What to Do If You’re Not Eligible for the FAFSA®

Starting college is exciting, but let’s be honest – figuring out how to pay for it can be overwhelming. If you’ve discovered that you’re not eligible to file the Free Application for Federal Student Aid (FAFSA®), you might feel like your options are limited. But don’t worry! Even if the FAFSA® isn’t an option for you, there are still plenty of ways to finance your education. Let’s break it all down.

What to Do If You’re Not Eligible for the FAFSA®

Why You Might Not Be Eligible for the FAFSA®

First, let’s talk about why some students don’t qualify to complete the FAFSA®. Knowing the reasons can help you determine the best next steps for your situation.

  1. Your Citizenship Status
    FAFSA® eligibility requires you to be a U.S. citizen or an eligible non-citizen, such as, but not limited to, a permanent resident or someone with refugee or asylum status. If you’re an undocumented or DACA (Deferred Action for Childhood Arrivals) student, unfortunately, you’re not eligible to file the FAFSA®.
  2. Academic Program Doesn’t Qualify
    Not all academic programs are eligible for federal financial aid. For example, some non-degree certificate programs or unaccredited schools may not meet federal requirements.
  3. Previous Loan Defaults
    If you’ve defaulted on a federal student loan or have certain, you may be ineligible for federal aid.
  4. Parent’s Financial or Legal Status
    If your parents refuse to provide their information on the FAFSA® and you’re considered a dependent student, you might not be able to complete it.

Alternative Options for Financing College

Now that we’ve covered why FAFSA® eligibility might not be in the cards, let’s focus on the good stuff – what you can do to make college more affordable.

1. Apply for Scholarships

Scholarships are a fantastic way to pay for college, and the best part? They don’t need to be repaid. There are scholarships for almost everything – academics, athletics, hobbies, cultural heritage, and even your intended major.

  • Where to Start: Platforms like Going Merry make it super easy to find and apply for scholarships. You can create a profile, get matched with scholarships that fit your unique background, and submit applications all in one place.
  • Pro Tip: Look for local scholarships through community organizations, businesses, or even your high school. These often have fewer applicants, giving you a better chance to win.

2. Explore State and Institutional Aid

While the FAFSA® is used to determine eligibility for federal aid, many states and colleges have their own financial aid programs that don’t require FAFSA® completion.

  • State Aid: Some states offer aid to undocumented students or those with unique circumstances. For example, California has the California Dream Act, which allows undocumented students to apply for state financial aid.
  • Institutional Aid: Many colleges provide their own grants, scholarships, or tuition discounts. Contact your school’s financial aid office to see what’s available and how to apply.

3. Consider Private Student Loans

Private loans¹ can be a helpful option if you’ve exhausted scholarships and grants and still need funds to cover tuition or living expenses.

  • What You Need to Know: Unlike federal loans, private loans typically require a credit check and a cosigner, especially if you’re a student with limited credit history.
  • Earnest: Companies like Earnest offer private loans with flexible repayment options, competitive interest rates, and no fees. Before borrowing, make sure you understand the terms and only take what you absolutely need.

4. Use a Tuition Payment Plan

Many colleges offer payment plans that allow you to spread tuition payments over several months instead of paying everything upfront. This can make costs more manageable without the need for loans.

  • How It Works: Check with your college’s bursar or student accounts office to see if they have a payment plan option. These plans often have low or no interest, making them a budget-friendly choice.

5. Work While in School

Working part-time during college can help you cover expenses while gaining valuable experience. Many schools offer on-campus jobs, but you can also explore off-campus opportunities.

  • Tip: Look for flexible jobs that work around your class schedule, like tutoring, retail, or freelancing.

6. Crowdfunding

If you’re comfortable sharing your story, crowdfunding can be a way to rally support from friends, family, and even strangers. Platforms like GoFundMe let you create campaigns to raise money for tuition, books, or other school-related expenses.

Special Tips for DACA and Undocumented Students

If you’re a DACA or undocumented student, you’re not alone – many students in similar situations have successfully funded their college education. Here are a few resources tailored to your needs:

  • TheDream.US: This organization offers scholarships specifically for DACA and undocumented students.
  • United We Dream: Provides guidance and resources for undocumented students pursuing higher education.
  • Inquire Locally: Many colleges and community organizations offer financial support specifically for undocumented students.

Final Thoughts

Not being eligible for the FAFSA® doesn’t mean college is out of reach. With a bit of creativity and resourcefulness, you can find ways to make your education more affordable. Start by exploring scholarships, state and institutional aid, and private loans like those offered by Earnest. And don’t forget to take advantage of resources like Going Merry to streamline your search.

While navigating college finances without FAFSA® might feel like a challenge, it’s absolutely doable – and the investment in your future will be worth it. You’ve got this!

Disclaimer: This blog post provides personal finance educational information, and it is not intended to provide legal, financial, or tax advice.

¹ Before applying for private student loans, it’s best to maximize your other sources of financial aid first.  It’s recommended to use a 3-step approach to assembling the funds you need: 1) Look for funds you don’t have to pay back, like scholarships, grants, and work-study opportunities.  2) Next, fill out a FAFSA(R) form to apply for federal student loans.  Federal Direct subsidized and unsubsidized loans, excluding PLUS Loan for Parents and PLUS Loan for Graduate and Professional Students which require a credit check and a credit worthy endorser if the parent or graduate or professional student has adverse credit, do not require a credit check or cosigner, and offer various protections if you’re struggling with your payments.  3) Finally, consider a private student loan to cover any difference between your total cost of attendance and the amount not covered in steps 1 and 2.  For more information, visit the Department of Education website at https://studentaid.gov/.

Daniel Bod

Ready to find scholarships that are a match for you?