Financial Aid Basics
This is money you receive to help pay for college
financial aid
What does SAI stand for?
Student Aid Index
This type of money does NOT need to be repaid
scholarships/grants
This type of loan is offered by the government
Federal Student Loans
This should be compared when choosing colleges
net price
The best order to accept aid starts with this (free money first)
scholarships and grants
When does the FAFSA open each year?
Oct. 1
Scholarships are often based on this
Merit
These loans usually have higher interest rates
Private loans
Going to this type of school first can save money
Community college
This type of aid requires you to work part-time
Work-study
How much is it to submit the FAFSA?
Free
Grants are usually based on this
Financial Need
Who pays the interest on federal unsubsidized loans?
Borrower
Name a direct cost of attending college?
Tuition, room and board, mandatory fees
This type of aid must always be repaid
Loans
What does FAFSA stand for?
Free Application for Federal Student Aid
What does the term 'deferment' refer to in student loans?
Temporary pause on student loan payments, often during school or financial hardship, where interest may or may not grow depending on the loan type
Who is eligible for the direct PLUS loan?
Parents of dependent undergraduate students (and also graduate or professional students)
What is a promissory note?
A loan agreement
This determines your total cost after aid is applied
Net Price
The LOWER your SAI, the _____________ need-based financial aid you’ll be eligible to receive.
More
What is the average amount of student debt for college graduates?
$37,090
This type of loan does NOT accrue interest while in school
subsidized loans
What is a potential downside of loan consolidation?
higher interest, Possible loss of federal benefits