Key Terms Pt.1
A document from a school where you have been accepted that outlines how much financial support you will receive from the school and how much you will have to pay for the year
What is an Award Letter?
Gift aid/Money that does not have to be repaid; given for merit, student interest, or financial need
What are scholarships?
Total direct cost to attend college. Includes only: tuition, fees, and room and board
What is cost of attendance?
Interest is the cost of using someone else’s money
What is loan interest?
the amount that's left to be paid after financial aid is awarded. The measure we use to determine if the financial award is a strong, weak or fair pack
What is Unmet Need?
What does FAFSA stand for?
What is Federal Application for Federal Student Aid?
A way for students to earn money through part-time campus jobs. Does not need to be repaid
What is work-study?
Funded by the federal government. 3 types: Subsidized, unsubsidized, and Parent (PLUS) Loan. Usually offers lower/fixed interest rates and more flexible repayment options than loans from banks or other private sources.
What are Federal Loans?
The original amount borrowed when taking out a loan
Loan principal
Any money to pay for college and comes from 3 places: federal government (FAFSA), state (MASSGrant) and institution (college/university) (CSS)
What is financial aid?
A username and password you use to access your information on federal student aid websites and to sign important documents like the FAFSA
What is FSA ID?
Total out-of-pocket cost to attend college for one year after gift aid is subtracted from the direct cost of attendance. Cost of Attendance - Gift aid = Net Cost
What is net cost?
costs that will not appear on your bill but are estimated costs associated with going
What are indirect costs?
Awarded by the college to assist with the cost of college.
What is institutional loans?
A state-funded support and grant program for students from educationally and economically disadvantaged backgrounds, primarily at UMass campuses and some MA state colleges.
What is Massachusetts Educational Opportunity Program (EOP)?
What are the four types of financial aid a student can recieve?
What are grants, work-study, loans and scholarships?
Up to $7395 of gift aid from the federal government based on financial need
What is the Pell Grant?
A document the student receives 3-5 days after filing the FAFSA that summarizes the information submitted on FAFSA and indicates the student’s SAI, information entered and if you are eligible for Pell.
What is a FAFSA submission summary?
Parent Loan for Undergraduate Students-A federal loan taken out in the parent’s name. Based on credit score.
A Massachusetts state grant that helps eligible MA residents pay for college based on financial need and enrollment
What is the MassGrant?
When unpaid interest is added to your loan principal?
It is an eligibility index number that your college’s or career school’s financial aid office uses to determine how much federal student aid you would receive if you attend the school.
What is SAI or Student Aid Index?
Targets students with the highest financial need (usually Pell-eligible) who are enrolled full-time and have had permanent Massachusetts residence for at least 1 year.
What is MASSGrant?
Loans funded by the government; the U.S. Department of Education pays the interest while you are in school at least half-time and during a period of deferment.
What are subsidized loans?
What is the formula for net cost?
What is Cost of Attendance (COA) - Gift Aid = Net Cost ?