• Order in which you should accept aid:

    1: Scholarships and grants
    Make sure you understand the conditions you must meet (for instance, you might have to maintain a certain grade-point average in order to continue receiving a scholarship, or your TEACH Grant might turn into a loan if you don’t teach for a certain number of years under specific circumstances).

    2. Work-study
    You don’t have to pay the money back, but you do have to work for it, so take into account that that’ll mean less time for studying. However, research has shown that students who work part-time jobs manage their time better than those who don’t!

    3 Federal student loans
    You’ll have to repay the money with interest. Subsidized loans don’t start accruing (accumulating) interest until you leave school, so accept a subsidized loan before an unsubsidized loan.

    4 Loans from your state government or your college
    You’ll have to repay the money with interest, and the terms of the loan might not be as good as those of a federal student loan. Be sure to read all the fine print before you borrow.

    5 Private loans
    You’ll have to repay the money with interest, and the terms and conditions of the loan almost certainly will not be as good as those of a federal student loan.

    How do I get my money?
    The financial aid staff at your college or career school will explain exactly how and when your aid will be paid out. They also will tell you whether you need to fill out any more paperwork or meet other requirements. For instance, if you’re receiving a federal student loan for the first time, you should expect to be required to sign a promissory note and go through entrance counseling. Be sure to keep in touch with your school’s financial aid office so that you understand the whole process of receiving your aid.

    The following are the need-based federal student aid programs: