Indiana University offers courses at nine campuses and online, providing students with access to hundreds of academic programs. With core campuses in Bloomington and Indianapolis, you may be interested in attending this school.
Whether attending online or locally, you’ll need to make a plan for how to pay for Indiana University. Costs can vary depending on which campus you attend. But you can expect to spend over $10,000 annually at most campuses, according to cost estimates from College Scorecard.
Consider these cost estimates for full-time resident undergraduate students at Indiana University Bloomington:
|Costs of attending Indiana University Bloomington|
|Annual in-state tuition and fees||$10,680|
|Annual room and board||$10,466|
|Net cost (after aid)||$15,349|
|Median debt after graduation||$22,500|
|All info current as of Sept. 4, 2018. Sources: College Scorecard, Indiana University Bloomington|
Unlocking financing options: The FAFSA
To help pay for Indiana University, it’s important to complete the Free Application for Federal Student Aid (FAFSA). The FAFSA can be completed online, and you’ll need to provide basic information about your financial situation. If you’re an undergraduate and aren’t considered independent of your family, you’ll have to include information about your parent or guardian’s income, too.
The FAFSA becomes available Oct. 1, and you should complete it as soon as possible because many forms of aid are limited in funding and offered on a first-come, first-served basis. The sooner you apply, the better chances you have of gaining access to federal work-study, grants, and scholarships.
Completing the FAFSA is not only necessary to be eligible for federal aid, including student loans, but you’ll also need to have submitted an application to be eligible for many sources of state aid.
Grants for Indiana University students
Try to find as many free sources of money for college as possible to limit reliance on debt to pay for Indiana University. Grants are one source of money to help you afford an education. As a form of gift aid, grants don’t need to be paid back.
Grants are usually made available to students with financial need. Some federal grants are open to any Indiana University student, while others are available only to Indiana residents.
Consider these grants as you research how to pay for Indiana University:
- Federal Pell Grants: Undergraduates can receive these need-based grants for up to 12 semesters.
- Federal Supplemental Educational Opportunity Grants: Through this program, you can earn up to $4,000 a year depending on your financial need.
- Indiana state grants: Indiana offers need-based grant aid through the Commission for Higher Education. The Frank O’Bannon Grant, for instance, can help you cover tuition and fees at Indiana University.
As you research funding opportunities, be sure to check our guide to state grants. You may learn about extra sources for grants.
Scholarships for Indiana University students
Like grants, scholarships are free money you don’t have to repay. Many scholarships are based on merit rather than need. The criteria may even consider your background, unique talents, or field of study. If you’re part of any specific organizations or groups, check to see if you qualify for any scholarships offered by them.
Indiana University has an Office of Scholarships that may assist you as you seek funding. Using its search tool, you can find scholarships offered to in-state and out-of-state students, as well as incoming freshmen.
Some of the scholarships you can find include:
- IU Academic Scholarships: Incoming students with high academic performance can become eligible based on information provided on their admission application. High school transcripts and test scores are used to determine eligibility.
- IU Selective Scholarships: There are nine different scholarships that students can gain access to by completing a Selective Scholarship Application. Students will be notified via email and in their admission packet if they’re eligible to apply for selective scholarships.
- IU School, College, and Department Scholarships: Scholarships are offered through different programs, including the College of Arts and Sciences, the School of Education, and the IU Jacobs School of Music.
- Cox Scholars Program: This donor-funded Indiana University scholarship program offers a series of scholarships for incoming and current students.
You can also find scholarships offered through private institutions and community groups such as churches and unions.
You can use these scholarship search tools to help get started looking for scholarships.
Indiana students who complete the FAFSA can also become eligible for federal work-study. When students are granted work-study, the government subsidizes their wages for certain on- and off-campus jobs.
Indiana University students should explore work-study opportunities at the campus they attend. For Indiana University Bloomington students, for example, the Career Development Center provides a searchable database of work-study positions.
Federal student loans
When figuring out how to pay for Indiana University, you should seek grants, scholarships, and work-study before considering student loans. If you have a funding gap, you may consider federal student loans.
When borrowing money to pay for school, you should always max out federal student loans before considering private loans. That’s because federal loans come with borrower protections, such as income-driven repayment plans and loan forgiveness, that other types of financing may not.
When you borrow from the federal government, you don’t need good credit or proof of income to qualify. You also don’t need to shop around because each federal loan type comes with a predetermined fixed interest rate and loan fee.
Undergraduate students can borrow Direct Subsidized Loans and Direct Unsubsidized Loans. Grad students qualify for Direct Unsubsidized Loans and PLUS Loans, and parents of undergraduate students may qualify for Parent PLUS Loans.
This table shows the key features of federal loans:
|Loan type||Eligible borrowers||Interest rates for loans disbursed on or after July 1, 2018||Fees for loans disbursed on or after Oct. 1, 2018|
|Direct Subsidized Loans||Undergrads with demonstrated financial need, regardless of credit history||5.05%||1.062%|
|Direct Unsubsidized Loans||Undergrads and grad students, regardless of need or credit history||5.05% for undergrads; 6.60% for grad students||1.062%|
|PLUS Loans||Graduate students and parents of undergrad students who don’t have adverse credit||7.60%||4.248%|
Private student loans
If you’ve exhausted all other funding options, you may consider private student loans. These are offered by private institutions, such as banks, credit unions, and online lenders, and can help you cover remaining educational expenses.
