financial aid 101
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Financial Aid 101. Valerie Jensen Coordinator, New Students and Outreach Office of Student Financial Services Saint Louis University. What’s happening tonight?. What is financial aid? When and how do I apply? What is an Expected Family Contribution? What is an Award Letter? - PowerPoint PPT PresentationTRANSCRIPT
Financial Aid 101
Valerie JensenCoordinator, New Students and
Outreach
Office of Student Financial Services
Saint Louis University
What’s happening tonight?
• What is financial aid? • When and how do I apply?• What is an Expected Family
Contribution?• What is an Award Letter?• Financial Aid Timeline
What is Financial Aid?• Scholarships
• Grants
• Loans
• Employment Opportunities
How Do I Apply?• FAFSA
– Free Application For Federal Student Aid– Calculates student’s Expected Family
Contribution (EFC)• CSS/PROFILE
– Required by a few colleges and universities– Requests additional information– Costs money
For example, Saint Louis University only requires the FAFSA.
Where Do I Apply?
• Web site: www.fafsa.ed.gov
• 2014-2015 FAFSA on the Web becomes available on January 1, 2014.
When Do I Apply?The FAFSA should be completed between
January 1 – March 1of student’s senior year of high school.
• Most need-based aid awarded on “first-come, first-served” basis
• Plan to submit your FAFSA before each school’s priority deadline
• You must complete a FAFSA each year your student is in school.
What Can I Do Now?• PIN Registration
• FAFSA on the Web Worksheet
• Forecast your EFC
PIN Registration• Web site:
www.pin.ed.gov • You can get your
PIN before you file• Student and parent
will need PINs• Will be used by students and parents throughout aid process, including subsequent school years
FAFSA practice toolsFAFSA on the Web Wkst2013-2014 FAFSA on the
Web Worksheet—4-page booklet containing:
• Instructions• 4 sections
– Student Information– Student Dependency
Status– Parent Information– Student Information
FAFSA4Caster• www.fafsa4caster.gov• Forecasts a ballpark
figure of what your EFC may be
• Allows families to become familiar with the FAFSA
How is the EFC calculated?
• Federal Methodology is the formula created by Congress to determine the EFC.
• Determined by Dept. of Education, not individual schools
• Uses student and parent income and assets
• Includes provisions and exceptions for your family and cost-of-living.
Need Varies Based on Cost
X
Y
Z
Cost of Expected Family NeedAttendance Contribution (Variable) (Variable) (Constant)
1
2
3
EFC EFC
Award Letter• Lists
scholarships, grants, loans, and work opportunities based upon FAFSA
• Sent out by schools in early March
Saint Louis University Merit-Based Scholarship Opportunities
• Merit-Based-$3,000-16,000-Based upon ACT/SAT scores, GPA
• Presidential Scholarship-Full Tuition-December 1st Deadline
• Martin Luther King Scholarship-Stackable award for 2014-2015 academic year-February 1st Deadline
Private Scholarship Search
Free Internet scholarship search engines:• FastWeb: www.fastweb.com • Scholarship Foundation
of St. Louis: www.sfstl.org • St. Louis Graduate:
www.stlouisgraduates.org• FinAid on the Web: www.finaid.org • College Board:
www.collegeboard.com • Wired Scholar:
www.wiredscholar.com • GoCollege: www.gocollege.com
Different Types of Federal Aid
• Pell Grant• Supplemental Educational Opportunity Grant (FSEOG)
• Federal Work Study
Federal Work-Study• FWS is an opportunity for students to earn
extra money at an hourly wage. FWS is not immediately applied to a student’s account.
• Undergraduate, graduate, and professional students may be eligible to earn FWS
• Employment may be on or off campus (i.e. charities, non-profits, etc…)
Perkins/Direct LoansPerkins
Direct Subsidized
Loan
Direct Unsubsidized
Loan
How much can I borrow?
Up to $5,500SLU awards new
students up to $2,000
$3,500
$5,500**Less any borrowing of the Stafford Subsidized
LoanIs it based on
need? Yes Yes No
What is the interest rate? Fixed 5% Fixed 3.86% Fixed 3.86%
When do I begin
repayment?
9 months after graduation or below ½ time
status
6 months after graduation or below ½ time
status
6 months after graduation or below ½
time status
Future Amounts Up to $5,500
$4,500 for So year
$5,500 for Jr year$5,500 for Sr
year
$6,500 for So year*$7,500 for Jr year*$7,500 for Sr year*
*Less any borrowing of the Direct Subsidized
Loan
Parent Loan vs. Student Private Loan
Parent PLUS Loan Private/Alternative Loan
Who is the borrower? Parent Student
What is the interest rate? Fixed 6.41% Variable
_______________Tied into Prime or
Libor Index
Is there an origination fee? Yes – 4.204% Varies by lender
When is the loan repaid?60 days after disbursement. Forbearance options may be available to defer payments.
6 months after graduation
How much can I borrow? Up to the cost of attendance Up to the cost of attendanceAggregate limits may apply
Do I need a co-signer? No Yes, in most cases.
Is the loan based on credit?
YesIf denied, the student is
awarded a $4000 unsub loan.Yes
Tackling your remaining balance
• Payment Plans– Most schools offer a variety
• Parent PLUS loan– Federally guaranteed
• Outside/Alternative loans– Do some homework now!
Avoid Being ScammedTo check legitimacy of scholarship search
services or individuals, for information about financial aid scams, and tips to avoid being scammed visit these Web sites:
• U.S. Department of Education: www.studentaid.ed.gov/students/publications/lsa/index.html
• Federal Trade Commission: http://www.consumer.ftc.gov/articles/0082-scholarship-and-financial-aid-scams
• Better Business Bureau: www.bbb.com
Timeline for Senior Year
August-December 2013
Admission Applications & College Visits
By December 2013 Apply for your PINsJanuary – March 2014 Submit FAFSA
March 2014 Receive your Award Letter
May 1, 2014 Submit Deposits & Accept Financial Aid
May – August 2014Finalize Payment
Arrangements, Enroll, Move-In!
Let us help you!Plan to attend a FAFSA Workshop
on SLU’s Campus• January 5th, January 12th, January 19th, January 22nd, January 26th, February
16th
On-Line Chats • January 7th, January 16th, February 5th
Questions? • Due dates are hard, fast and
meaningful! You can be dropped from aid!
• Be aware of payment plan options.
• How electronic is the school you are considering?
• FERPA waiver info
THANK YOU!Contact us
1.800.758.3678 (Toll Free)314.977.2350 (Main)314.977.3437 (Fax)[email protected] (E-mail)http://finaid.slu.edu
http://slu.financialaidtv.com