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5 Simple Ways to Save Money as a New College Student

By U.S. News & World Report

In a few short weeks, millions of college students will be hitting college campuses for the first time. Your first year of college can bring a lot of changes, including financial ones. It’s likely the first time in your life you’re out on your own. Not only do you need to be focused on attending class, but many students also have to wade through the details of student loans. You’re also possibly no longer dependent on your parents for money and need to find ways to stretch your budget. With that in mind, the following five tips should help you save money as a new college student.

1. Set up a bank account.

If you had a job in high school, then it’s likely you had a bank account. That’s great and will give you more experience to go off of. However, if you’re part of the 52 percent of recent grads who move more than 50 miles away to attend college, you might want to consider opening up a new account anyway.

The key benefit in going with a local bank is many have accounts suited specifically for college students. They typically offer accounts with lower, or no, minimum balances, making it easier to manage your money without fear of bank fees. You’ll also be sure to have easy access to ATMs, and you never know when you’ll need to take out more cash.

2. Learn how to cook.

Living off campus can be cheaper than living on campus, especially when you split an apartment or house with roommates. Don’t allow those cost savings to be eaten up by going out to eat too often. Learning how to cook can be overwhelming, but it doesn’t have to be. The Internet is full of simple recipes that are inexpensive and easy.

If you’ve never cooked before, consider splitting up the duties with a roommate or asking your parents for a few tips. Not only will your meals be healthier, but you’ll stretch your money more with leftovers.

3. Pay yourself first.

Paying yourself first is one of the hallmarks of personal finance. You might also think that as a college student you can’t afford to pay yourself first. But if you have a part-time job, you can still pay yourself first, even if it is in a small amount.

Don’t hold yourself back by thinking that it’s “only $10 or $20” per month, and it won’t mean anything. It’s the act of beginning to live out a lifestyle of financial prudence that matters — not the amount. Not only will this help you get into the habit of saving, but it will also help you begin to live by some sort of budget while also helping you avoid credit cards. That’s also not to mention the fact that if you have a true emergency occur, then you’ll have funds to handle it.

4. Ditch the cable.

Cable companies love to target new college students. Their thinking is simple — you’re accustomed to having it while living at home and you want to have it while in college. Don’t fall for that trick. Many of the shows you watch are available online, plus there is a variety of cord-cutting solutions such as Netflix, Google Chromecast and Amazon’s Fire TV Stick. These options will give you access to most programming for a fraction of the cost.

If cable is something you want, you can lower the overall cost by splitting the cost with your roommates — though if you live on campus, it’s quite possible your dorm will have numerous available subscriptions, too.

5. Stay in.

What college student doesn’t like to go out for the evening? Many do, but there’s one small problem with that — it costs money. You can do many of the same things at home for a fraction of the cost.

You don’t have to cut going out altogether, but limit your excursions to a certain number of times per month or for special events. That will allow you to still get out, but make it more cost feasible in the long run.

Life as a new college student brings with it a lot of new experiences. With a little work, you can save money while still having fun.

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5 Simple Ways to Save Money as a New College Student originally appeared on usnews.com

Don’t Settle for Student Loans to Pay for Online Education

By WTOP Staff
Online college programs are becoming a more popular choice for prospective students, with one study finding that more than 6 million students enrolled in at least one online course in fall 2015. The popularity of these courses can be attributed in part to their flexibility with working adults' schedules, students' ability to progress more quickly through online programs and, oftentimes, cheaper tuition. [See 10 low-cost online bachelor's programs for out-of-state students.]Online degrees can be beneficial to many college students, but some studies have shown online learners complete their programs at lower rates than students at traditional brick-and-mortar campuses. Individuals with student loans but no degree comprise two-thirds of defaulted borrowers. Though these numbers are not encouraging, just like for traditional programs, there are ways to reduce how much you'll need to borrow for an online program to ensure you won't become one of these statistics. Don't just settle on borrowing student loans to cover the whole cost of your program and living expenses. Instead, start thinking about how to cut costs and cover your balance in different ways, such as the following. -- Grants and scholarships: Even though you are taking an online course, you can still apply and receive grants and scholarships. But your first step should be to complete the Free Application for Federal Student Aid, commonly referred to as the FAFSA, which will allow you to receive a Pell Grant if your expected family contribution is low enough. The EFC criteria and award amounts are adjusted annually, but the 2017-2018 academic year awards range from $606 to $5,920, which could significantly lower the amount you borrow annually. Your next step is to apply for scholarships. You can start by checking online scholarship search engines, such as the Salt Scholarship Search, College Board's BigFuture and Peterson's. But don't forget to take advantage of local organizations and your school's financial aid office. Both may offer scholarships that you can't find with a national scholarship search. [Review these 10 sites to kick off your scholarship search.]For instance, organizations like the Elks Club, Knights of Columbus or the Rotary Club typically offer scholarships annually to local students. Just because you're going to school online doesn't mean you're ineligible. Visit your local library for scholarship listings, and ask around town. You might be surprised how many local organizations offer scholarships. While these scholarships typically aren't large, every little bit counts. Each dollar you receive in a scholarship is a dollar you don't have to borrow and pay interest on. -- Work-study: Another option for online students may be work-study awards. Not all students enrolled in online programs are eligible, but students at some schools -- including, for example, SUNY Empire State College and Liberty University -- are. Work-study awards are not given upfront like scholarships and grants. In most cases, they are an offer to earn up to the awarded amount if you secure an eligible work-study job. While there is a misconception that all work-study jobs must be on campus, students can work for off-campus, nonprofit or public employers as long as the work is in the public's interest. You may be able to work for a for-profit employer if the job is relevant to your course of study. No matter who the outside employer is, it will need to have an established agreement with your college for you to receive work-study funds. Remember, to be eligible for federal financial aid, you must be enrolled and pursuing a degree or certificate. If you're not working toward a credential, Pell Grants and work-study won't be option, but you may still be able to take advantage of private scholarships -- just be sure to read the eligibility criteria carefully. [Explore what to know about financial aid in online programs.]-- Pay as you go: One of the great benefits to enrolling online is the flexible schedule, which can allow you to complete your college coursework around your responsibilities. But prospective students often overlook using their part- or full-time job earnings as an option for paying for college. Almost 80 percent of college students in 2015 worked at least part time while attending classes, according to the National Center for Education Statistics. By budgeting and thinking strategically about your college costs, you can likely reduce your dependence on student loans by paying a portion out of pocket. Many -- but not all -- online programs are less expensive than traditional programs and often have shorter payment periods. Six, eight or 10 weeks are common course durations. Because of the frequency of payments in an online setting, you may be well-placed to pay as you go and possibly avoid borrowing altogether. Attending college online and avoiding student loans may be challenging, but if you are willing to put in the effort, you can limit the amount you need to borrow. More from U.S. News Q&A: Understanding Student Loan Discharge Eligibility Student Loan Refinancing Isn't Right for All Borrowers
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