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Posted on August 12, 2008 by Ryan Uricks

The US News and World Report...reports...that FAFSA applications rose 17 percent from last year to a total of 9 million:

"Financial aid officers and researchers said that some of the aid application increase is due to the constant increases in college prices. Every year that tuition rises faster than incomes, more students qualify for financial aid. In addition, recent economic troubles such as layoffs and declines in the value of homes and stock investments mean that some students who were able to afford college last year need financial help this fall. The credit crunch also very likely contributed to the spike. Many students and parents may be filing the FAFSA to get access to federally backed student loans, because private lenders, which don't require the form, have dramatically reduced their lending."

Other than an increase in tuition, experts believe that more students are wising up when it comes to their college costs.  Student loan problems plus exponental tuition increases are big news items and have steered students to apply for aid they qualify for, but didn't consider in the past. To read up on your financial aid options checkout FastWeb or FinAid.org to become smart students on financial aid.