Welcome to

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University of Kentucky College of Medicine
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• Welcome to
• Student Financial Aid 101

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Agenda
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• Eligibility for Federal Aid
• Cost of Attendance
• Debt Management
• Loan Scholarship Resources
• Application Process
• Summary

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Financial Aid Providers
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• Federal Government
• Department of Education
• Dept. of Health Human Services
• State Programs
• Institutional Aid (Medical School)
• Private Organizations or Individuals

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Financial Aid Eligibility Criteria
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Calculation of Eligibility for Financial Aid
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• Cost of Attendance (COA)
• Minus Students Expected Family Contribution
• Independent at Graduate/Professional Level
• Income/Assets Filed on FAFSA
• Minus all resources, including financial aid
  awarded
• Remaining Financial Need (cannot exceed COA)

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Example of Eligibility for Subsidized
Stafford/Direct Loan)

• 42,200 06-07 Med I COA (11 months)
• 10,000 Expected Family Contribution (EFC)
• 15,000 Academic Scholarship
• 17,200 Eligible for full 8,500 (max. annual
  amount) Subsidized Stafford/Direct Loan

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Expenses included in the COST of Attendance
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• Direct Costs (School)
• Tuition Books
• Fees Equipment
• Computer
• Supplies
• USMLE Exam

• Indirect Costs (Living Expenses)
• Housing Food
• Clothes Laundry
• Transportation
• Personal Misc.
• Health Insurance

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Current 2006-07 COA
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• Basic budget (COA) is for the student only
• M1 Resident (11 month curriculum)
• 42,200 (21,468 Tuition Fees)
• M1 Non-Resident (11 month curriculum)
• 62,200 (41,480 Tuition Fees)

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Adjustments to Income or COA
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• Loss of Income (Student or Parent)
• FAFSA Based on prior year income
• Unanticipated Expenses
• Medical/Dental
• Child Care (only if spouse is employed)
• Increase in Number of Dependents
• Birth of a child

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KY Residency Application(for tuition purposes)

• For information and questions, contact
• UK Residency Office [phone]
• www.uky.edu/Registrar/residenc.htm
• Residency Application Deadlines
• 2007 Fall Semester September 20, 2007
• 2008 Spring Semester February 9, 2008

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Factors that influence your Total Student Loan
Debt
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• Cost of Attendance for 4 years
• Access to Federal Aid Programs
• Institutional Loan/Sch. Programs
• Need for non-federal aid (private student loan(s)
  
• Length of academic year (determines )
• Interest in Service/Loan Repayment Programs

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Management of Student Loan Debt Can I afford a
medical education?
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• Yes, with attention to the following
• Good Budgeting Skills
• Maximum Use of Federal Loan Programs
• Repayment Plan Options (10-Yr Extended)
• Deferent Options
• Economic Hardship
• Forbearance (Residency Training)
• Loan Consolidation (limited to federal loans)
• Debt Management Counseling
• Entrance Exit SFA Interviews
• SFA Seminars (budgeting, credit, identity theft,
  etc.)
• Loan Consolidation
• Online Access to Student Account (Lender)

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Debt Management Internet Resources

• Financial Education Wellness (FEW)
• www.aamc.org/few (a five-stage curriculum that
  promotes self-awareness, knowledge and planning)
• Monetary Decisions for Medical Doctors (MD)2
  Program
• www.aamc.org/md2 (financial aid information that
  students should know broken down into 3 phases)
• Phase I Pre-medical school years
• Phase II Medical school years
• Phase III Residency Early Practice Years

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Class of 2006 Average Student Loan Debt
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• AAMC Medical Student Education Class of 2006
  (Cost, Debt, and Res. Stipend Facts)
• UKCOM 107,110 (N78 / 87 of Class)
• National Median for Public Schools - 120,000
• National Median for Private Schools
• 160,000

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Credit Rating and Student Loans
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• Graduate Plus Student Loan
• Private Student Loan Programs
• Alternative Loans
• Senior Residency/Relocation Loans
• Credit approval requirement for admission to
  medical school
• Some schools require students to document credit
  approval for admission to medical school
• NOT applicable for U. of Kentucky
• Federal Aid Cannot Fund Consumer Debt (Credit
  Cards, Car Payments, etc.)

