How am I paying for my Education?
Kim Ziemnik, AOSA Vice President, OSU

As you all know, optometry students nationwide are facing looming amounts of debt upon graduation. It is evident that adequate financial aid has not kept up with the rising costs of tuition and living expenses. In the 17 American schools and colleges of optometry, 91.5% of students received financial aid in the year 2003-2004. So, how much, on average, do you think that students owe after optometry school? The drum rolls please…$108,229!!!!

There are three main ways that optometry school students borrow money: Subsidized Stafford Loans, Unsubsidized Stafford Loan, and Perkins Loans.

1. Subsidized Stafford Loans — the loan that offers the most value
   
   The Federal Government pays for the interest that accrues on these loans while in school. It is not until after graduation that the student pays the interest on it. The cap on this loan is $8,500.
   
   
2. Unsubsidized Stafford Loans — the loan that offers the least value. Interest begins to accrue while the student is in school. It is accruing interest as we speak!!!
   
   
3. Perkins Loans — a great value loan.

Interest on this loan does not accrue until 9 months after graduation. It is a self-perpetuating loan that is administered by the colleges themselves. The Federal Government began the program by giving participating schools a lump sum of money to distribute to needy students, with a return fixed rate of 5%. After they graduate, students pay back their Perkins Loans to the college they attended, plus the 5% interest. After the funds are recollected, the college will recycle and redistribute the funds to other needy students. The program can continue without Federal funding each year because money is continuously coming in through the repayment of old loans. The only American schools that do not receive these loans are NOVA, PUCO, OSU, and IAUPR.

The remaining balance can be obtained through the Federal Work Study Program. A student is awarded a maximum amount of money, which is the total amount that they can earn through this program. Because the money is earned, it does not need to be paid back.