Kentucky Higher Education Assistance Authority
March Money Tip for Students
A contract is a written agreement between two or more parties in which an offer is made and accepted. The Kentucky Higher Education Assistance Authority (KHEAA) advises that if you are thinking about signing a contract, make sure you fully understand it first. If you rent an apartment or have your own cell phone plan, you have probably signed a contract. If you have taken out a federal student loan, you entered a contract when you signed your Master Promissory Note.
Since a contract sets out in detail what each party is obligated to do for the other party, you should read each contract thoroughly and ask questions. If one of the parties agrees to make a change in the contract, make sure the change is in writing. Get all of your questions answered before you sign the contract, and keep a copy after you have signed. In some cases, you may want to have an attorney review the contract before you sign it.
Consumer protection laws let you cancel some contracts within three days of signing. Before you sign any contract, find out if you have that option. If you do not, your options of getting out of the contract are limited.
If someone uses high-pressure tactics to get you to sign a contract, consider that a warning sign and consider walking away from the agreement.
KHEAA is the state agency that administers Kentucky’s grant and scholarship programs, including the Kentucky Educational Excellence Scholarship (KEES).
To learn how to plan and prepare for higher education, go to www.gotocollege.ky.gov. For more information about Kentucky scholarships and grants, visit www.kheaa.com; write KHEAA, P.O. Box 798, Frankfort, KY 40602-0798; or call (800) 928-8926, ext. 6-7372.