The four state-related universities, Temple, Pitt, Penn State and Lincoln Universities would feel the impact immediately from budgets that would be cut by as much as 50%.  And that’s not the only PA colleges that would be effected.  The 14 universities included in the Pennslyvania higher education sysyem which includes: Kutztown, Loch Haven, Shippensburg, Millersville, West Chester Universities, etc,  and all of the campuses that belong to Penn State and the others mentioned would also be directly effected.

Pennsylvania State University president Graham Spanier said, “A funding gap this large is going to fundamentally change the way we operate…from the number of students we can educate, to the tuition we must charge, to the programs we offer and the services we can provide, to the number of employees and the research we undertake.”

The governor seems to be holding his campaign promise of a no-tax-increase pledge that he made part of his platform last year during the election. He defends the budget in many ways saying, “We confront an undeniable reality… We are a nation that once produced wealth beyond calculation but has now produced debt beyond reckoning.”  He also said that the state must move forward “with honesty and restraint” and produce “a more limited but vigorous government.”  In his state budget address to legislators in Harrisburg, he points out that this is a shared sacrifice with the state up against a $4 billion budget deficit and uncontrolled spending from previous administrations.

Click HEREfor PA Newsmakers video on the Budget cuts and how they will effect students and parents.

Mary, from the class of 2010, was a 3.38 student and did well throughout her schooling career. She did a lot of research on colleges that she thought were good matches for her and her major.  Once narrowed down to 14 schools, it was time to choose and send in applications.  The one aspect that she didn’t research was; how much in financial aid each college awarded to students that demonstrated need.

Consequently, the seven schools that she finally applied to were good choices, in that she had 3 colleges that she considered safety schools, 2 colleges that were middle tier schools and 2 colleges that were reach schools.  The only problem is that six if the seven schools didn’t meet most of her financial need, meaning that Mary’s parents were going to have to come up with much more money than her Expected Family Contribution. With her sister going to college in three years, Mary and her parents were facing hundreds of thousands of dollars in college costs. A situation they could not afford nor was a lender going to let happen. It was a mistake that most people make when they search for colleges to apply to: Not knowing how much need is met and of the need that is met, how much comes in free money (grants and scholarships) versus self-help (loans).  

Too many students apply to schools, get their hopes up, and are thrilled when they get accepted only to realize the crushing reality that the college doesn’t offer enough or the right kind of financial aid making the actual cost well in excess of a family’s budget.  This is a waste of time, money and in Mary’s case; a catastrophe because she got wait-listed at the college that was affordable devastating her and putting her entire future in jeopardy.

 “It doesn’t have to be that way,” says Terrence Garvey from Tuition Solutions.  “Your college selection must take into consideration the amount you will ultimately spend- not just a student’s criteria.  College selection is a calculated decision. Many times I show parents that the state school they thought was cheaper is actually more expensive than a prestigious private university.   Let’s face it; it’s a $100,000+ decision that a high school child is expected to make with absolutely no experience or skilled judgment. I’ve seen the decision making  by students based solely on where a friend is going or a football team mascot.”

 “Before you apply, there is work to be done,” he continued. “First, you have to calculate your EFC. Then you need to dig up the closely guarded information of 1-how much need the college typically awards to a student with a similar EFC, 2-how much of the award comes in loans and 3-how much comes in grants, scholarships and tuition discounts. Otherwise, your child could have devastating results from huge student loan debt (that experts now claim does not justify the profession’s income) to dropping out –which, by the way, is the number one reason children don’t graduate- lack of money,” Garvey says.  

He states that high school guidance counselors, although well trained in college guidance, can’t give financial aid advice to students or to parents and assemble college lists based exclusively on a student’s merit and personal criteria, not financial responsibility. “I know. It happened to me when my son was a senior in high school. The entire list of schools the counselor gave him had absolutely no consideration for our family’s ability to pay,” he said.

 “The lists are good to begin your search,”  he continued, “but this is only a starting point. Unless you are prepared to write checks totaling $100,000 and up, it is imperative to learn the process and the facts for each school or you will be wasting money and/or possibly ruining your child’s future along with your retirement. Don’t be like Mary. Get the knowledge you need and get it now before it’s too late.”