Shopping around is important when you’re considering private loans. You’ll find that different lenders may offer different interest rates, loan repayment options, and eligibility criteria.
Unlike federal loans, private student loans don’t offer you loan forgiveness options or the opportunity to adjust your payments according to your discretionary income. Although some lenders may allow you to pause payments if you face financial hardship, this isn’t a feature for all private student loans.
Further, you’ll need to meet credit requirements to get private student loans. That means you may need a cosigner to qualify.
While there are clear downsides to private student loans, you can find loans with reasonable terms if you shop around. If you have solid credit and are confident in your ability to repay your loans, this form of private debt may allow you to secure a lower interest rate than one offered on federal student loans.
The bottom line: Paying for Indiana University
Knowing how to pay for Indiana University requires a lot of legwork. Learning where to find sources of funding and who to turn to for help could be a good first step. Remember to fill out the FAFSA as soon as you’re able. That application will be key as you seek money to pay for school.
Before turning to student loans, exhaust your options for grants, scholarships, and work-study. That way, you can minimize the amount of debt you’ll have to repay after graduation.
Need a student loan?Here are our top student loan lenders of 2019!
|2 Important Disclosures for College Ave.
College Ave Student Loans products are made available through either Firstrust Bank, member FDIC or M.Y. Safra Bank, FSB, member FDIC. All loans are subject to individual approval and adherence to underwriting guidelines. Program restrictions, other terms, and conditions apply.
(1)All rates shown include the auto-pay discount. The 0.25% auto-pay interest rate reduction applies as long as a valid bank account is designated for required monthly payments. Variable rates may increase after consummation.
(2)This informational repayment example uses typical loan terms for a freshman borrower who selects the Deferred Repayment Option with an 8-year repayment term, has a $10,000 loan that is disbursed in one disbursement and a 7% variable Annual Percentage Rate (“APR”): 96 monthly payments of $179.28 while in the repayment period, for a total amount of payments of $17,211.20. Loans will never have a full principal and interest monthly payment of less than $50. Your actual rates and repayment terms may vary.
(3)As certified by your school and less any other financial aid you might receive. Minimum $1,000.
Information advertised valid as of 5/22/2019. Variable interest rates may increase after consummation.
* The Sallie Mae partner referenced is not the creditor for these loans and is compensated by Sallie Mae for the referral of Smart Option Student Loan customers.
3 = Sallie Mae Disclaimer: Click here for important information. Terms, conditions and limitations apply.
4 Important Disclosures for Discover.
5 Important Disclosures for SunTrust.
Before applying for a private student loan, SunTrust recommends comparing all financial aid alternatives including grants, scholarships, and both federal and private student loans. To view and compare the available features of SunTrust private student loans, visit https://www.suntrust.com/loans/student-loans/private.
Certain restrictions and limitations may apply. SunTrust Bank reserves the right to change or discontinue this loan program without notice. Availability of all loan programs is subject to approval under the SunTrust credit policy and other criteria and may not be available in certain jurisdictions.
©2019 SunTrust Banks, Inc. SUNTRUST, the SunTrust logo and Custom Choice Loan are trademarks of SunTrust Banks, Inc. All rights reserved.
6 Important Disclosures for LendKey.
7 Important Disclosures for CommonBond.
A government loan is made according to rules set by the U.S. Department of Education. Government loans have fixed interest rates, meaning that the interest rate on a government loan will never go up or down.
Government loans also permit borrowers in financial trouble to use certain options, such as income-based repayment, which may help some borrowers. Depending on the type of loan that you have, the government may discharge your loan if you die or become permanently disabled.
Depending on what type of government loan that you have, you may be eligible for loan forgiveness in exchange for performing certain types of public service. If you are an active-duty service member and you obtained your government loan before you were called to active duty, you are entitled to interest rate and repayment benefits for your loan.
A private student loan is not a government loan and is not regulated by the Department of Education. A private student loan is instead regulated like other consumer loans under both state and federal law and by the terms of the promissory note with your lender.
If your private student loan has a fixed interest rate, then that rate will never go up or down. If your private student loan has a variable interest rate, then that rate will vary depending on an index rate disclosed in your application. If the interest rate on the new private student loan is less than the interest rate on your government loans, your payments will be less if you refinance.
If you don’t pay a private student loan as agreed, the lender can refer your loan to a collection agency or sue you for the unpaid amount.
Remember also that like government loans, most private loans cannot be discharged if you file bankruptcy unless you can demonstrate that repayment of the loan would cause you an undue hardship. In most bankruptcy courts, proving undue hardship is very difficult for most borrowers.
8 Important Disclosures for Citizens Bank.
Citizens Bank Disclosures
|3.99% – 11.32%2||Undergraduate, Graduate, and Parents|
|4.50% – 11.35%*,3||Undergraduate and Graduate|
|4.84% – 13.49%4||Undergraduate and Graduate|
|4.25% – 11.30%5||Undergraduate and Graduate|
|4.50% – 9.47%6||Undergraduate and Graduate|
|3.74% – 9.72%7||Undergraduate, Graduate, and Parents|
|4.45% – 12.32%8||Undergraduate, Graduate, and Parents|