Bills.com Urges College Students to Take Advantage of Millions in Potential Financial Aid Before Deadline Passes

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-- Bills.com Student Loan Savings Center offers basic college savings strategies for families grappling with high cost of tuition --

San Mateo, California– June 8, 2010 –On average, the cost of higher education in America riseseight percent per year

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.The lingering effects of the economic recession coupled with the already-highcosts of college make this a daunting fact for those planning how best to savefor higher education. To assist those families, consumer money resourceBills.com today shared a number of useful college savings strategies in theface of the looming federal student aid deadline.

“Helping American families afford higher education is one ofthis country’s greatest opportunities, but also one of its greatestchallenges,” said Ethan Ewing, president of Bills.com. “Unfortunately, recentgovernment changes to the student aid program were not as far reaching as wewould have liked, leaving many families to fend for themselves.”

Every year, hundreds of millions of dollars of financial aidgoes unused even as students and their families struggle to pay rising tuitioncosts

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.Mr. Ewing urged all college students and their families to take advantage ofthe last opportunity to qualify for millions of federal student aid stillavailable for the 2009-2010 school year by completing the Free Application forFederal Student Aid (FAFSA) before its June 30, 2010 deadline. The form isavailable online athttp://www.fafsa.ed.gov.

For those families exploring ways to cover the rising costof higher education in coming years, there are many factors and savingsstrategies to consider. While recent government efforts to reform thefederal student loanprogramare important, they are limited in scope. Most families will seelittle change in the way federal loan programs are administered, and insteadmust rely on their own planning to afford rising tuition costs.

Bills.com RecommendedCollege Savings Strategies

The Bills.comStudentLoan Savings Centerprovides basic college savings suggestions as part ofthe company’s larger mission to help individuals and families make sound moneydecisions. The Center recommends that those beginning to save for college – oreven those nearing college – revisit tried and true savings strategies.According to Bills.com, students and families preparing for college shouldconsider the following:

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Carefully research all available money resources,including scholarships, grants and loans. Many local organizations offerscholarships in support of prospective students.

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Exhaust all grants and scholarships beforeapplying forcollegeloans.

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Exhaust all federal loan programs beforeapplying for private loans.

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Plan to complete taxes early in order tocomplete the FAFSA application early. You should also complete the applicationonline to facilitate changes or remedying mistakes.

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When applying for financial aid, understand whatdollars are considered eligible as sources of money for tuition. Retirementaccounts are not eligible, meaning families should maximize retirement savingsto increase their chances at financial aid.

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Under federal guidelines, students are expectedto shoulder a larger portion of college tuition than parents, so puttingcollege savings accounts in a student’s name could have serious repercussionson eligibility for financial aid.

For more information on student loans please visit theBills.comStudent Loan Savings Center.College bound students or their families can also receive free, personalizedanswers to their college savings questions using the company’sAsk Billservice.

Bills.com Perspectiveon Healthcare and Education Reconciliation Act

The Healthcare and Education Reconciliation Act was passedin 2010 to change the way in which student loans were administered in America.At its core, the bill removes private lenders from the government student loanprocess and shifts the burden of funding these loans to the federal government.This is widely expected to mean fewer student loans and more federal grants. Otherchanges scheduled to take effect in 2014 include capped monthly payments basedon disposable income and a shortened forgiveness period for those enteringcivil service and some low-income occupations.

However, most changes are targeted at lower income familiesand those entering civil service or related professions upon graduation. Thismeans the majority of college students will see little change in how federalloan programs are administered.

About FAFSA

The Free Application for Federal Student Aid is the form theU.S. Department of Education requires to determine your Expected FamilyContribution or how much an individual is expected to contribute to theireducation. FAFSA deadlines can vary widely because they are set by federal andstate agencies, as well as individual school financial aid offices. Applicantsshould pay particular attention to deadline specifics, as some refer to thedate by which an individual FAFSA must be submitted, while others refer to thedate by which an individual FAFSA must be fully processed. The 2009-2010 SchoolYear Federal Application for Student Aid expires on June 30, 2010 and will nolonger be available.

About Bills.com

Bills.comis the leading resource for free and personalized money help. Founded by agroup of financial experts intent on helping consumers save time, money andstress, Bills.com is designed to give consumers confidence in making moneydecisions. The site offers useful information, powerful tools, and real moneyexperts to give consumers the information they need in the way they want it.

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