Financial Aid for College SHPE Foundation

Sources of Aid  Government  Federal  State  Institutional  Varies by schools  Private SHPE Foundation

Government Aid SHPE Foundation

Government Aid  To qualify for this aid, you must complete the: Free Application for Federal Student Aid (FAFSA) SHPE Foundation

Government Aid  Types of aid  Grants  Federal Student Loans  Work-Study Programs  Scholarships SHPE Foundation

Grants  Grants are:  “Gift aid”  Financial aid that does not have to be repaid  Often need-based SHPE Foundation

Types of Grants Federal Grant Program Awarded toAnnual Awards Federal Pell Grant Undergraduate students Financially needy Have not earned a bachelor’s or graduate degree Up to $5500 Federal Supplemental Educational Opportunity Grant Undergraduate students Exceptional financial need Have not earned a bachelor’s or graduate degree Up to $4000 SHPE Foundation

Types of Grants Federal Grant Program Awarded toAnnual Awards Teacher Education Assistance for College and Higher Education (TEACH) Grant Undergraduate students Education Major (or Intended) Must agree for at least four years: serve as a full time teach in a high need field in a school or educational service agency that serves low income students Up to $4000 SHPE Foundation

Types of Grants Federal Grant Program Awarded toAnnual Awards Iraq and Afghanistan Service Grant Must be ineligible for Pell Grants A parent or guardian was a member of the US armed forces Died as a result of performing military service in Iraq or Afghanistan after the events of 9/11 Up to $5500 SHPE Foundation

Federal Student Loans  The U.S. Department of Education has two federal student loan programs  The William D. Ford Federal Direct Loan (Direct Loan) Program  The Federal Perkins Loan SHPE Foundation

Federal Student Loans  Types of The William D. Ford Federal Direct Loans  Direct Subsidized Loans  Direct Unsubsidized Loans  Direct PLUS Loans SHPE Foundation

Direct Subsidized Loan  For undergraduate students who demonstrate financial need: Between $3,500 and $5,500 (depending on year in schoo l)  Enrolled: at least half-time  Interest: 3.4%* (between July 1, 2012 and June 30, 2013)  Leader: The U.S. Department of Education (ED)  Payment to ED SHPE Foundation

Direct Subsidized Loan  Interest  3.4% ( for loans made between July 1, 2012 and June 30, 2013)  Student is not charged interest while in school and during deferment periods SHPE Foundation

Direct Unsubsidized Loan  For undergraduate students, financial need does not need to be demonstrated: Between $5,500 and $20,500 (depending on year in school and dependency status )  Enrolled: at least half-time  Interest: 6.8%  Leader: The U.S. Department of Education (ED)  Payment to ED SHPE Foundation

Direct Unsubsidized Loan  Interest  6.8%  Student is charged interest while in school and during deferment periods SHPE Foundation

Direct PLUS Loan  For parents of dependent undergraduate students and financial need does not need to be demonstrated: Maximum of Cost of Attendance minus any other financial aid the student receives  Students Enrolled: at least half-time  Interest: 7.9%  Leader: The U.S. Department of Education (ED)  Payment to ED SHPE Foundation

Direct PLUS Loan  Interest  7.9%  Parents are responsible during all periods SHPE Foundation

Federal Perkins Loan Program  For undergraduate students with demonstrated financial need: Up to $5,500  Students enrolled: at least half-time  Interest: 5%  Leader: college  Payment to college SHPE Foundation

Federal Perkins Loan Program  Interest  5%  Students are responsible during all periods SHPE Foundation

Federal Perkins Loan Program  Please take note:  Not all schools participate in the Federal Perkins Loan Program  Funds depend on student’s financial need and availability of funds at the college SHPE Foundation

Federal Work-Study  Provides part-time jobs for undergraduate with financial need  Encourages community service work and work related to the student’s course of study SHPE Foundation

Work-Study Program  Types of jobs  Civic education  Related to your course of study (whenever possible)  Location of Jobs  On-Campus  Off-Campus SHPE Foundation

Work-Study Program  Earnings  Paid hourly  At least the current federal minimum wage  School pays you directly  Hours  Work a specific number of hours each week based on your school schedule and the university department hours of operation SHPE Foundation

Work-Study Program  Wage can vary depending on  Type of work  Skills required for position  Total work-study award depends on  When you apply  Your level of financial need  School’s funding level SHPE Foundation

Work-Study Program  Please take note: This program is first come, first serve! SHPE Foundation

Government Scholarships  Scholarships are “gift aid”  Government scholarships are available from the state These scholarships offer both Merit-Based and Need-Based SHPE Foundation

State Scholarships  Types of scholarships  Academically talented students  Students from minority groups  Low-income students  students pursuing high-need fields of study (such as STEM fields) SHPE Foundation

State Scholarships  Amount of award varies  Type of award  One-time  Renewable  Eligible for the award if you meet the requirements (no need to reapply) SHPE Foundation

State Scholarships  Example: Maryland  Sharon Christa McAuliffe Memorial Teacher Education Award  Maryland Chiefs of Police Association  Need Based Senatorial Scholarship  Guaranteed Access Grant  Jack and Jill of America, Inc. SHPE Foundation

Other Government Scholarships  Congressional Caucus  Congressional Hispanic Caucus Institute, Inc.  Congressperson  Federal level  State level Every state differs, be sure to look into your state and local legislature for potential scholarships SHPE Foundation

Scholarship Essays  Write a detailed essay - achievements, strengths, goals, and how you plan to reach the goals  Make sure to have at least two people review your essay (this can be a parent, teacher, counselor…)  Ask for help if you are uncertain about a topic SHPE Foundation

Institutional Aid SHPE Foundation

Institutional Aid  Provides scholarships  Merit-Based  Need-Based This aid varies with each institutional SHPE Foundation

Institutional Aid  Example: Harvard University  Department Scholarships  General Scholarships  Merit-Based Scholarships  Featured Program Scholarships SHPE Foundation

Private Aid SHPE Foundation

Private Aid  Scholarship  Private Student Loans SHPE Foundation

Scholarships  Types of Scholarships  Merit-Based  Need-Based  Available from  Corporations  Organizations  Non-profits  Businesses SHPE Foundation

Scholarships  Specific Scholarships  Minority groups  Leadership  Field of Study  Community Service SHPE Foundation

Private Student Loans  Private Loans are not through the federal government  Lenders maybe a bank, credit union, state agency, or school  Loans should be a last resort as interest payments may be high SHPE Foundation

Private Student Loans  Many require payments be made during school  May require established credit score  May need a co-signer  Interest rate  Variable  Some greater than 18%  Student pays the interest SHPE Foundation

Private Student Loans  Interest Rates vary depending on  Co-signers credit  Your credit score Make sure to look for the best rates available if you proceed with this option SHPE Foundation

Private Student Loans  Example Sallie Mae  Smart Option Student Loan  Variable Rates  1-month: 2.25%APR to 9.11%APR  Or Fixed Rates  5.74%APR to %APR  Payment length: 5-15 years based on loan balance and year in school SHPE Foundation

Helpful Links    studentloans.gov/myDirectLoan/index.action studentloans.gov/myDirectLoan/index.action  SHPE Foundation