The U.S. federal government allows special provisions for students on disability to obtain loans and grants guaranteed by the government. Private organizations and not for profit organizations fund scholarships for disabled students; these are based on specific intellectual or physical disabilities. Lenders authorizing guaranteed student loans must fund these loans at preferential or student loan rates. This article presents tips and ideas on finding resources for disabled students’ financial aid.
Federal Grants for Students on Disability Aid
The Higher Education Act has clauses specifically related to the eligibility of disabled students to receive federal financial aid. Programs under this Act are administered by the Education Department. Schools must be authorized to participate and provide students with this aid. The programs included in the Act are the following grants that don’t need to be repaid:
- Federal Pell Grants – these grants are available to attend undergraduate schools only.
- Federal Work Study (FWS) – work study programs are operated by the schools which are approved by the Department of Education. They involve working in the school setting during the year for undergraduate and graduate students.
- Federal Supplemental Educational Opportunity Grants, FSEOG – these are grants that vary in amount depending on the student’s needs. FSEOG are available for undergraduate schools.
Guaranteed Loans for Students with Disabilities
Students’ loans are guaranteed by the government and are offered at special interest rates lower than the market averages. These loans are funded by private financial institutions approved by the government. The government subsidizes the difference between the student loan rate and the market rate. These loans have to be repaid once the student finishes school and starts working. These are two federally guaranteed loans programs:
- Federal Stafford Loan – these loans are based on financial needs and available for undergraduate and graduate students. Interest rates on Stafford loans can vary.
- Perking Student Loans – these are low interest loans for graduate and undergraduate students.
For short-term expenses such as groceries and transportation, students on disabilities can take out a short term payday or personal loan. These are market loans offered by private loan brokers based on the amount of disability income an individual receives. These loans are not guaranteed by the government and interest rates caps are very high.
Scholarships for Students on Disability
There are many scholarships available for disabled students based on specific disability and course of studies. It is recommended that students contact a national or regional organization associated with the specific disability. These organizations can be a source to find financial aid. The following are resources for financial aid and scholarships for people with disabilities.
- Incight.org – This is a not for profit helping students with disabilities with education, employment and networking. Incight offers educational scholarships for use in trade schools, colleges and universities.
- Disaboom.com/scholarships – this is a list of scholarships resources available to students with disabilities.
- California Association for Postsecondary Education and Disability – provides scholarships to students with disabilities once a year. Majority of scholarships range is $1,000-1,500.
- Google Lime Scholarships for students with disabilities – this award is for $10,000 open for competition to students with disabilities pursuing studies in Computer Science.
Related Disability and Money Resources
Find Money for People with Disabilities
Social Security Disability Forms
Small Business Money for People with Disabilities
Resources: Public information at the Department of Education site at ed.gov, current as of August 17, 2010.
Sylvia Cruz - Sylvia holds Bachelor and Master degrees in Business Administration with majors in Finance and Accounting. She is also a CIA - Certified ...
