5 Reasons to Use Federal Student Aid

By Terry Howell

Servicemembers and veterans have a tendency to discount the value of applying for Federal Student Aid (FSA) programs because they have the GI Bill. In most cases veterans and active-duty are eligible to apply FSA though they are maybe using their GI Bill or other programs.

Here are five reasons you shouldn’t blow-off FSA:
1. There is only one application, called the Free Application for Federal Student Aid (FAFSA), for all the federally sponsored education aid programs including subsidized and unsubsidized loans, and Pell Grants.

2. FSA can help cover the initial cost of starting school (enrollment and lab fees, up-front tuition, books , etc.)until your GI Bill kicks in. It can take up to 45 days for your benefits to start.

3. You may qualify for free money! That’s right Pell Grants are just that - grants – they are a gift.

4. Applying for FSA is not binding; you can turn down any loans you do not want.

5. FSA is less expensive than borrowing from private sources or running up your credit cards.

As a person who has used every possible source of education money, I can tell you that FSA is worth the effort. In fact, I received Pell Grants as an E-7 when I was on active-duty.

You can learn more about Federal Student Aid.

About the Author: A Retired Coast Guard Chief Petty Officer, Terry completed his BS in Management and Communications using a combination of CLEP exams, credit for military service, and distance learning while on active-duty. Terry now serves as Managing Editor for the Education Channel at Military.com.

Comments

[Brent]

I retired from the Army 01 Nov 2008 after 23 years of service. I have the GI Bill in which I have never used. I obtained my BA Degree while on active duty. I received a 30% disabled rating from the VA. Can my children use any of my GI Bill entitlements?

[Terry Howell]

Steve - You can call the VA at 1-888-GIBILL-1 to find out your personal benefit status.

[Ana]

I was honorably discharged from the military in 1993 but never used the GI bill. Now, I want to go back to school for Nursing. Can I still use the GI bill? or get assistant as a Vet?

Note from Author:
Ana - Your GI Bill benefits expired about 6 years ago. However, you should call 1-888-GIBILL-1 to get the facts about your eligibility.

[Steve]

I got out of the Army after 14 years of service in 1993. I paid into some type of education program, how do I find out if I am entitled to any funding for education?

[Terry Howell]

Crystal - As an MBA student you may qualify for non-subsidized federal student loans. I suggest you fill out the FAFSA or speak to someone in the Financial Aid Dept. for further guidance.

[Crystal]

Ok, I have used my VA benefits for my BSBM degree. No GI Bill would I qualify for FSA. I would like to start College in January 2009,and start my MBA program.

From what I am reading it's possible to use FSA? Please advise. Thank you.

[joe]

I got out from AF active duty in 1991 and currently in the reserve. I've completelty used my active GI bill. A'm I still entitled to a Reserve GI bill? An education official told me I'm not.

[Terry Howell]

Lisa - the unfortunate answer is no. She is not eligible for DoD or VA Education benefits. Look into Scholarships and FSA.

[Terry Howell]

Millie- this is a good question to take to the VA. To the best of my knowledge you should be eligible. But the only source you can trust on this is the VA. Call 1-888-GILL-1.

[millie]

What if you do 27 months and have to go to va for evalation and than given a honorable discharge after evaluation, can you qualify for gi bill

[Lisa Burden]

My husband retired 7/2007 after 20yrs of service in the Navy. Is our daughter eligible for any benefits?

[Terry Howell]

Jackie - the quick answer is no. The transferability details are not clear yet. But it appears it will only be available to active duty servicemembers who choose to reenlist. But stay tuned this thing has too many moving parts for us to be definitive about some of the details.

[Jackie Kane]

My husband served 1 yr as a National Guard Officer in Iraq after 911, is our son eligible for any benefits of the new education program? Posted Jackie Kane

[Kenya A. Whitby]

I got out the Air Force in 03 after 10 years and was lucky enough to find a weekend program at Scott AFB to work on my Bachelors. It's considered full time, so I get the max benifit amount. I also receive the Illinois Veterans Grant. Most states have a programs where they will help their veterans pay for school when you go back to your home state.

[Thomas Hubbard Msgt USAF RET]

The question is not if your condition is preexisting but was or did it worsen while on active duty. Contact your local Disabled American Veterans (DAV) and let them help you on your case. Don't let them pull the preexisting condition bull on you, they accepted you and your health condition when you enlisted didn’t they?

[SPC Krause]

I am an active duty soldier going through the MEB/PEB process. I was diagnosed with a pre-existing condition (neurological degenerative disorder). As such I will not get any disability rating (---%) but will appeal for higher.
I'am looking into getting my bachelors as I already got my associates before the Army. But I also used the LRP not the GI Bill which I wish I had now.
Iam going to get any help or assitance here or will I just be out. I may have a preexisting condition buy I still served my country- enlisted for 8 years...I didn't get to due the full term but I put my name on the line and now I feel like I'm getting no thanks in return....once Im out anyways

[jerri goldstein]

do you have to put down the disabled veteran compensation when you fill out the fafsa.

Note from Author:
Not that I am aware of. In addition, although you do have to enter any GI Bill benefits, as of this year (HR 4137) the GI Bill benefits will not effect your FSA.

[Lynn Purcell]

I retired in 2006 and in 2007 I applied to the VA for Chapter 31 education benefits. Even though I carry a 70% disability rating I was found in-eligable for Cahpt 31 because I have a job - even though it is nothing close to what I did while on active duty. My counselor said OH my sister just retired and she was hired as a GS I am sure you will get something like that you just need a better resume'!! My resume' is finr the problem is I can not physically do what I did while on Active Duty. What are my options?????

Note from Author:
Depending on your length of Post 9/11 active-duty service, you may qualify for the Post 9/11. This may be a good place to start - after August 1, 2009.

[Tim Schneider]

I joined Navy in '84, and cashed out my VEAP. I did not buy into the MGI Bill. I recently retired with 60% disability. Can I get the MGI bill still or are there other Ed benefits I can take advantage of? I enrolled in Excellsior college before I retired but classes are very expensive. I'm putting off registering for this reason.
T

Note from Author:
Answer part one - No to the MGIB that ship has sailed. However, if you have 90 days or more of Post 9/11 service, you may qualify for the New Post 9/11 GI Bill.

Answer part two: Due to your 60% disability you may also qualify for Voc-Rehab (GI Bill Chapter 31). There are no guarantees, you will have to be interviewed and found in need or re-employment training and counseling, but if you are you will get a very robust education benefit. Contact the VA to get specific answers on your personal situation. 1-888-GIBILL-1 or 1-800-827-1000.

[Jerry Hall]

I worked at the veterans office at my school while using chapter 31 benefits. Chapter 31 is for disabled vets and pays the entire cost of school plus a living stipend. There should be nothing left for federal financial aid to pay for.

[Patrick Ponce]

I am a uS Army Veteran whom has retired in 1995. I used my GI Bill to get my AA in Business, but that's as far as I got. Money and working were my main adversaries to continuing my education from there. Is there still a federal tuition assistance program for me to use?

Note from Author:
You are eligible for FSA, but not Military of Veteran tuition assistance through the DOD or VA.

[Randy]

I have used fasfa in cooraltion with the G.I Bill, apparently the G.I Bill counts as income and that limits the amount of fasfa funds we veterans receive, I am at UCLA and I am not receiving any fasfa because I am using VA benefits (CH 31) what can we do as veterans to go to schol and still receive financial aid? whats the point in joining the military for education benefits if our income is adjusted by our benefits? this is beuracracy that has to be fixed