Financial Aid
How much does it cost to complete the FAFSA?
Name one way credit card companies make money off of customers.
Interest, Annual fee, Penalty for late payments, Cash advance fee
What is the difference between a checking account and a savings account?
Checking accounts are primarily for accessing your money for daily use. Savings accounts are primarily for saving money.
(a)What office on campus can help you with funding your college education?
(b)Where is it located?
The Office of Financial Aid and Scholarships
Lower level of the library building, by the pond
What is considered a good credit score?
670 and above
What does FAFSA stand for?
FREE Application for Federal Student Aid
What is the difference between a CREDIT card & a DEBIT card?
DEBIT cards are used to pay for items and to withdraw money from cash machines. The money is automatically taken from your bank account so you must have enough money in there to cover the transation.
CREDIT cards are not linked to your bank account. You can buy things now and pay for them later.
What is the difference between gross pay and net pay?
Gross Pay: before taxes are deducted
Net Pay: actual take-home pay (minus any other expenses, like health insurance premiums)
What are TWO resources that you can use to look for an on-campus job?
Handshake
Career Center
What is the maximum percent of your credit limit that you should ever have as a balance due on your credit card?
(a) 20% (b) 30% (c) 40%
30%
Suppose you have a credit limit of $2,000 on your credit card. You should have a balance no higher than $600. (Think about how long it would take you to pay off $600.)
What is UMBC’s priority deadline for completing the FAFSA?
March 1, 2023
What are some disadvantages of only making the minimum payment on a credit card?
Interest is added – you end up paying more for what you bought than the original purchase price; it also takes longer to pay it off
If you cut out one coffee or soft drink purchase each day, you could save at least $______ per week. What about per year?
About $10-$15 per week. At least $700 per year.
If you receive financial aid, are you allowed to participate in the Study Abroad program? (i.e., take classes at another university outside the country)
YES – many types of aid will still apply (check with the Office of Financial Aid and Scholarships)
(a)When should college students begin actively preparing for a career?
(b)What is the best resource on campus for doing that?
Immediately
The Career Center: Explore career paths, plan experiences that will help you be more competitive in the job market
Name at least 3 types of federal aid that students could qualify for by filling out the FAFSA.
Grants, work-study, scholarships, loans
What does the average household pay in credit card interest per year?
About $1,100 per year
What is an overdraft? What will happen if you do this?
Taking more money out of an account than is actually there (making an account go negative)
Overdraft penalty fees charged
What is the difference between a subsidized vs. an unsubsidized loan?
Both types of loan charge interest but with a subsidized loan, the federal government pays the interest on the loan for you while you are enrolled. When it is time to start repaying the loan, interest starts accruing on your account (and you are responsible for paying it).
What are some ways to prevent identity theft?
Review your monthly bank account statements and credit card statements to catch errors
Order your free credit reports
Shred old bank statements, credit card applications, and other documents with personal information
Change online passwords often - two factor authentication
Do not carry your Social Security card in your wallet
Which types of federal aid do not have to be repaid? (name at least two types)
Grants, Work-Study, Scholarships
(a) How many credit cards does the average person have?
(b) How much credit card debt does the average U.S. household have?
3 credit cards
About $7,000 in credit card debt
What is the difference between a Cashier's check and a Certified Check (personal check)?
Cashier's checks are signed by the bank while certified checks are signed by the consumer.
Name at least one scholars program that is open to students who are already enrolled at UMBC.
Honors College
CyberScholars
Sherman STEM Teachers Scholars
McNair Scholars
What is “employer matching”? What is “compound interest”? Why are they important for retirement?
Employer matching: you contribute to your retirement plan (e.g., 5%) and your employer puts in the same amount
Compound interest: Interest is added to your contributions AND to the interest that accumulates. It creates a snowball effect (start at a young age, continue to contribute, don’t withdraw money!!!)