husky 101: northeastern orientation financial aid & payment planning student financial services...

Husky 101: Northeastern Orientation

Financial Aid & Payment Planning

Student Financial Services

Student Accounts

1


Overview

• Introduction to Student Financial Services and Student Accounts

• Making Northeastern Affordable

• Billing Information

• Helpful Resources

• Questions

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Student Financial Services and Student Accounts

• We’re working together as partners to help make Northeastern affordable

• Administering and disbursing grants, loans and scholarships (SFS)

• Billing and account inquiries (SA)

3


Making Northeastern Affordable Applying for Aid

• To apply for financial aid:– FAFSA: Free Application for Federal

Student Aid•FAFSA on the Web: www.fafsa.ed.gov

• Funds are limited

• Priority filing date for upper class:– March 1

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Making Northeastern Affordable Awarding Process

• Appeals– Change in Financial Circumstances

• Can Consider: Loss of Job, Decrease in Income, Medical • Cannot Consider: Consumer Debt: Car Loan, Credit

Card – Provide Documentation

• Student Employment– Student cannot be hired until all paperwork completed– Before leaving campus today, please check with student

that they submitted necessary forms (I9 and W4).

• Verification Process- Funds will not deposit- Cannot begin work-study assignment

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Making Northeastern Affordable Financing Options Overview

• Suggestions– Other Aid Sources

• Private Scholarships: Community Groups, Employers

– Collegeboard.com• Northeastern Endowed Scholarships: In

subsequent years• External Scholarship Procedure

– Keep Expenses Low: Cars, Clothes, Miscellaneous Expenses, Credit Cards

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Supporting Your Choices: How Costs and Aid Work at Northeastern

• Annual costs vary from year to year based on the academic choices your student makes

• Tuition is charged when student is taking classes/earning academic credit

• Typical full-time enrollment is four classes per semester• Students typically take the equivalent of eight semesters

• Tuition is not charged for co-op experience

• Northeastern scholarships and grants are credited in proportion to tuition charges


Annual Costs (2 Semesters)

$36,380 Tuition

$12,310 Average Room & Board

$412 Typical Billed Fees

Details: www.neu.edu/registrar/billing

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Making Northeastern Affordable Billing

• Payment Deadline– Due Date is listed on online bill– Payment or appropriate payment arrangements need

to be in place before a student will be allowed to attend for the fall term.

• Complete necessary documentation to receive financial aid prior to term

• Full Payment• Approved Loan(s)• Enrollment in the annual payment plan (TuitionPay)

• Health Insurance Waiver Deadline – by September 8, 2010

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Making Northeastern Affordable Billing

• Anticipated Financial Aid– Financial aid listed on the bill is considered

anticipated aid.– Please complete all paperwork required for aid to

deposit to account, or it will no longer show on future bills.

• Parent Portal

• External Scholarship Procedure

• Changes During the Year

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Making Northeastern Affordable Payment Plan

• Monthly Payment Plan– Tuition Pay

• www. tuitionpay.salliemae.com/northeastern or call at (800) 635-0120

• Advantages– Affordable Monthly Payments (11, 10 or 9 months)– No Interest ($60 enrollment fee)– Reduces or eliminates need to borrow

– Payment Plan is administered by Sallie Mae• Not affiliated with the University• Provides monthly payment to Northeastern

– Use to pay entire balance or in combination with other sources

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Making Northeastern Affordable Borrowing Parameters

– General Rule: Use savings and current resources first

– For Education Expenses Only– Up to the Cost of Education Budget minus

financial aid– Subject to Approval by Lenders– Limit borrowing to what you need:

● Can work in combination with Payment Plan to save you money

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Making Northeastern Affordable Borrowing Options – Parent Loans

• Long-term financing– Federal Parent Loans

• Federal Direct Parent PLUS Loan– Fixed rate of 7.9%– In-school deferment available– 10 year standard repayment– 90% of NU parents approved

– State Parent Loan• MEFA Undergraduate Loan

– Fixed rate based on repayment option– In-school deferment available– 15 year standard repayment– Student is co-borrower– Your state may have similar loan option=


Making Northeastern Affordable Borrowing Options - Student

• Federal Direct Stafford Loan

• Repayment begins 6 months after the student graduates (or separates) from the University

