2.  Scholarship- A financial award which need not be repaid.  Academic Scholarships- Financial awards given to students for high academic achievement.  Athletic Scholarships- Scholarships awarded to student-athletes by NCAA Division I and II colleges, NAIA Division I colleges, and some two-year colleges.

3.  Gift Aid- Money awarded to students that does not require repayment, these are primarily grants and scholarships.  Grant- A form of gift aid. A term often used as a synonym for scholarship.  Merit Scholarships- Scholarships awarded for academic or other achievement.

4.  FAFSA- Free Application For Federal Student Aid. Complete annually. www.fafsa.ed.gov. www.fafsa.ed.gov  Estimated Family Contribution- The amount of money a family can be expected to contribute to a student’s educational expenses.

5.  Budget Number- The estimated total cost for a year at a specific school. Determined by school’s chief financial aid officer.  Financial Need- The difference between the budget number and the estimated family contribution. › In other words, the estimated cost minus the funds the family can afford to provide.

6.  Need-Based Financial Aid – Money awarded to students who has demonstrated financial need.  Parent Loan- An unsubsidized student loan which does not require students to demonstrate financial need.  Pell Grant- A need-based federal award offered to students from low income families

7.  Renewable Award- An award which can be renewed during following academic years if stated criteria is met.  Self Help Aid- Loans and work study funds.  Student Loan - Government or private loans given to students to cover their educational and living expenses.

8.  Stafford Loan- Federal loan for students with a low fixed interest rate, (3.4% interest) › Nearly all students are eligible › They may be subsidized or unsubsidized › Can borrow up to $20,500 per year depending on degree and year in school

9.  Subsidized Loans- A type of Stafford loan › Student loans with low interest rates. › You are not charged interest while you are at least a ½ time student. › Usually start paying back 6 months after you graduate college. › Require a demonstration of need. › Max amounts you can receive per year:  Freshman: $3500  Sophomore: $4500  Junior: $5500  Senior & 5 th year $5500

10.  Unsubsidized Loans- A type of Stafford loan › Federally granted loans that are not based on financial need. › Interest is not paid by the government, you pay immediately. › There are max amounts depending on your status.  Work Study- A program which allows students to earn money working on campus or in the local community.