day? If so, and if you are in high school, you should look into sports scholarships that are available at the colleges and universities you are interested in attending!

Search for schools that offer your sport of choice, and contact their athletic department and coaches to obtain information about the scholarships they offer, and how to apply for one. It is important to market yourself to your desired schools, to make sure they know who you are!

There are a many different sports scholarships available, and they will differ according to what athletics and sports each school offers. These may include scholarships for golf, baseball, basketball, soccer, football, wrestling, swimming, hockey, softball, tennis, skiing, cross country, track, volleyball, crew, archery, field hockey, or gymnastics (among others).

Division I and Division II schools give out undergraduate athletic scholarships. Division III schools don’t offer athletic scholarships, they only offer academic scholarships. Athletic scholarships are regulated and partially funded by the National Collegiate Athletic Association (NCAA). Athletic scholarships are also distributed equally among the sexes.

Student-athletes who are interested in playing sports in college should register with the NCAA Eligibility Center at the start of their junior year in high school. There are requirements for getting a scholarship at a NCAA Division I or Division II school, which always require students to earn and maintain a certain GPA. Additional information is available on their website.

A reminder that the 2010 Winter Olympics start Friday February 12 – so student-athletes should start preparing to win the gold today by receiving sports scholarships from their schools!

Two years ago, Cynthia M. Tiemann of St. Peters, MO, took out seven college loans in her daughters’ names totaling nearly $140,000. She had no intention of paying their tuition with this money, as she forged the names of her two daughters and 71-year-old mother as a cosigner. Instead, she gambled it away at a local casino.

How’d they find out? The girls’ father suggested to one of them that she learn about her credit, so he suggested that she pull her credit report online. That’s when she found out about the student loans that were taken out in her name nearly 18 months prior, according to fox4kc.com.

Cynthia, who suffers from a gambling addiction, was was sentenced Monday to five years in prison. The loans have been cleared from her daughters’ credit reports, but surely the emotional stress will take some time to pass.

Lesson of the day: Pull your credit report annually!

See also: What NOT To Do With Your Pell Grant

FAFSA, the Free Application for Federal Student Aid, is used to apply for financial aid from your school, state, or government.  The application deadline for federal student financial aid and state student financial aid may be different, and you may be required to fill out additional application forms.

The FAFSA needs to be filled out in order for you to receive federal aid, state aid, or school aid.

• School financial aid is given as loans, grants, or scholarships from the school you are attending (or wish to attend)
• State financial aid is given by the state you live in as loans or educational grants.
• Federal financial aid is given by the government as Pell Grants or Stafford Loans.

Federal Student Financial Aid deadlines

For the 2009 – 2010 school year (starting July 1, 2009, ending June 30, 2010), FAFSA online applications must be submitted by midnight central daylight time on June 30, 2010. Any corrections to the online forms must be submitted by midnight central daylight time on September 21, 2010.

If you apply for financial aid for the 2009-2010 school year (which we are currently in), you can use that aid to cover what you have already spent on schooling. This aid can also be applied towards any additional schooling or classes taken and completed before June 30, 2010.

For the 2010 – 2011 school year (starting July 1, 2010, ending June 30, 2011), FAFSA online applications must be submitted by midnight central daylight time on June 30, 2011. Any corrections to the online forms must be submitted by midnight central daylight time on September 21, 2011.

In order for you to actually receive financial aid, your school must have your correct and completed FAFSA information before the last day of your enrollment.

State Student Financial Aid Deadlines:

Most deadlines for state financial aid applications are different than the federal financial aid application deadlines, and will vary by each state. It is extremely important to check with your financial aid advisor to find out when these are so you don’t miss them! You can also check out http://www.fafsa.ed.gov/before003a.htm#state_deadlines for more details.

Since all financial aid – federal or state – is awarded on a first come, first served basis, it’s in your best interest to get all the FAFSA information you need to submit your application as soon as possible!