Financial Aid Components

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Financial Aid Components

• Grants
• Loans
• College Work Study
• Scholarships

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Goals of Financial Aid

• Assist students in paying for college
• Evaluate familys ability to pay educational
  costs
• Distribute limited resources in an equitable
  manner
• Provide balance of gift aid self help

3
General Student Eligibility Criteria

• U.S. citizen or eligible non-citizen
• Valid Social Security number
• May not
• be in default on a federal student loan
• owe an overpayment of federal grant or loan
  funds
• Must be registered with Selective Service (if
  male required)

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General Student Eligibility Criteria

• Enrolled in eligible program of study
• Pursuing degree or certificate
• Making satisfactory academic progress (SAP), as
  defined by college
• GPA and Completion Components
• Maximum Time Frame Component

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Determining Financial Need

• Parents have primary responsibility to pay for
  dependent childs education
• Students are expected to contribute to their
  educational costs

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Independent Student Definition

• Students considered dependent unless
• 24 years old
• Graduate/professional student
• Married
• Provides gt½ support for dependents
• Orphan or ward/dependent of court
• U.S. Armed Forces veteran

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FAFSA4CASTER

• Early start on financial aid process
• Instantly calculates estimated eligibility
• Access FAFSA4caster at
• www.FederalStudentAid.ed.gov

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FAFSA

• Free Application for Federal Student Aid
• Familys personal/financial information for
  students EFC
• 1st step in applying for aid
• Complete pre-application worksheet
• www.fafsa.ed.gov

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FAFSA Filing Facts

• As soon AFTER January 1, as possible
• Immediately after filing tax return
• Priority funding deadlines
• VARY BY SCHOOL! AT LSC
• Summer 2009 March 1, 2009
• Fall 2009 May 15th, 2009
• Spring 2010 October 15th, 2009

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FAFSA Completion

• Necessary documents
• Social Security card - name and number must match
  exactly with FAFSA
• Income taxes, W-2s,
• Welfare, Social Security benefits

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FAFSA Misconceptions

• Hard to complete
• Takes a long time to finish
• I need to pay someone to do it for me
• I make too much money

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FAFSA on the WEB

• www.fafsa.ed.gov
• www.pin.ed.gov
• 2008-2009 Web Worksheet
• Used as pre-application checklist
• FAFSA produces a SAR
• Student Aid Report
• Sent to schools you list

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NEED Defined

• COA (Cost of Attendance)
• (COA at LSC 11,848)
• EFC (Expected Family Contribution)
• _________
• NEED

14
Financial Aid Programs

• Federal Pell Grants
• Academic Competitive Grant
• SMART (3rd 4th)
• State Grants
• College Work-Study
• Federal Stafford Loans
• Plus Loans

15
Federal Pell Grant

• Not required to repay unless all classes are
  dropped/failed
• Award based on EFC, COA and enrollment level
• Intended to help neediest students

16
PELL Amounts

• 4,731 Annual for full time
• 2,365 per semester
• Proposed
• Increase for 2009-2010 5,440
• 2,720 per semester

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Academic Competitive Grant

• Must be Pell eligible
• Must be a US citizen
• Enrolled in 12 hours
• 3.0 GPA
• Recommended on High School Transcript
• 750 first year
• 1,300 second year

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SMART Grant

• Same eligibility as ACG
• Major in sciences, math, technology, engineering
  or a critical foreign language (Arabic, etc)
• Enrolled in 12 hours
• 3.0 GPA
• 4,000 third/fourth year

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State Grants

• Eligibility established by EFC, COA and
  enrollment level
• Texas Public Edu. Grant
• Texas Grant
• Texas Educ. Opp. Grant
• Funds limited
• B-on-Time loans
• www.collegefortexans.com

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College Work Study

• State/Federal
• Based on EFC, COA and enrollment level
• May work up to 19.5 hrs/week
• On-Campus employment
• Student must work to receive funds

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Exemptions and Waivers

• Visual/Hearing Impaired Students
• Disabled Fireman and Peace Officers
• Early HS Graduation Exemption
• Foster Care Students
• Veterans Program- Hazelwood Act
• National Guard Tuition Assistance Program
• www.collegefortexans.com

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Federal Financial Aid Programs LOANS

• Stafford Loans
• Subsidized demonstrated need
• Govt subsidizes monthly interest
• Unsubsidized not based on need
• Student responsible for monthly interest
• PLUS Loans
• for parents of dependent undergraduates
• Repayment starts immediately

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FFEL Loans
Interest rate fixed at 6.0, 3.4 by 2012

• A student must be enrolled in 6 hours
• An entrance interview is required for all student
  borrowers

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Scholarships

• Check institutional scholarships opportunities
  and procedures at your colleges website
• Deadlines vary by school
• Check outside scholarships with employers, civic
  organizations and foundations

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Outside Scholarship Search

• FREE internet scholarship searches
• www.collegefortexans.com
• www.finaid.org
• www.collegeboard.com
• www.fastweb.monster.com
• www.gocollege.com
• www.ftc.gov/scholarshipscams/

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Application ProcessVaries By School

• Check required application forms and procedures
  for LSC-Tomball at
• http//tomball.lonestar.edu
• gtQuick Link to
• Financial Aid
• Forms Databank
• Ask an Advisor

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A Closing Comment

• The early bird
• Gets
• THE MONEY

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Money Management

• College-means freedom
• Trouble-finances
• Money management skills
• Live within budget
• Handle credit and debt
• Lifetime-financial success

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QUESTIONS?

• Any questions?
• EFC SAR FAFSA PIN
• PLUS Loans Stafford loans
• Unsubsidized vs. Subsidized
• Work Study Grants
• PELL SMART ACG
• Priority Deadlines??????
• Thank you!

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Thank you.