Financial Aid 101
Valerie JensenCoordinator, New Students and Outreach
Office of Student Financial Services
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
How Do I Apply?
• FAFSA• Free Application for Federal Student Aid• Calculates student’s Expected Family
Contribution (EFC)
• CSS/Profile• Required by some colleges and universities• Requests additional information• Involves a fee
Where do I Apply?
• Web site: www.fafsa.ed.gov
• 2015-2016 FAFSA on the Web will become available on January 1, 2015
When Should I Apply?
The FAFSA should be completed between January 1 and March 1
of student’s senior year of high school.
• Most need-based aid awarded on “first-come, first-served” basis
• Plan to submit FAFSA before each school’s priority deadline
• FAFSA must be completed each year the student is enrolled
What Can I Do Now?
• PIN Registration
• FAFSA on the Web Worksheet
• Forecast your EFC
• Net price calculators
PIN Registration
• Web site: www.pin.ed.gov• You can get your PIN
before youfile the FAFSA
• Student and parent will each need PINs
• Will be used by student and parents throughout aid process,including subsequent school years
FAFSA Practice Tools
2014-2015 FAFSA on the Web Worksheet• Four page booklet
containing• FAFSA instructions• Four Sections
• Student Info• Student Dependency
Status• Parent Financial
Information• Student Financial
Information
FAFSA4Caster• www.fafsa4caster.gov• Forecasts a ballpark figure
of what EFC may be• Allows families to become
familiar with FAFSA
Net Price Calculator• Each school required to
have within 2 clicks of homepage
• Gives better idea of what you’ll pay at each school
How is the EFC calculated?
• Federal methodology is the formula created by Congress to determine the EFC
• Determined by the Dept of Education, not the 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
1
2
1
3
EFC
X
Y
Z
Cost of Attendance
(Variable)
Expected Family
Contribution (Constant)
Need(Variable)
Award Letter
• Lists scholarships, grants, loans, and work opportunities based upon FAFSA
• Sent out by schools in earlyMarch
Saint Louis University Merit-Based Scholarship Opportunities
• Merit-based• $3,000 to $16,000• Based upon ACT/SAT scores, GPA
• Presidential Scholarship• Full Tuition • December 1st Deadline
• Martin Luther King Scholarship• Stackable award for 2015-2016 academic year• February 1st Deadline
Private Scholarship Search
Free Internet scholarship search engines:• FastWeb www.fastweb.com• Scholarship Foundation www.sfstl.org
of St. Louis• FinAid on the Web www.finaid.org• College Board
www.collegeboard.com• Wired Scholar
www.wiredscholar.com• GoCollege www.gocollege.com• Saint Louis University finaid.slu.edu/scholarships
Avoid Being Scammed
To check the legitimacy of scholarship search services or individuals, for information about financial aid scams, and tips to avoid being scammed, visit these websites:
• U.S. Department of Education:www.studentaid.ed.gov/types/scams
• Federal Trade Commission:www.consumer.ftc.gov/scam-alerts
• Better Business Bureau: www.bbb.org
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 money at an hourly wage. FWS is not immediately applied to a student’s account.
• FWS jobs tend to be very flexible and accommodating with student schedules.
• Undergraduate, graduate, and professional students may be eligible to earn FWS.
• Employment may be on or off campus.
Perkins/Direct LoansPerkins Direct Subsidized
LoanDirect
Unsubsidized LoanHow much can I
borrow?Up to $5,500
SLU awards new students up to $2,000
$3,500 $5,500**Less any borrowing
of the Direct Subsidized Loan
Is it based on need? Yes Yes No
What is the interest rate?
Fixed 5% Fixed 4.66% Fixed 4.66%
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
Tackling your remaining balance
• Payment Plans• Most schools offer at least one type of payment plan
• Parent PLUS loan• Federally guaranteed• Credit-based
• Private/Alternative Loans• Do some research now!
Parent Loan vs. Private Student Loan
Parent PLUS Loan Private/Alternative Loan
Who is the borrower? Parent Student
What is the interest rate? Fixed 7.21% (for 2014-15) Variable---------------------
Tied into Prime or Libor IndexIs there an origination fee? Yes – 4.292% (for 2014-15) Varies by lender
When is the loan repaid? 60 days after disbursement. Forbearance options may be available to defer payments
6 months after graduation or below ½ time status
How much can I borrow? Up to the cost of attendance minus any other aid received
Up to the cost of attendance minus any other aid received
Aggregate 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 $4,000 unsub loan
Yes
Timeline for Senior Year
August-December 2014 Admission Applications and College Visits
By December 2014 Apply for your PINs
January-March 2015 Submit FAFSA
March 2015 Receive your Award Letter
May 1, 2015 Submit Deposits and Accept Financial Aid
May-August 2015 Finalize Payment Arrangements, Enroll, Move-In!
Let us help you!
Plan to attend a FAFSA Workshop on SLU’s campus
January 11, 25, 28, February 8, 15 and March 8
Online ChatsJanuary 21, February 3 and 12
www.slu.edu/student-financial-services/outreach
Thank You!
Contact us1.800.758.3678 (Toll Free)
314.977.2350 (Main)314.977.3437 (Fax)[email protected] (Email)http://finaid.slu.edu
http://slu.financialaidtv.com
Top Related