<p>S has won two scholarships from funds that will apply the money to any selected university. One of these is 5K/year, the other is a last-dollar, everything-beyond-EFC scholarship. </p>
<p>The latter requires students to hold a job (modest hours), do some planning, complete some online modules and attend fund-sponsored events. Small price to pay for a scholarship that keeps S from taking out loans, right?</p>
<p>However, S has since been accepted to a university with a generous no-loan financial aid policy (let’s say it’s one of Rice, Vanderbilt, Yale, since those have similar policies that grant everything between EFC and COA). </p>
<p>This seems to mean that the last-dollar scholarship holds almost no monetary value for S. Can’t be used to reduce EFC. While it can be used to eliminate work-study requirement, the 5K scholarship already does that. Fund rules prevent deferment. </p>
<p>So, would you turn down the last-dollar scholarship or accept it and commit to the conditions? Why or why not? Anyone have a similar story?</p>
<p>Only reasons I can think of to accept would seem be as a safety net in case S transfers…or in hopes of negotiating a few “extras” that the university might add to COA and then fund via the scholarship. Hate to look a gift horse in the mouth…</p>
<p>Or having the major scholarship on his resume for grad school, professional school or employment. If he won’t be using the funds then the scholarship won’t be using any funds on him so others could use that money without him giving up the scholarship. No one would know exactly how much he used…$5 or $50,000. And if something were to happen and he needed more than his freshman year it would be there. And the COA can include travel, research, a laptop, whatever the university is willing to include in his COA. And that too can change over time. A summer program that is NOT offered at his home school but elsewhere. </p>
<p>I would imagine that the organization that provides the scholarship has limited funds, so they can’t “hold” money aside for your son “in case he needs it in future years” while still funding another student. Look, your son won the lottery - he was admitted to a school that will pay all his costs. Be grateful for that and let the scholarship go to someone who needs it.</p>
<p>And you still have the $5k scholarship for any “just in case” expenses. :)</p>
<p>It sounds like what you are saying is that the the difference between his EFC and COA is covered by grants. And that the other scholarship covers the EFC. All of this without taking out any loans? Is this an accurate reading?</p>
<p>You could use it to eliminate the work-study (as you mentioned) and then use the 5k towards EFC… If the terms of the “all but EFC” scholarship aren’t that terrible.</p>
<p>I read your original post twice. I’m reading it that the 2nd scholarship requires your son to hold a job. Honestly, I’d decline it if the first $5k scholarship will help get rid of workstudy. I did work study and it’s something my own kids will likely need to do. But I noticed on my study abroad how easy it was to get top grades with that extra 12-15 hours of week (and even with occasional weekend sightseeing). </p>
<p>Also remember that this scholarship money could then potentially go to someone who didn’t get admitted to such a generous university.</p>
<p>Dodgersmom, you’re right about the lottery – very thankful for the acceptance and the aid. Wouldn’t mind letting the scholarship go to someone else if it can’t benefit S, but as far as I know the fund doesn’t redistribute unclaimed scholarships, since amount-per-recipient varies based on DFN. But more money would stay in the pool for others.</p>
<p>KatMt and Kitten23 – neither outside scholarship can be used for EFC per university policy; after work-study, outside dollars are used to offset the school’s grant aid, since it covers all-but-EFC with no loans. Very generous and a key factor for where S chose to apply. But there’s no scenario where EFC is paid by an outside source. </p>
<p>Picapole, thanks for the perspective on work-study. With a hyper-competitive undergrad environment and S having an eye on grad school, I was wondering if saving him time (declining the scholarship with the work requirement and using the other scholarship to eliminate work study) would deliver more value than the resume-building aspect of the scholarship that Dodgersmom mentioned. </p>
<p>A helpful link: <a href=“Your Guide for College Financial Aid - Finaid”>Your Guide for College Financial Aid - Finaid; which talks about cases in which COA can sometimes be adjusted up or down to allow a student to receive greater benefits from outside sources. Excerpt: “Many financial aid administrators feel that it is important to choose the adjustment method that maximizes the benefit to the student.”</p>
<p>Seems counter-intuitive to ask the college to increase COA, but that may be the upside-down place we find ourselves. S will talk to the financial aid rep this week to see if that is possible and favorable. If financial need above EFC can be moved off of zero, and the fund is agreeable to covering the difference, perhaps some aid could go to S’s account without reducing university aid. Otherwise the work requirement might tip us away from the scholarship. </p>
<p>First of all, would discuss how the scholarship can be best integrated in with the award. How much movement you get there, who knows till you try. It appears that you are going to give it a go.</p>
<p>But let’s just say, that this has to replace the school financial aid award. In that case, I would look very carefully at the sponsor of the award and see what benefits there could be to be a recipient and an active participant in the activities that are being asked and required of him. Since we don’t know what this is, it’s up to you, him and anyone who might be able to give you info on this. This might open doors for jobs and other things in the future. </p>
<p>The other thing is that if your income goes up, you get some one time payment, need to sell your house, a stock, other such thing, this piece wiil remain in place whereas financial aid might not. Or if kid earns money in an internship. There is just less at risk there since the outside scholarship will be there, no matter what. And as you said, if your son wants to transfer, believe me, his aid options may well diminish. You just can’t tell what will happen there I’ve known a number of parents who barely sighed that relief sigh that kid is at school, aid is in place and then the kid wants to transfer. Fewer school guarantee to meet full need for transfers, so he does have a portable bird in hand with this. </p>
<p>Also can something be done in using some of the school money towards a summer abroad or other such thing? And is EFC the FAFSA EFC? What is the differential between school expected contribution and FAFSA EFC? There usually is some difference so the award would cover a bit more, would it not? Would this award plus. the $5K award be more than the $5K award plus the school award? </p>