It’s spring of senior year, and your daughter has received great news. “Congratulations! We are pleased to inform you that….” She breaks into a huge smile, followed by tears of joy as she learns she has just been admitted to the school of her dreams. Looking at the next page of her letter, you feel like crying too, but for entirely different reasons. The financial aid award isn’t close to making her dream school affordable.
So what should you do? The remedy available to you after receiving the financial aid offer is the Letter of Appeal, which you should send to the school’s financial aid office. It’s best to wait until all offers of financial aid have arrived (usually by April 1) before beginning the appeal process, but be sure to send it several weeks before the May 1 National Decision Day, the last day a deposit at your child’s school will hold their place.
How to appeal a financial aid award
1. First, compare the financial aid offers from all her colleges.
The only way to accurately compare multiple financial aid offers is to understand your net price at each school. Your net price at a college is the total annual cost of attendance (COA) minus any grants and scholarships listed in the financial aid award.
If the COA isn’t clearly listed in the award, it is the sum of all annual costs: tuition, fees, room and board, books, personal expenses, and even the cost of transportation to and from college several times a year. If loans or student employment are included in the award, you’ll need to ignore these when determining net price since they aren’t gift aid. Then do the simple arithmetic to learn how much each school will actually cost:
COA – Grants/Scholarships = Net Price
2. Call the financial aid office
Next, if you decide to appeal at one or more schools, call the financial aid offices and ask what their process is. Some will send you a form to complete. Others may ask you to send a detailed written request. If they allow a letter, I recommend you send it as a pdf attachment to an email addressed to the financial aid office of each college.
Strongest reasons to appeal a financial aid award
Simply wanting more money, even needing more money, will not win your appeal. So what are the most convincing circumstances that could lead to a favorable adjustment of the award?
1. Loss of job/income.
The most powerful reason to appeal is that there has been a loss of a job or another source of income since the FAFSA and CSS Profile were submitted. If this loss of income was the result of a circumstance beyond the family’s control, it will carry considerable weight in the appeal process.
What you should detail in the letter:
- Date of job loss
- Reason for the job loss
- Amount your earnings have been reduced
- Explanation of when employment will be resumed, if known
- New expectation of earnings
It is best to attach additional documentation corroborating these circumstances or to state that such documentation can be provided if necessary.
2. Increase in non-discretionary expenses.
Family spending can skyrocket due to serious injury or illness, an elderly family member needing to move into your home, or natural disasters like fires, floods, or earthquakes where there is significant damage to your home or property. If any of these events have occurred, they should be documented in the letter of appeal using actual dollar amounts.
3. Better offer from another school.
Suppose your child’s second favorite school has offered a more generous aid package resulting in a lower net price than her favorite school. In that case, you should bring this to the attention of the financial aid administrator. Best if the competing institution is similar to the one to which you are sending your appeal (e.g., NYU and Boston University, Creighton and Loyola Maryland, Oberlin and Denison). Be prepared to share a copy of the competition’s award letter.
Once your child has been admitted, she has more leverage than you might think. The institution wants to close the deal because its yield — the percentage of admitted students who enroll — is an important indicator of an institution’s power in the marketplace.
Writing a financial aid appeal letter
Here are some important guidelines to follow as you write your letter:
- It is perfectly acceptable for parents, rather than students, to communicate directly with the financial aid administrator. Not the case with college applications and essays but actually expected when it comes to financial aid negotiations.
- Title your letter as “Letter of Appeal.”
- In the first brief paragraph, identify the applicant by name, date of birth, high school, whether a first-year applicant or transfer, and the application round (e.g., early decision, early action, regular decision). Identify yourself as well.
- Express appreciation for your child’s admission into the institution and for the financial aid they have been offered.
- Clarify that you would like them to review the offer of financial aid in light of the information you will document in this letter, explaining that the cost of college is a significant factor in the ultimate family decision of where your child will enroll.
- Your arguments should be concise. The more your case is explained by numbers, dates, and events beyond your control, the more persuasive it will be. More facts, less poetry.
- Be clear about what you can afford to pay. If $6,500 more in institutional grants will make your child’s first choice affordable, and if that is the difference in net price between the two competing institutions, state this clearly. Tell them how much more they will need to offer to ensure your child’s enrollment.
- In your closing paragraph, thank them for the time they are putting in on your behalf. Express clearly that their institution is your child’s first choice (if this is true) and that you hope they can make it possible for her to enroll.
Some final tips
It is always easier to say no to someone in writing than over the phone, and easier over the phone than in person. If you can visit the financial aid office, mention in your cover email that you would like to arrange a meeting as soon as possible. Otherwise, let them know you will follow up in a few days by phone.
Remember, admitted applicants have leverage, and persuasive arguments stand a good chance of increasing the financial aid award. Before entering the conversation with the financial aid administrator, know what you will require to make your child’s enrollment possible. Be prepared to say no if they don’t meet it, and yes if they do!
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