We have to report CDs, savings, etc. on our financial aid applications. Sometimes, they make you look like you have more assets than you really have, and the school asks you to contribute more. Should I just wait until after I graduate to open a CD or money market?
A: Absolutely not! I’m glad you asked this question. There are many people that have this same thinking and it is very flawed. First of all, it doesn't make you LOOK like you have more assets. You do have more assets than you realize or than you take into account. This is a good thing.
Be proud, honest and forthcoming with what you have. Floss! In some cases, students may not need a hand out from the financial aid office if they can afford to pay for tuition themselves with their personal savings. In these cases, it is very empowering to the student.
To be able to set your own goal (to go to college) and then to finance it yourself is true floss! Do you know many people on welfare refuse to work (and make more money per month) because they fear that their welfare check will stop coming. This type of thinking forces people to stay dependent on hand outs and never achieve a higher income. You can always make more on your own, than someone else will give you. So, never hide your assets and never prevent yourself from increasing your assets for fear that someone else may stop supporting you. The goal is to be Wealthy. That means being financially self-sufficient.
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