Expert’s Top 6 College Focal Points

We asked Terrence Garvey, a 20 year college matriculation, financial aid and funding expert to list the top critical areas that you and your college-bound student need to focus on in September to improve your chances and put you ahead of the pack and this is what he listed:

 1. First and foremost get prepared before you file your forms. There’s way too much to go into here, but understand that an untold sum of money climbing way into the millions every year goes unclaimed because people thought they had too much in savings or made too much money to qualify. If you show me two families with exactly the same circumstances, I can show you two different aid offers from the same college. That’s because one family took the time to get prepared and the other didn’t. I see families with several hundred thousand dollars in savings, or from windfalls like insurance settlements or inheritances, receive plenty of aid every year. It’s because they took the time to find out what they needed to do during the senior fall semester of high school. Everyone has the same amount of time. Start planning now- or you could lose thousands that you would have otherwise received.

2. Finalize the College List – It’s likely that you and your student have been researching a whole list of potential colleges that may be a good fit for your child. Now is the time to trim down the list to no more than ten or twelve colleges. If you want to significantly increase your chances of getting a generous financial aid offer for your student, make sure the list contains mostly schools that your student falls within the top 20 – 25% of the applicant pool academically. For many reasons, the list should be well rounded meaning that you are applying to a wide variety of colleges from private top-tire schools, both public and private and in-state and out-of-state colleges.

3. Demonstrate Interest to the Colleges – When the admission officers are choosing who they will offer admission to, they try to figure out which applicant will say “yes” to their offer. Admissions departments want to show that most of their offers were accepted because this is one of the statistics that many college rankings track and follow. It is obviously best to have the student officially visit the school (many colleges will waive the application fee when you go to see them). If this is impossible, attend a local college fair and stop by the booth and register for information and proclaim your high regard and interest in the school. At the very least, email (don’t call) the Admissions Office and explain why you can’t visit but that you truly wish you could. Get their name and direct number if possible and follow up later in the week asking an intelligent question that you can’t find the answer to from the college’s website or brochure.

4. Complete the College Admissions Application ASAP- There is just no way to explain the importance of your child to get the applications done ASAP. You don’t want to have homework pile up along with the stress level complicating the process. Students have a hard time doing their best job possible on their applications when they have to worry about homework and all the other school-year activities they are involved in. Students that focus on finishing their applications this month will be rewarded greatly by being able to enjoy their senior year and bring the stress level way down! It is a big job writing essays and having them critiqued. Be sure to be as accurate and neat as possible. Needless to say, a messy or incomplete application might not make the pile you want to be in at the end of the day.

5. Choose the Right People to Write a Letter of Recommendation – You really only need three. One from a teacher that really got to know you because you participated regularly in the class and did well in it. You should write a Resume of Outstanding Achievements with the teacher. This will get the resume professional looking and the student can pass a finished copy along to other perspective letter writers for obvious reasons. Also, asking a local businessman or expert in a field of study that the child is applying for will go a long way. Have the student ask the businessman for their opinion on entering the field of study and career path along with which school that he attended. If by chance the college you are applying to and his alma mater are one in the same, this is a good thing. Imagine having a high school child ask for your opinion about college selection or career path? Most people I know will go way out of their way to not only answer the child’s questions, but also write an outstanding recommendation letter.

6. Don’t Slack Off During Senior Year – Even though your student’s GPA that will count for college admissions only goes through the junior year, almost all colleges will still look to see what classes your student has chosen to take for the senior year. College admissions officers are looking for students that are continuing to intellectually challenge themselves and work on preparing themselves for college level work. Make sure your student doesn’t slack off now by taking P.E. instead of third year language, for instance or only scheduling three classes so they are out of school by noon!

Terrence Garvey is recognized as the area’s leading expert and author of The Ultimate Guide to College Financial Aid. The Towne House in Media will be hosting the 15th annual Free College Financial Aid and Funding Nights on Tuesday, 9/28 and Thursday, 9/30 both times at 7 PM. As the keynote speaker, Mr. Garvey will cover the college matriculation and aid process stressing areas not covered at high school college nights to lower your college costs. For reservations, e-mail which date you would like to attend to: tuitionsolutions@comcast.net or call: 610-357-6012.

Student Satisfaction with Financial Aid

It always good to get current students’ perspectives on topics at any college that you visit.  How happy are students with the financial aid system at this school? Obviously, you might not get a reliable answer from the school, so ask current and former students (try using Facebook and MySpace college discussion pages). The Princeton Review does offer a ranking of 20 schools with the happiest and unhappiest students about financial aid, but you’ll want to find out about other schools too.

