Strategies to Follow

There are multiple strategies that you can adopt to increase your chances of receiving need based scholarships. Some of the most important ones include -



Remember to save money in parent's name rather than in the child's name. There are many saving options where your saving can be treated as a parent asset. The 529 college savings plan is a good example of that. Prepaid tuition plan and Coverdell Education Savings Account are the other saving option you can use.



Another important strategy to follow is parents can go back to advance their educational qualification along with the children. Or else, you can also have multiple children attending college at one time. The greater the number of family members in college at one time is, the bigger the chances are of receiving more education financial aid.



You may have several necessary expenses. Fulfill those necessities to reduce the amount of money available in cash. Therefore, if there is an urgent need to buy a car or a computer, buy them before you actually file the FAFSA.



Try to minimize capital gains and maximize your contributions towards the retirement fund. If you plan to pay some college education expenses, remember not to pay the amount from your retirement fund. Instead, you should use the cash money present in your bank accounts. Also reduce your educational debt. You should be well informed that a 529 college savings plan has the least possible impact on the student financial aid.



If you have credit card debts and loan balances to repay, pay them off first. Pay off your mortgage as well. Even when you file the FAFSA, you need to select the date wisely. The assets you possess and the marital status of the student will be taken into consideration as per the date of the application.