FinAid Tutor: Lesson 2

Financial Aid Programs at WVU

Lesson 2: Learning Objectives

By the end of this lesson, you will have a better understanding of:The basic differences between each type of

financial aid, including:GrantsEmploymentLoans

The specific requirements for each financial aid program

Grants

Grants are financial aid that students do not repay—they are “free” money

Eligibility is based on financial needGrant aid at WVU include:

Federal Pell GrantsFederal Supplemental Educational

Opportunity Grant (SEOG)

Grants: Federal Pell Grants

Award Amounts: Between $400 and $4,050 per year

Eligibility:Undergraduates w/o a bachelor's degreeComplete FAFSADemonstrate financial need

Additional Requirements:Maintain Satisfactory Academic Progress

Grants: Federal Supplemental Educational Opportunity GrantsAward Amounts:

Up to $4,000 per yearEligibility:

Complete FAFSA by March 1Undergraduates w/o a bachelor’s degreeDemonstrate exceptional financial needPriority given to Federal Pell Grant recipients

Additional Requirements:Maintain Satisfactory Academic Progress

Employment

Employment is financial aid that is earned through a part-time job, usually slightly above minimum wage

Work sites can be on campus or at non-profit organizations in the community

Students typically work between 12 and 15 hours per week

Payments will be made every two weeks as your work, rather than in a lump sum

Employment aid at WVU includes: Federal Work-Study

Employment: Federal Work-Study

Award Amounts: Up to $1,800 per year

Eligibility: Complete FAFSA by March 1 Demonstrate financial need

Additional Requirements: Complete the Job-Skills Sheet Obtain Authorization Form from Financial Aid Office Maintain Satisfactory Academic Progress

Loans

Loans are financial aid that must be repaid, with interest

Loans at WVU include:Federal Perkins LoanDirect Subsidized LoanDirect Unsubsidized LoanDirect PLUS Loan

Loans: Federal Perkins Loan

Award Amounts: Up to $4,000 per year

Interest rate: 5%

Eligibility: Complete FAFSA by March 1 Demonstrate financial need

Additional Requirements: Complete a Master Promissory Note Maintain Satisfactory Academic Progress

Loans: Direct Subsidized Loan Award Amounts:

Freshmen: Up to $2,625 per year Sophomores: Up to $3,500 per year Juniors & Seniors: Up to $5,500 per year

Interest Rate: Fixed interest rate of 6.8% Government pays the interest while in school

Eligibility: Complete FAFSA Demonstrate financial need Enrolled at least half-time

Additional Requirements: Complete a Master Promissory Note Complete Entrance Counseling Maintain Satisfactory Academic Progress

Loans: Direct Unsubsidized Loan Award Amounts:

Freshmen: Up to $2,625 per year Sophomores: Up to $3,500 per year Juniors & Seniors: Up to $5,500 per year

Interest Rate: Fixed interest rate of 6.8% Government does notdoes not pay the interest while in school

Eligibility: Complete FAFSA Enrolled at least half-time

Additional Requirements: Complete a Master Promissory Note Complete Entrance Counseling Maintain Satisfactory Academic Progress

Loans: Direct PLUS Loan

Award Amounts: Up to the full Cost of Attendance minus any other aid received

Interest Rate: Fixed rate to be determined

Our best guess - between 7.9% & 8.25%

Eligibility: Favorable credit history Enrolled at least half-time

Additional Requirements: Parent completes a PLUS Loan Application Parent completes a Master Promissory Note Maintain Satisfactory Academic Progress