Is there any way around this?

hsmomstef
Thu, 19 Jul 2007 10:22:33 +0000

the only debt that is taken into consideration when awarding financial aid is either student loans or medical bills – and this is generally done on a case by case basis by each school. Proof and explanations are generally required.

consumer debt is not taken into consideration – this includes car loans and credit car bills, etc.

mortgages on a house or property are subtracted from the value of the house or property yielding the “equity” which is used in the calculation of financial aid. Equity for the primary dwelling is not used for federal aid calculations, but is frequently used for institutional financial aid awards. properties in addition to the primary dwelling (land owned, vacation home, second home) are always used when calculating financial aid awards – and are counted as an asset.

If the debt your father has is consumer debt, he will still be expected to pay the EFC that is calculated.

I suggest sitting down with both parents and calculating the EFC (both FAFSA and Institutional) inputing accurate numbers. http://www.finaid.org/calculators/finaidestimate.phtml

I also suggest buying and reading the book “paying for college without going broke 2007”

now if the time to figure out what your parents can and will pay for your college – this way you can come up with a strategy when you apply.