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Review Your Credit Report Annually
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• Free Annual Credit Report (Result of
  implementation of FACT Act of 2003)
• www.annualcreditreport.com (secure Web site)
• www.ftc.gov (Federal Trade Commission)
• Phone [phone]
• By written request mailed to
• Annual Credit Report Request Service, P.O. Box
  105281, Atlanta, GA 30348-5281

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There is life after debt!!
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Financial Aid Resources
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• Federal
• Ford Direct/Stafford Student Loan
• Graduate Plus Student Loan
• Perkins Student Loan
• Primary Care Loan (PCL) Service
• Military Scholarship Programs Service
• National Health Service Corps (NHSC) Service
• Indian Health Service Corps (IHS) Service
• Scholarships for Disadvantaged Students (SDS)
• State
• www.aamc.org (State Listing)
• Private
• Banks, Foundations, Organizations
• Medical School Loan/Scholarship Programs
• Alumni, Individual Donors, etc.
• Special Circumstances

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College of Medicine Scholarship Award Process
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• Academic/Merit Scholarship
• Based on Admissions Application Information (no
  additional application required)
• Most scholarships are renewable contingent on
  satisfactory academic progress
• Need-Based Scholarships
• Scholarship Application Distributed by email in
  December and will continue to be sent to new
  students as they are accepted for admission.
• Must apply for 07-08 SFA (FAFSA)

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College of Medicine Scholarship Award Process
Contd.
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• SFA Committee meets monthly
• Oversees institutional scholarship programs for
  all students (includes upper-class awards)
• Students are notified immediately of awards
  (acceptance reply is required)
• Acceptance of a scholarship does not lock in your
  enrollment in the COM
• Scholarships are awarded on an ongoing basis
• Re-awarded automatically when a scholarship
  recipient withdraws from the class

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Programs Requiring Student Parent Financial
Info. on the FAFSA?
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• Primary Care Loan Program (PCL)
• Scholarships for Disadvantaged Students (SDS)
• Private/Institutional Loans/Scholarships
• Specified Donor Criteria
• Title VII Funds Available to Medical Schools
  from the Department of Health Human Services
  (DHHS)

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Application Process
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• Free Application for Federal Student Aid (FAFSA)
  - Complete the paper application or online
  (preferred)
• January 1 Available UK COM Code is E00588
  (SAR)
• April 1 Priority Filing Date
• Request for a Direct / Stafford Loan (s)
• June 1 Priority filing date if funds are needed
  by the student for payment of tuition fees
• Verification
• Error/reject codes on SAR (Student Aid Report)
  reflect selection for review
• Documentation of information submitted on FAFSA
  (must be on file prior to disbursement of
  federal funds)

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Financial Aid Award Package
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• Any combination of grants and/or loans based on
  program regulations (cannot exceed COA)
• Annual loan limit for medical student
• Direct/Stafford - 38,500 (9-mo. curriculum)
• Direct/Stafford - 42,944 (11-mo. curriculum)
• Aggregate loan limit by program
• Direct/Stafford - 189,125 (includes
  undergraduate)

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Financial Aid Transcript (FAT)
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• Required ONLY if you have previously attended
  another Health Professions School to verify Title
  VII (Federal) financial aid received
• Currently there is no mechanism to collect this
  information through the National Student Loan
  Database (NSLDS)
• Online access of your Federal Direct/Stafford
  and/or Perkins Loan History from NSLDS
• www.studentaid.gov (reported by schools
  lenders)

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How Will I Decide What Program or Lender to Use
for my Loan(s)?
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• Federal Direct/Stafford Student Loan Programs
• Can use either program at UK
• SFA can determine eligibility once Student Aid
  Report is received by school (FAFSA)
• Requires full disclosure of all financial
  resources
• 2007-08 SFA Application Materials
• February distribution via email
• Updated cost and processing information
• Links to schools preferred lenders (varies by
  school)
• Common forms on SFA Website (PDF)
• COM Loan Application
• Verification Form
• SFA Checklist
• Primary Care Loan Request

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Tax Credits
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• Hope Scholarship Credit
• Max. annual amount 1,500 (for 1st 2nd yrs of
  undergraduate study only)
• Lifetime Learning Credit
• Max. annual amount 2,000 (calculated per
  family, not per child).
• Eligibility includes calculation of only
  out-of-pocket expenses
• student earnings, savings, loan,
  gift/inheritance counted
• IRS 1-800-829-1040 or Dept. of Education
• http//www.ed.gov/index.jsp

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SUMMARY
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• The College of Medicines innovative curriculum
  will provide you with an excellent medical
  education for a competitive financial investment.
  
• Students have access to federal, institutional
  and private financial resources during enrollment
  (SFA is housed in the Office of Medical Education
  in the Medical Center for convenience.
• SFA Communication through Student List-Serv
• SFA Bulletin Board on SFA web page
• Potential for scholarship opportunities
• The financial aid staff are active advocates for
  students on financial aid issues
• AAMC SFA Organization Memberships
• State, National, and Regional Organizations
• Lobbying efforts for SFA legislation

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SFA Resources
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• Financial Aid Web Page
• www.mc.uky.edu/meded/financialaid/index.asp
• Links to lenders
• Information on SFA topics
• Links to free scholarship searches
• UKCOM Scholarship Programs
• Affording Higher Education www.kheaa.com

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Congratulations and I hope to see you in the fall
semester 2007!!
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• Linda A. Gilbert
• Financial Aid Coordinator
• U.K. College of Medicine
• email lgilber_at_email.uky.edu
• julie.mcdaniel_at_uky.edu
• [phone]
• [phone]
• Fax [phone]