1. Paying for College at

2. Financial Aid What is financial aid? Resources for college expenses
Grants, Scholarships, Loans or Employment
Aid Sources
Federal, State, Institutional, Private
Financial Aid is any grant or scholarship, loan, or paid employment offered to help a student meet his/her college expenses. Such aid is usually provided by various sources such as federal and state agencies, colleges, high schools, foundations, and corporations.

3. How Does Financial Aid Work?
Grants
Scholarships
Loans
Work
$$$
Your college will determine your estimated Cost of Attendance and the information on your FAFSA will determine your Expected Family Contribution (EFC).
Financial Aid Package

4. Minimize Educational Expenses
Follow your Academic Plan of Study
15 to Finish
Avoid getting W’s or F’s
Search and Apply for Scholarships
Minimize your Educational Expenses… compare housing options, choose the right meal plan, buy used or rent text books, earn money while in school(student employment), Graduate on time by following your Academic Plan of Study

5. Financial Aid Goals Understand Education is an Investment
Student Loans must be repaid
Earnings for college graduates
Make good Financial Decisions
Accept only the amount of loans you need
Payment Plans
Federal Work Study
Apply for Federal Financial Aid
When and how do I apply

6. Applying for Financial Aid Free Application for Federal Student Aid (FAFSA)
Applying for a FSA ID

7. Completing the FAFSA
Everyone should file the FAFSA regardless of income
Obtain a FSA ID  User Name and Password
File the FAFSA every year; available on October 1st
The FAFSA generates an EFC (Expected Family Contribution). The EFC represents an expectation of family resources to pay for the student’s education

8. MyStudentAid App

9. MyStudentAid App

10. Paying for College
File the Free Application for Federal Student Aid (FAFSA)
FAFSA is also the application to apply for state aid
Deadline is April 15th to be considered for IN state grants
Submit required documents early!
Search for Scholarships
Set a budget, live with family or roommates, costs add up – rent textbooks instead of buying books for example

11. When to Apply for Financial Aid?
High School Seniors – Beginning in October 1, 2018
( Award Year)
*2017 Taxes are needed*
High School Juniors – Beginning in October 1, 2019
( Award Year)
*2018 Taxes are needed*

12. Types of Financial Aid Gift Aid (free money, not to be repaid) Grants
Federal – Pell, Supplemental Educational Opportunity Grant
State – Frank O’Bannon, 21st Century
Scholarships
Self-help Aid (aid to be earned or repaid)
Federal Work Study
Federal Direct Stafford Loans
Federal Parent PLUS loan

13. Funding Sources – Loans
Subsidized Stafford Loan – must demonstrate need
Unsubsidized Stafford Loan – need not considered
Dependent Student Loan Amounts
$5,500 total loans for 1st year undergraduates
$6,500 total loans for 2nd year undergraduates
$7,500 total loans for each remaining undergraduate year
Independent Student Loan Amounts
$9,500 total loans for 1st year undergraduates
$10,500 total loans for 2nd year undergraduates
$12,500 total loans for each remaining undergraduate year
Most students under the age of 24 are considered Dependent students for the purpose of Federal and State financial aid

14. Interest Rate Information
Current Direct Loan Interest Rates for undergraduate borrowers
5.05% for subsidized & unsubsidized loans
Subsidized loans – interest paid by ED:
While you’re in school at least half-time
During your six month grace period
During a period of deferment
Unsubsidized loans begin to accrue interest immediately upon disbursement

15. Aggregate Loan Limits Undergraduate Aggregate Loan Limits
Dependent students may borrow a total of $31,000 (up to $23,000 in subsidized)
Independent students may borrow a total of $57,500 (up to $23,000 in subsidized)
NO EXCEPTIONS!

16. Know Your Borrowing History
National Student Loan Data System
Keep track of your federal student loans
Know your loan servicer
Your loan servicer handles the billing and other services on
your federal student loan

17. Federal Parent PLUS Loan
Parent PLUS loans are federal loans that parents of dependent undergraduate students can use to help pay for college
Current PLUS Interest Rates: 7.6%
Parent PLUS loans are unsubsidized

18. Loans are a Serious Responsibility!
Understand Student Loan Borrowing
Loans must be repaid
Loan repayment can help build your credit history
Avoid ‘Default’ (missing payments or not making payments)
Work with your loan servicer
You may qualify for Deferments or Forbearance

19. Federal Work Study What is Federal Work Study (FWS)?
A need-based Federal employment program
Designed to offer students the opportunity to earn money through part-time on or off-campus employment
Students work to earn the funds which are paid directly to them
Benefits of FWS
Students gain valuable work experience
May help with future employment
Potentially reduce student loan borrowing
Flexible work schedules
Convenient location (on-campus)
How are Students Awarded and Paid FWS?
Eligible students are awarded FWS for the award year
Students are typically paid bi-weekly

20. Scholarships
Apply for scholarships based on merit, need or other criteria such as community or military service. Visit the Purdue Northwest website for scholarship information Do not pay fees to apply for aid or scholarships!

21. Satisfactory Academic Progress
Students must maintain Satisfactory Academic Progress to continue receiving federal student aid
At least a 2.0 GPA and 67% course completion ratio
Students who withdraw from all classes will have a required calculation performed
May owe a percentage of their financial aid back to the U.S. Department of Education
May owe a balance

22. Helpful Websites
Detailed information on federal aid programs https//.studentaid.ed.gov FAFSA4caster is a free financial aid calculator which provides an early estimate of a student’s potential eligibility for federal student aid

23. Questions?