WELCOME TO FINANCIAL AID & SCHOLARSHIP NIGHT. TONIGHT’S TOPICS What is Financial Aid Types of Financial Aid How is Financial Aid Awarded The Financial.
Published byModified over 4 years ago
Presentation on theme: "WELCOME TO FINANCIAL AID & SCHOLARSHIP NIGHT. TONIGHT’S TOPICS What is Financial Aid Types of Financial Aid How is Financial Aid Awarded The Financial."— Presentation transcript:
Financial Aid is: Money to help you pay for college From: Federal Government State Government Colleges Local Organizations Private Organizations
WHAT IS FINANCIAL AID? To be eligible, you must: Be a citizen or eligible non-citizen of the U.S. Have a high school diploma or GED Be enrolled at least half-time at an eligible institution Register with the Selective Service (men only) Not be in default on any federal education loans or owe a refund on any grants
TYPES OF FINANCIAL AID Three types of Financial Aid : Gift Money Earned Money Borrowed Money
TYPES OF FINANCIAL AID Gift Money Grants Based on financial need From government and colleges Two federal grants: Pell and Supplemental Educational Opportunity Grant (SEOG) Scholarships Based on various criteria From colleges and other organizations
TYPES OF FINANCIAL AID Earned Money Federal Work-Study Program Students work part time, usually on campus Money earned helps pay for college
TYPES OF FINANCIAL AID Borrowed Money Two types of loans Federal Personal Must be paid back
TYPES OF FINANCIAL AID Federal Loans – Perkins Borrower:Student Based on Need:Yes Interest Rate:Fixed – 3.4% Repayment Begins: 9 months after graduating or dropping below half-time
TYPES OF FINANCIAL AID Federal Loans – PLUS Borrower:Parent Based on Need:No Interest Rate:Fixed – 8.5%* Repayment Begins:After the final disbursement *Fixed interest rate applies to loans with first disbursement on or after 07/01/2011.
TYPES OF FINANCIAL AID Federal Loans – Stafford Borrower:Student Based on Need: Subsidized = Yes Unsubsidized = No Interest Rate:Fixed – 6.8%* Repayment Begins: 6 months after graduating or dropping below half-time
YOU CAN ACCESS SCHOLARSHIPS FROM TWO LOCATIONS: THE WASHINGTON- LEE WEBPAGE UNDER COUNSELING AND YOUR NAVIANCE FAMILY CONNECTIONS ACCOUNT. THE MOST UP-TO-DATE LIST WILL ALWAYS BE YOUR NAVIANCE FAMILY CONNECTIONS ACCOUNT.
Financial Need Many (but not all) types of aid are based on financial need Grants Perkins loans Subsidized Stafford loans Federal Work-Study Program How much aid do you need to pay for college?
HOW IS FINANCIAL AID AWARDED? Cost of Attendance Tuition Room and board Books Transportation Personal expenses
HOW IS FINANCIAL AID AWARDED? Expected Family Contribution (EFC) The EFC is the amount you may be expected to contribute You don’t pay it up front Used to determine how much aid you’re eligible for Calculated from information you provid e
Applying for Financial Aid To get aid, you have to apply The Free Application for Federal Student Aid (FAFSA) Additional forms Scholarships Apply regardless of family income You and your family don’t make too much or too little to apply
The new program is the latest step in Penn’s effort to widen access for students from all economic backgrounds, expanding its no-loan program beyond low- and lower-middle-income families to include middle- and upper-middle-income families.
PENN'S NEW FINANCIAL–AID PROGRAM In the fall of 2010, students from families with annual incomes of less than $100,000 who qualify for need-based aid will no longer receive loans as part of their financial aid package. By fall 2011, all undergraduate students eligible for financial aid will receive loan-free aid packages, regardless of family income level.
Tuition Charges Covered for Parents with Income Below $150,000 For parents with total annual income below $150,000 and typical assets for this income range, Stanford will ensure that all tuition charges are covered with need-based scholarship, federal and state grants, and/or outside scholarship funds. In most cases, the parent contribution will be no higher than the standard cost of room and board (around $11,000). Many parents in this group will see contribution amounts far lower than $11,000.typical assets
THE FINANCIAL AID PROCESS The FAFSA It’s free! Complete as soon as possible after January 1st Online (www.fafsa.ed.gov) or on paper Online benefits Instant access to help Built-in error checking Skip questions that aren’t required Faster processing time Easier to check status Easier renewal process
CSS / FINANCIAL AID PROFILE WHAT is the PROFILE? The PROFILE is an online application that collects information used by certain colleges and scholarship programs to award institutional aid funds.
WHEN DO I FILE THE PROFILE? You may file the PROFILE as early as Oct. 1, 2011. However, you should file no later than two weeks before the EARLIEST priority filing date specified by your colleges or programs.
WHAT DOES THE PROFILE COST? The fee for the initial application and one college or program report is $25. Additional reports are $16.
THE FINANCIAL AID PROCESS Preparing for the FAFSA Apply for a Department of Education PIN (www.pin.ed.gov) Can be used each year applying for aid You and your parents need separate PINs Complete the FAFSA on the Web Available January 1st Organized like the FAFSA on the Web Collect information and prepare answers
THE FINANCIAL AID PROCESS FAFSA Tips Don’t pay! Remember it’s Free at www.fafsa.ed.gov Interested in student loans? Interested in work-study? College possibilities
THE FINANCIAL AID PROCESS Additional Forms and Scholarships Are additional forms needed? Check with individual colleges Apply for scholarships! Use free scholarship searches www.collegeboard.com www.fastweb.monster.com www.finaid.org www.gocollege.com www.srnexpress.com
THE FINANCIAL AID PROCESS Student Aid Report (SAR) Sent to you after FAFSA is processed If you provided an email address, you get a notification containing a link to it online Contains your Expected Family Contribution (EFC) Info sent automatically to colleges you listed Verify information is correct and make necessary corrections
THE FINANCIAL AID PROCESS Award Letters and Offers Received from the financial aid office Compare offers Amount of aid vs. cost of attendance Gift money vs. borrowed money Types of loans Accept an offer from the college you will attend
THE FINANCIAL AID PROCESS Comparing Award Offers Package B has advantages despite being $1000 less Type of AidPackage APackage B Grants$1,500$3,500 Perkins$2,500 Sub. Staff$1,000$2,625 Unsub. Staff$1,625$0 Work-Study$3,000$0 Total Aid$9,625$8,625
THE FINANCIAL AID PROCESS PLUS Loans or Home Equity Loan Options if you need additional funds after seeing how much aid you are offered by the college Applications and information available from colleges or lenders
THE FINANCIAL AID PROCESS Let’s Review: Apply for a Department of Education PIN Submit the FAFSA Ask colleges if other forms are required Apply for scholarships Review your SAR Compare award packages Accept an award package Look into PLUS Loan if necessary