"Because there were no general savings, or education savings, the only thing they considered was household income. Even folks who are well-to-do will be eligible for some financial aid at the more expensive schools, if assets are primarily in home equity and retirement accounts."
I make under $40 grand a year, own a nice house, have had a son in private school for 9 years and when I went to get a school loan for the 10th year of private high school, I was denied. Why? BECAUSE OF MY INCOME TO DEBT RATIO!!! Translation, I did not have enough debt!@##$ I asked if I had a new car loan would I have been qualified and was told yes! Here I am spending frugally, ( some friends say CHEAP), and get turned down. Go figure.
Dear hophead,
I don't know how your private high school figures out how to give financial aid.
For college, home equity doesn't count.
However, if you have a significant sum of money in the bank, or in investments that are not in retirement accounts, they'll look for college tuition to come signifcantly from those sources.
sitetest
If you were in debt then the gov't would have more 'control' over you. Don't pay on the car and we'll take the house.
Be proud to be independent and not stuck under their thumb!