Federal Supplemental Educational Opportunity Grant (FSEOG) – The FSEOG is a grant funded by the federal government. Students must complete the FAFSA and demonstrate financial need. Students must receive a valid SAR and have all necessary materials in the office of financial aid before being considered for these funds. Students who qualify for the Federal Pell Grant receive first priority in receiving FSEOG funds. FSEOG funds are generally awarded on a first-come, first-served basis. However, because FSEOG funding is limited, there is no guarantee that students will receive this award even if they qualify. Federal Work Study (FWS) – A limited number of institutional work assignments are available to needy students through the Federal Work Study program. The Office of Financial Aid collects and monitors job applications through the FWS program; however, the campus departments are responsible for the hiring of students. Contact the office of financial aid for information. FEDERAL LOANS Federal Direct Loans – Federal Direct Loans are low-interest loans for students and parents to help pay for the cost of a student’s education. The lender is the U.S. Department of Education. Additional information about Federal Direct Loans can be found at studentaid.ed.gov. • Subsidized: Students must demonstrate financial need as determined by federal regulations. Interest is paid by the federal government while you are in school and during certain other periods. • Unsubsidized: Interest is not paid by the federal government and accrues while you are in school. If you do not pay the interest, it will be added to the unpaid principal amount of the loan. This is called “capitalization.” Capitalization increases the unpaid principal balance of your loan, and interest will be charged on the increased principal amount. Federal Direct PLUS Loan – Parents of dependent students may borrow under the PLUS program to help pay student’s expenses. The parent must complete a PLUS loan application and Master Promissory Note (MPN). Also, the parent will be required to pass a credit check. Payment can be deferred while the student is enrolled or can begin immediately. Eligibility for Loans Students must demonstrate eligibility for Federal Direct Loans by having a current FAFSA on file at Davis College. Students must be enrolled at least half time in a certificate or degree program and be making satisfactory academic progress. Students may not be in default status for any federal student loan(s). Students who are new Federal Direct Loan borrowers must complete the Federal DL Entrance Counseling and Master Promissory Note at studentloans.gov. Returning borrower(s) must notify the office of financial aid of their desire to borrow. Students who have borrowed in the past will automatically have student loans awarded to them. It is the student’s responsibility to notify the office of financial aid if they wish to decline the loans awarded to them or have the amount(s) changed. Students who receive federal aid or borrow through the Federal Direct Loan program will be monitored in the National Student Loan Data System (NSLDS) where other authorized users may have access to personal information including other institutions and loan lenders. Borrowing Limits – The total amount students may borrow depends on several factors including: • Dependency Status • Borrowing History (Borrowers without an outstanding loan balance who borrow after July 1, 2013 cannot exceed 150 percent of the published length of the borrower’s educational program.) • Calculated Estimated Family Contribution (EFC)
27
FINANCIAL AID
Made with FlippingBook - Online Brochure Maker