Question regarding “current assets” question on FAFSA.

[impassivitea]

---

Members don't see this ad.

There is a question on the FAFSA application that asks, “As of today, does the total amount of your current assets exceed $0.00?”

FAFSA defines “assets” to include:

• Money in cash, savings, and checking accounts;
• Businesses;
• Investment farms;
• Other investments, such as real estate (other than the home in which you live), UGMA, and UTMA accounts for which the applicant is the owner;
• Stocks, bonds, certificates of deposits, etc.

I’m obviously not going to lie because I’m not trying to get into any legal trouble but I just want to be prepared……

If it matters, I am 25, and this FAFSA app would be for grad school.

My question is, will my current bank account balances affect my loan offers? I have ~$15k or so in savings, but this is specifically earmarked for medical bills, equipment/books for next year, etc. I guess I am just worried that FAFSA will expect me to contribute some of this towards my tuition and, therefore, reduce my loan offers?

 

[GreenDuck12]

There is a question on the FAFSA application that asks, “As of today, does the total amount of your current assets exceed $0.00?”

FAFSA defines “assets” to include:

• Money in cash, savings, and checking accounts;
• Businesses;
• Investment farms;
• Other investments, such as real estate (other than the home in which you live), UGMA, and UTMA accounts for which the applicant is the owner;
• Stocks, bonds, certificates of deposits, etc.

I’m obviously not going to lie because I’m not trying to get into any legal trouble but I just want to be prepared……

If it matters, I am 25, and this FAFSA app would be for grad school.

My question is, will my current bank account balances affect my loan offers? I have ~$15k or so in savings, but this is specifically earmarked for medical bills, equipment/books for next year, etc. I guess I am just worried that FAFSA will expect me to contribute some of this towards my tuition and, therefore, reduce my loan offers?

Your current savings will not impact the amount of loans you are able to access. That figure is largely used by institutions to determine financial need for need based aid such as scholarships and grants. Hope this helps.

 

[BritainKittenMittens]

Your current savings will not impact the amount of loans you are able to access. That figure is largely used by institutions to determine financial need for need based aid such as scholarships and grants. Hope this helps.

I believe your assets in general also affect the type of loans you can get. At this low amount, I don't think it would affect it much, but if it were higher I think I remember there are less favorable ones.

 

[GreenDuck12]

I believe your assets in general also affect the type of loans you can get. At this low amount, I don't think it would affect it much, but if it were higher I think I remember there are less favorable ones.

Not so much for graduate student loans. There used to be more loan programs that would be available for folks from lower income levels or disadvantaged backgrounds but I believe these have been phased out. For most medical students we’re talking about two major loan programs that the vast majority of students will use.

 

[BritainKittenMittens]

Not so much for graduate student loans. There used to be more loan programs that would be available for folks from lower income levels or disadvantaged backgrounds but I believe these have been phased out. For most medical students we’re talking about two major loan programs that the vast majority of students will use.

Ahh I may be thinking of institutional loans they give based on need.