An education is not cheap and for most of us, figuring out how to pay for it is challenging. If you don’t have the ability to pay outright or benevolent family members who have volunteered to pay, you need to develop a payment plan. Below are the basic steps of a process you can follow to develop this plan.

1. Complete the FAFSA

No matter how you intend to pay for college, complete the FAFSA. It will determine the amount of financial assistance available to you. You can complete the FAFSA on the Web at www.fafsa.ed.gov by following the on-line instructions. Be sure to enter NTI’s Federal School Code (008267).

When you have entered all the required information, you will be prompted to sign. If you are a dependent, your parents also need to sign. You may print the signature page, sign and mail it – OR – if you have a PIN, you can electronically sign your FAFSA. Parents with PINs can also electronically sign (if you don’t have a PIN, you can apply for one now by going to www.pin.ed.gov).

2. Read and Accept or Modify Aid Offer (Award Package)

Once NTI receives your FAFSA, you will receive an aid offer that will tell you how much aid and what types of aid you are eligible to receive. Most often, this is a combination of grants and loans called an “award package”. NTI will tell you how much you may borrow and what types of loans may be available to you. Evaluate the aid offer carefully. Remember,  loans must be paid back with interest. Estimate the monthly loan payments due after you graduate with this a repayment calculator.

You have the right to decline the loan or to request a lower loan amount. If your living expenses are not as high as the standard allowance projected by your school, you may not have to borrow as much as the amount in the award letter. To get an idea of your college expenses, use our budget calculator.

2. Apply for a Direct Loan

Once you have determined the amount you need to borrow, you can apply for loans. Direct Loans are the most common because they are low-interest loans available from the U.S. Department of Education rather than a bank or other financial institution.

• Direct Subsidized Loans
  Are for students with demonstrated financial need, as determined by federal regulations. No interest is charged while a student is in school at least half-time, during the grace period and during deferment periods.
• Direct Unsubsidized Loans
  Are not based on financial need; interest is charged during all periods, even during the time a student is in school and during grace and deferment periods.
• Direct PLUS Loans
  Are unsubsidized loans for the parents of dependent students and for graduate/professional students. PLUS loans help pay for education expenses up to the cost of attendance minus all other financial assistance. Interest is charged during all periods.
• Direct Consolidation Loans
  Eligible federal student loans can be combined into one Direct Consolidation Loan.

4. Attend Orientation

Before you start classes, NTI schedules an orientation with each family a few weeks before the student is to start. At this meeting, the family will sit down with the financial aid office to ensure all financial aid information and applications are complete. Money will be disbursed after the semester starts.

5. Reapply for Year 2

Unfortunately, you will need to repeat steps 1-3 for your second year of attendance at NTI because the aid you receive is based on the previous year’s earnings, and because government rules can change.

6. Complete Exit Counseling

According to Federal regulations, a Federal Loan borrower is required to complete an exit counseling session prior to graduating or withdrawing from the school they are currently attending. At this time, you will be informed of your rights and responsibilities as a borrower. Click here to complete Exit Counseling.