FINANCIAL AID 101

1
FINANCIAL AID 101

• Applying for financial aid at
• Mountain State University

2
Learning Objectives

• What is Financial Aid?
• Glossary of Terms
• Cost of Attendance
• Expected Family Contribution
• Types of Financial Aid
• The Financial Aid Process
• FAFSA
• Online Interview
• Master Promissory Note
• Verification
• Follow Up

3
What is Financial Aid?

• Financial aid is funds provided to students and
  families to help pay for postsecondary
  educational expenses.

4
Glossary of Terms

• FAFSA Free Application for Federal Student Aid
• PIN Personal Identification Number
• EFC Expected Family Contribution
• SAR Student Aid Report
• ISIR Institutional Student Information Record
• Verification
• VFAO Virtual Financial Aid Office
• MPN Master Promissory Note

5
Cost of Attendance

• Direct Costs
• Indirect Costs
• Direct and indirect costs combined into cost of
  attendance
• Vary widely by institution

6
Expected Family Contribution (EFC)

• Stays the same regardless of institution
• Calculated using FAFSA data and a federal formula
• Calculation made by the Federal Government
• Two components
• Parent contribution
• Student contribution

7
Types of Financial Aid

• Scholarships
• Does not have to be paid back
• Based on merit, skill, or a unique characteristic
• www.educationplanner.org
• Grants
• Does not have to be paid back
• Usually awarded on the basis of financial need
• Loans
• Students/Parents borrow to help pay educational
  expenses
• Repayment after graduation
• ONLY BORROW WHAT IS NEEDED!

8
Common Federal Aid Programs

• Federal Pell Grant
• Federal Supplemental Opportunity Grant
• Stafford Loans
• Subsidized
• Unsubsidized
• PLUS Loans
• Parent
• Graduate

9
PROMISE Scholarship

• FAFSA completed by March 1, 2008
• Complete a Common Application online
  (www.wvapply.com). Application must be
  postmarked by March 1, 2008
• High School Senior must have a 3.0 GPA
• ACT score 22 or better or a combined 1020 on SAT
• College Students must maintain a 3.0 GPA
• Core Academic Classes
• English 4 crds
• Math 3 crds
• Social Sciences 4 crds
• Natural Sciencs 3 crds

10
PROMISE Cont.

• Students must complete 30 credit hours per
  academic year
• PROMISE is renewable for up to eight semesters,
  as long as student meets the minimum eligibility
  requirements.

11
West Virginia Higher Education Grant (WVHEG)

• Must be a WV Resident
• Qualifying EFC 6,000 or less
• FAFSA complete by March 1, 2008
• Students must maintain 12 credit hours
• Must have a 2.0 GPA by the end of Spring term of
  previous year to be re-awarded
• Summer hours do not count
• More information http//wvhepcnew.wvnet.edu

12
Private Sources

• Foundations, businesses, charitable organizations
• Deadlines and application procedures vary widely
• Begin researching private aid sources early

13
Civic Organizations/Churches

• Research what is available in community
• To what organizations and churches does student
  and family belong?
• Application process usually Spring of senior year
• Small scholarships add up!

14
Employers

• Companies may have scholarships available to the
  children of employees
• Companies may have education benefits for their
  employees

15
The Application Process

• FAFSA
• Online Interview
• MPN
• Verification
• Follow Up

16
FAFSAwww.fafsa.ed.gov

• Yearly Application
• Must be completed online
• Apply for PIN at www.pin.ed.gov
• Must use previous years taxes
• Dependent students must have parents sign with
  parents PIN
• Dependents students are under 24, no children,
  unmarried, whether or not they live with parents
• Used to calculate EFC
• Determines Pell eligibility and other grants

17
Online Interviewhttp//mountainstate.vfao.com

• MSUs Virtual Financial Aid Office processes the
  financial aid packages for all campuses
• Interviews have to be complete for every semester
• Must register on the site, using the password to
  sign the interview
• Must request an amount in loans if loans are
  needed.
• Phone number to virtual office 1-877-906-1723

18
Online Interviewhttp//mountainstate.vfao.com
19
Requested Loan Amounts
If needing loans, request amount here!
20
Master Promissory Note (MPN)

• Sign at the end of your online interview
• Only have to sign once
• If borrowing a PLUS loan, a separate MPN must be
  signed
• Must sign to receive loans
• Electronically online with FAFSA PIN
• Paper signature sent to AES

21
Important!
Click Here to Sign MPN!
22
Verification

• Random selection by the Department of Education
• Notified by email by the VFAO
• The documents needed to be turned in can be found
  on your account on the VFAO site
• Turn these in ASAP
• If required to supply taxes, a hand-written
  signature must be on the document

23
Account Balance

• All balances must be paid in full by the end of
  each semester to register for the next semester.

24
Tips

• When selected for verification, the tax
  information is always for the previous year
• Write all passwords/usernames and PIN down in a
  safe place
• The sooner forms are turned in for verification,
  the sooner we can process your aid
• Follow up on your VFAO account often
• Move slowly through the online interview so
  important questions arent unanswered

25
Contact Information

• FAFSA help 1-800-4-FED-AID (1-800-433-3243)
• VFAO 1-877-906-1723
• MSU Information Center 1-866-497-4111
• Niki Kelly 304-929-1517, dkelly_at_mountainstate.edu
  
• General Financial Aid information
  faid_at_mountainstate.edu