Paying for a college education has become an overwhelming feat for many students and their families, and the more information you have about a school’s bottom line, the better. Asking questions on campus of current students will give you a better sense of the “big picture” when it comes to what a school will really cost.

Mary Linkhurst, a senior last year from Elkton, MD, was a 3.38 student and did well throughout her schooling career. She did a lot of research on colleges that she thought were good matches for her and her major.  Once narrowed down to 14 schools, it was time to choose and send in applications.  The one aspect that she didn’t research was; how much in financial aid each college awarded to students that demonstrated need.

Consequently, the seven schools that she finally applied to were good choices, in that she had 3 colleges that she considered safety schools, 2 colleges that were middle tier schools and 2 colleges that were reach schools.  The only problem is that six if the seven schools didn’t meet most of her financial need, meaning that Mary’s parents were going to have to come up with much more money than her Expected Family Contribution. With her sister going to college in three years, Mary and her parents were facing hundreds of thousands of dollars in college costs. A situation they could not afford nor was a lender going to let happen. It was a mistake that most people make when they search for colleges to apply to: Not knowing how much need is met and of the need that is met, how much comes in grants and scholarships versus loans.  

Too many students apply to schools, get their hopes up, and are thrilled when they get accepted only to realize the crushing reality that the college doesn’t offer enough or the right kind of financial aid making the actual cost well in excess of a family’s budget.  This is a waste of time, money and in Mary’s case; a catastrophe because she got wait-listed at the college that was affordable devastating her and putting her entire future in jeopardy.

“It doesn’t have to be that way,” says Terrence Garvey from Tuition Solutions.  “Your college selection must take into consideration the amount you will ultimately spend- not just a student’s criteria.  College selection is a calculated decision.  Let’s face it; it’s a $100,000+ decision that a high school child is expected to make with absolutely no experience. I’ve seen schools picked by students based solely on a football team mascot.”

“Long before you apply, there is work to be done,” he continued. “First, you have to calculate your EFC. Then you need to dig up the closely guarded information of 1-how much need the college typically awards to a student with a similar EFC, 2-how much of the award comes in loans and 3-how much comes in grants, scholarships and tuition discounts. Otherwise, your child could have devastating results from huge student loan debt (that experts now claim does not justify the profession’s income) to dropping out –which, by the way, is the number one reason children don’t graduate- lack of money,” Garvey says. 

He states that high school guidance counselors, although well trained in college guidance, can’t give financial aid advice to students or to parents and assemble college lists based exclusively on a student’s merit and personal criteria, not financial responsibility. 

“The lists are good to begin your search,”  he says, “but this is only a starting point. Unless you are prepared to write checks totaling $100,000 and up, it is imperative to learn the process and the facts for each school or you will be wasting money or possibly ruining your child’s future and/or your retirement.” 

Terrence Garvey is a published author and leading expert on college selection, funding and financial aid.  He is the featured speaker for the 15^th annual College Selection and Funding Night hosted by the Towne House in Media on Tuesday, 9/ 21 and Thursday, 9/23 at 7PM.  The seminar is free but because of limited seating, reservations are required. For more information, call: 610-357-6012 or e-mail to tuitionsolutions@comcast.net

Student Credit Cards

From helping you build your credit to giving you a fallback for financial emergencies, college student credit cards can be a valuable resource when you’re away at school and on your own.

Whether your car suddenly breaks down on your way to class and needs emergency repairs or you’re looking for grocery money to tide you over until you get your student loan check, a student credit card could be the back-up you need to keep you from ending up financially stranded.

Of course, you want to be smart about how you use those college credit cards. The last thing you want to do, especially when you have tuition and college bills to worry about, is rack up tons of credit card debt that you can’t pay off. But as long as you manage your credit card use wisely and responsibly, college credit cards and prepaid credit cards can be a good way for you to start building a solid credit history.

I reccomend the Discover Student Card.  After yers of research, I found them to be not only competitively low in the interest rate but very accessable and dependable for students.  Click on the icon to the right and get yours before you leave for school.

There are a few strategies that can be employed if you know the system and start in plenty of time.  Check out my Divorced/Seperated web page by clicking  here