This letter represents an example of an award for a family with high need. Although it appears that the college has offered a full ride, it actually meets the family’s need with loans—both need-based and non-need-based—as well as grants and work-study. Families are not obligated to accept the loans, but they may do so to meet their expected family contribution and to fill any gap the college has left between grants and the cost of attendance. 

Scroll over the items in red in the sample college financial-aid letter below to learn how valuable each type of aid really is.