The Financial Aid Office’s Magical Disappearing Act

When I first received my financial aid statement for my senior year at Sarah Lawrence College, a cold rush of panic flooded me.

I called the Financial Aid Office immediately and told them there must have been a mistake—the statement seemed to suggest that my family’s resources exceeded the amount necessary to pay the entire tuition and fees. But the curt woman who answered the phone insisted that there was no mistake.

After years of substantial gift aid (assistance from the school that doesn’t need to be paid back), I was suddenly ineligible for anything but a small federal loan and a work study plan.

I was shattered. The Sarah Lawrence administration had sent letters repeatedly promising that students in need of assistance would not lose any of their aid, even in these difficult times. I knew the school was floundering—already its tiny endowment had been severely shrunk in the recession—but I always had faith that SLC would help me remain there for my final year. I was in good academic standing, I was a former R.A., and as far as I knew, my parents’ finances had not changed drastically in the past year. Why, after the vows to keep current students enrolled, had the school suddenly yanked my gift aid?

In the week to follow, the question was not sufficiently answered. But during that time, I stopped panicking and started planning. There are several courses of action a student in my situation can take in order to understand why their expected financial aid was denied, attempt to recover the aid, and if recovery is impossible, cut the costs of attending college until it becomes manageable.

1. Contact the Financial Aid Office… a lot.

The Financial Aid Office is busy; if you’re confused, chances are a lot of other people are, too. The office might try to give you the quickest answer possible to get you off their hands; my first phone call ended with an abrupt: “Talk to your parents.” But persistence is the best way to get to the bottom of their decision. Have your parents contact the office as well; since parents are often the ones writing the checks, they wield a greater influence with the school, and the office might be more accommodating. And if possible, speak to the office’s director—they often have access to the most information and have the most power to make changes.

2.    Rally your professors.

A professor speaking on your behalf may have no effect on your financial aid package, but often your professors have taught other students in your situation and can offer useful advice. Professors can also use their connections with the administration to make the Financial Aid Office look twice at their decision. The worst that can happen is you gain additional sympathy and support.

3.    Think about transferring.

It might feel awful to consider, but for students still early in their college years, transferring to a less expensive school could be a huge money saver—compare UMass Amherst’s tuition and fees for in-state residents at $20,008 with Amherst College’s at $46,760. On the other hand, top schools with large endowments might also be able to offer more aid. If you change schools early in your college education, transferring credits and fulfilling the new school’s requirements won’t be too complicated. Even if transferring schools isn’t right for you (I for one would have been outraged two years ago at the suggestion), it might not be a bad idea to let your Financial Aid Office know that transferring is something you’re considering. It could help to show them your sense of urgency. Remember that when a college loses a student, it also loses a customer.

4.    Drop the meal plan and move off campus.

Meal plans are often expensive and inconvenient with specific meal hours that don’t fit your schedule. Request a dorm with a kitchen and start cooking—you can eat on your own time, and a grocery bill will almost always be less than your meal plan cost if you’re a careful shopper. Or you can move off campus all together. Housing also can be overpriced and not as comfortable as your own place. NYU students, for instance, pay between $1000- 1450 per month for a shared bedroom, steep even for Manhattan. A few friends splitting a home, even in an expensive neighborhood, can save you thousands on Residence Fees. You can save even more by sharing bedrooms or turning the living room into a bedroom, and you get to choose your roommates.

5.    Take out a loan.

Your financial aid package often includes a Federal Stafford loan, which is between $3,500 and $7,500 per year for dependents. It’s often subsidized, which means the loan will not collect interest while you’re still enrolled in school or for a grace period of six months after. You also have the option of increasing your loan by an additional $2000, unsubsidized. Subsidized Stafford loans this year have an interest rate of 5.6 percent; unsubsidized have 6.8 percent interest. Whether increasing your Stafford loan will save more money than a private loan depends on your credit and often a cosigner’s credit. Having someone with a good credit history cosign your loan could lower your interest rates and fees for private loans. If your cosigner has a strong credit score, it might be worth it to take out the extra money in private loans. Be warned, however, that even subsidized private loans often require you to pay the interest while still attending college. Because there are no payment penalties and no credit checks necessary for the Federal Stafford loan, it might be a safer option to max out your federal loans before applying for a private one.

6.    As a last resort, a public display of your need

This could get the Financial Aid Office to reconsider—but this is not recommended. When an NYU student began sleeping in the library to save on housing and blogging about it, NYU was suddenly in a media spotlight. As a result, NYU gave the student free housing and an R.A. position for the following year. But public displays such as that one are not advisable. First, they may not work. NYU was nervous enough about negative press to help this one student, but not all schools may be as concerned, and not all blogs as popular. Second, publicly displaying your need by living in a harsh situation can be more draining and uncomfortable than it’s worth. Finally, learning how to fight for yourself, spend wisely, and communicate effectively with a reticent administration is more valuable than the attention sleeping in the library will get you.

Finally, after many phone calls and emails and repeated questions, the director of Financial Aid at Sarah Lawrence realized that the office had made a mistake. My dad had overestimated his income on his application and sent a letter imploring the office to look at his tax returns instead—a letter that had been acknowledged, but ignored. After reconsidering his tax forms, SLC increased my gift aid by over $8,000. My aid has still suffered a major cut from last year and I’m still planning to maximize my Stafford Loan and move off campus. But now, with an understanding of the problem and a plan to lower costs, the panic is gone and the year to come looks manageable.