FAFSA & Fin. Aid
This is the first step in preparing for college to reduce potential debt.
What is accumulating savings, applying for scholarships, and seeking state aid?
The cost paid directly to the college, such as tuition, housing, and meal plans.
What are Direct Costs?
This type of financial aid must be paid back with interest.
What are Loans?
Federal loans with interest paid by the government while you are in school.
What are Subsidized Direct Loans?
The default federal repayment plan, usually paid off in 10 years.
What is the Standard Repayment Plan?
You must submit this application every year to determine your eligibility for federal student aid.
What is the FAFSA (Free Application for Federal Student Aid)?
This is the “true cost” of college after subtracting grants and scholarships from the sticker price.
What is Net Price?
These are merit-based or need-based “free money” that do not need repayment.
What are Scholarships and Grants?
Loans available to undergraduate and graduate students that accrue interest while in school.
What are Unsubsidized Direct Loans?
A repayment option where your monthly payment gradually increases as your salary grows.
What is the Graduated Repayment Plan?
The number colleges use to determine how much federal student aid you qualify for.
What is the Student Aid Index (SAI)?
The price listed by a college before grants and scholarships are applied.
What is Sticker Price?
Federal or state money awarded based on financial need; you must complete the FAFSA to qualify.
What are Need-Based Grants?
The type of costs you have more control over when considering your college budget.
What are Indirect Costs?
Postponing payment where interest still accrues is called
What is Forbearance?
Your school may contact you to verify the information on your FAFSA; this process is called…
What is Verification?
Costs like books, transportation, or personal expenses that you control.
What are Indirect Costs?
Grants awarded by organizations like the NAACP, labor unions, or Boy Scouts, usually requiring an essay.
What are Private Grants?
The agreement you sign promising to repay your federal student loans.
What is a Promissory Note?
Beyond salary, college can help you develop this for your future professional life.
What are new skill sets, networks, and career direction?
This four-digit number allows colleges to make corrections to your FAFSA by phone.
What is the Data Release Number (DRN)?
A college with a higher sticker price can end up costing less than a lower-priced college because…
What is it may offer more grants and scholarships that lower the net price?
Before choosing a major, you should calculate this to ensure loan payments are manageable.
What is expected starting salary or return on investment?
Combining multiple federal loans into one with an averaged interest rate is called…
What is Loan Consolidation?
The long-term personal benefit of college includes earning approximately how much more over a lifetime compared to someone with only a high school diploma?
What is $1 million more?