This week I intend to share with you a few of the money saving tips in my new eBook, Shrinking the Cost of Colleges: 152 Tips to Cut the Price of a Bachelor’s Degree. Inside the eBook, you’ll find the best sources of college cash.
Here’s Lesson No. 1: One of the most important things you can do to shrink college costs is to know what the best and worst places are for college cash.
Here’s the good news: two-thirds of all full-time college students ultimately snag some of this cash through college grants. College grants are the best kind of aid to receive because it’s free money. You don’t have to pay it back.
How does your child qualify for these grants or scholarships? Unfortunately, many families tend to look in the wrong places for help with paying for college.
Families often assume that the ticket to slashing college costs is the win a private college scholarship. Others hope their teenage jocks will win an athletic scholarship.
Here’s your wake-up call on these two sources of college cash:
Private scholarships. A mere 7% or so of college grants come from private scholarships. These are the scholarships that organizations like the Rotary Club, Kiwanis Club, corporations and charities dole out. The average private scholarship is worth a mere $2,500 and it’s rarely renewable.
Athletic scholarships. Only about 2% of high school athletes, roughly 130,000 students, win a Division I or II college athletic scholarships.
The average sports scholarship is worth $10,400. And these athletic scholarships are not guaranteed for four years! Athletic scholarships are renewable at the discretion of coaches. Here’s a horror story that I just stumbled across today about a student at the University of Missouri (my alma mater) losing his athletic scholarship when a new crop of prospects showed up.
So where is the big money? That’s the subject for my next blog post.