• Fixed interest rate of 4.5% (subsidized) or 6.8% (unsubsidized)

• 0.5% origination fee• Entrance Interview required:

– myNEU student portal → Self Service → Student Services

• Master Promissory Note (MPN) procedure– Available online at www.studentloans.gov ->Complete

New MPN for Student Loans– Federal PIN required (FAFSA pin)

» To request duplicate pin visit www.pin.ed.gov14


Making Northeastern Affordable Borrowing Options - Student

• Federal Perkins / Nursing / Health Professions loans– Repayment begins 9 months after the student graduates (or

separates) from the University.– Awarded based on financial need with fixed interest rate of 5%.– Paperwork will be mailed late July/August. For Nursing and HPL,

students will also need to complete documentation on MyNEU

• Student Alternative Loans– Subject to the approval of the lender.– Most freshman students will need cosigner.– Providers

– Banks, Credit Unions– Educational Lenders– State Higher Education Entities

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Before You Borrow a Loan

• Research alternative Private Parent & Student alternative Loan Options– Compare interest rates and features – Loan fees– Paying the interest– Borrowing limits– Monthly payments for each loan program– Deferment Options– Customer Service

• In many cases, Federal Stafford and PLUS Loans have the best options. Borrow from these sources first.


Sample First Year Bill

$36,380 Tuition$762 Fees $12,310 Room and Board (Estimated)-------------------------------------------------------$49,452 Total Estimated Bill (For details:

www.neu.edu/registrar/billing.html)

-$10,000 Northeastern Excellence Scholarship-$9,000 Northeastern University Grant-$5,472 Net Federal Direct Stafford Loans -$2,000 Federal Perkins Loan-------------------------------------------------------$22,980 Balance Due

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Payment Options

Example: $22,980 balance due

• Monthly payment plan = $2,298/month for 10 monthsTotal Cost =

$23,040

• Borrowing (Direct PLUS Loan ) = $277.60/month for 10 yearsTotal

Cost = $33,312

• Borrowing (MEFA Loan) = $216/month for 15 yearsTotal Cost =

$38,791


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Payment Options

Example: $22,980 balance dueCombination Payment Plan and Loan Reduces Long-Term Cost

• Combination Payment Plan and Direct PLUS Loan - $500/month available

$261/month for 10 months ($2,610 monthly payment plan)$246/month for 10 years ($20,369 Direct PLUS Loan)

Total Cost = $32,197

• Combination Payment Plan and MEFA Loan - $500/month available$331/month for 10 months ($3,310 monthly payment plan)$184/month for 15 years ($19,666 MEFA Loan)

Total Cost= $36,567


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True Costs Over TimePayment Plan Direct Parent

PLUS LoanAlternative Loan w/no payments while in school

Credit Card

Original amount

$22,980 $22,980 $22,980 $22,980

# years to pay

1 10 10 10

Interest rate 0.0% 7.9% (fixed rate)

9% (variable

rate)

18%

Monthly payment

$2,298 $278*$410

*$456 $415

Total Payments

$23,040 $33,312*$49,257

*$54,763 $49,688* Indicates deferred payment option.


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Alternatives To Borrowing

• Private/Outside Scholarships

• Part-time jobs

• Used Books

• Co-op earnings

• Become an R.A.

• Reduce personal expenses


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Things to remember

• Be sure to submit any missing documents to Student Financial Services to ensure your funds arrive for the start of classes

• Keep all copies of loan applications and notifications on your loans

• Keep track of how much you have borrowed

• Payment for the Semester is due prior to the start of the Semester

– Full Payment– Approved Loan(s)– Enrollment in the annual payment plan

(TuitionPay)


Student Financial Services Website

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Information & Communication

• myNEU (receive information on the following)– Financial aid– Billing (July)– Academic information– Important announcements– Waive health insurance– Change your meal plan

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Additional Information

• Financial Planning Appointments– Financial aid counseling & payment planning

• Websites:– www.financialaid.neu.edu – www.registrar.neu.edu/billing.html

• E-mail:– General Billing/Aid: [email protected] – Financial Aid: [email protected]

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Questions & Answers

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husky 101: northeastern orientation financial aid & payment planning student financial services...

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