Major Types of Financial Aid |
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Federal Supplemental Education Opportunity Grant (FSEOG)
FEDERAL
STUDENT AID – Completion of the Free
Application for Federal Student Aid (FAFSA) is required for
all forms of Federal Student Aid. If the application is
selected for verification, that process must be completed
before aid eligibility can be determined. Go to
www.fafsa.gov to complete
the annual application. If a student is enrolled in courses
that do not count toward his/her degree and/or if a student
is repeating a course in which a passing grade was
previously earned (unless repeating for ADDITIONAL credit is
allowable), non-degree-required hours cannot be used to
determine enrollment status for aid purposes. However,
effective July 1, 2011, Federal regulations regarding
repeated coursework were amended to allow repeated
coursework to count toward enrollment status in term-based
programs in that a student: (1) May repeat previously passed
course once;
and/or (2) May repeat failed course until it is passed.
Federal
Pell Grant – A Federal Pell Grant is an
award to help eligible undergraduates pay for their
education after high school.
Federal Pell Grants provide the “foundation” of
financial aid packages. Effective with the 2012-2013 award
year, Federal law has reduced the duration of a student’s
eligibility to receive a Federal Pell Grant from 18
semesters (or its equivalent) to 12 semesters (or its
equivalent). This change applies to ALL students who receive
a Federal Pell Grant regardless of when they received their
first Federal Pell Grant. In most cases the Federal Pell
Grant does not have to be paid back; however, they are
subject to Return of Title IV Funds regulations. All Federal Pell Grant awards for Fall
& Spring semesters are based on projected full-time (12 or
more credit hours) enrollment or actual enrollment at the
time aid is packaged; however, full-time enrollment is
generally not a requirement to receive Federal Pell Grant
funds. Federal
Pell Grants
will be adjusted for students who
are not enrolled and attending (or participating, if online)
full-time as of the semester census date.
Adjustments will also be made, even after the term
has ended, if it is determined that a student received
Federal Pell Grant funds for a course in which he/she
enrolled but never attended. [Pell Grant payments for clock
hour programs (EMT Paramedic Program at UAM College of
Technology at McGehee) are based on the number of clock
hours in which a student is enrolled and progression in the
courses throughout the calendar year rather than a specific
number of credit hours.]
NOTE: Upon
completion of declared major curriculum requirements for a
first bachelor’s degree, a student is no longer eligible to
receive a Pell Grant. Example: A student working on a double
major has completed all requirements for the first
bachelor’s degree, but does not apply for graduation until
he or she has completed the requirements for both majors, is
no longer eligible for a Pell Grant.
Compliance with
Special Provision for Books and Supplies: UAM allows
all students (not just Federal Pell Grant recipients) who
have an anticipated credit balance to charge required books
and supplies at the on-campus bookstore. This practice meets
the special provision for books and supplies as shown below. In order to academically succeed in
a program a student must be able to purchase books and
supplies at the beginning of the academic period. Therefore,
by the seventh day of a payment period (semester), a school
must provide a way for a student who is eligible for a
Federal Pell Grant to obtain or purchase the books and
supplies required for the payment period if:
-
ten days before the beginning of
the payment period, the school could have disbursed FSA
funds to the student;
and
-
disbursement of those funds
would have created an FSA credit balance. However, to be eligible to receive
the disbursement for books and supplies, a student must meet
all the student eligibility requirements before the start of
the student’s payment period. A student who has not
completed the verification process, has an unresolved
eligibility issue on the FAFSA (SAR), or has unresolved
conflicting information is not covered by the special
provisions for books and supplies if those issues have not
been resolved at least 10 days before the start of the
student’s payment period.
Federal
Supplemental Education Opportunity Grant – A
Federal SEOG is an award to help eligible undergraduates
with exceptional financial need.
Funding is limited.
Priority is given to Federal Pell Grant recipients.
Beginning with the 2012-2013 award year, SEOG funds have
been set aside for main use during summer semester.
In most cases a Federal SEOG does not have to be
paid back; however, they are subject to Return of Title IV
Funds regulations.
Federal
College Work Study – The Federal College
Work Study program provides eligible undergraduates or
graduate students an opportunity to work at an on-campus or
community service job.
Funding is limited.
FCWS helps you earn money for college expenses. Students who are able to secure a
campus job through the Federal College Work Study program
may work a maximum of twenty hours per week and are paid
minimum wage.
Students are paid once a month for hours worked. Students
must complete several payroll documents in the Financial Aid
Office before
they can begin working on campus.
Prior to being certified to work, students must bring
a valid drivers license
and a Social
Security card or birth certificate to the UAM Financial Aid
Office. A work study award does NOT guarantee the student
employment on campus.
Each student must locate a job on campus.
Unfortunately UAM does not have a job for every
student who qualifies for work study funds.
Accepting a work study award does not guarantee that
the student will earn the full amount listed on the award
letter.
Federal
Direct Loans – Stafford Subsidized,
Unsubsidized and PLUS: The U.S. Department of Education is
the lender. Maximum Federal Direct Stafford Loan eligibility
is automatically packaged and offered when the award
notification letter is sent to the student. Parents
interested in borrowing a PLUS loan to help with their
student’s education expenses must go to
www.studentloans.gov
and sign in using their FAFSA PIN to complete the Parent
PLUS request process. A revised award notification letter
including a requested Parent PLUS loan, if eligible, will be
sent to the student after the school receives and evaluates
an electronic credit approval report from the U.S.
Department of Education (USDE). If a requested Parent PLUS
loan is denied by the USDE, the student may request an
Additional Unsubsidized Direct Stafford Loan due to the PLUS
denial by completing a Loan Request Form (LRF). The LRF is
available at
http://www.uamont.edu/FinancialAid/forms.htm.
SUBSIDIZED Loans are need-based.
The government pays the interest while student is in
school at least half-time.
UNSUBSIDIZED
Loans are not need-based.
The student pays all interest for the life of the
loan. PLUS Loans are
credit-based loans for parents of dependent undergraduate
students (and in very limited cases, graduate students). The
loan is unsubsidized; the borrower is responsible for paying
all interest.
***ANTICIPATED
CHANGE IN LOAN ORIGINATION FEES DUE TO
SEQUESTRATION*** For loans first disbursed on or after March 1, 2013, Stafford Loan (subsidized and unsubsidized) origination fees are expected to rise from 1.00 to 1.05 percent and PLUS origination fees are expected to rise from 4.00 to 4.20 percent as a result of sequestration. This means that the upfront amount (origination fee) you pay for your loan will cause the disbursed amount to be less than the disbursement amount in WeevilNet and on disclosure statements you receive from the U.S. Department of Education (ED). ED is working on the necessary processes for implementing the higher fees and will send notices to students and parents whose first disbursement is after the date sequestration takes effect to inform them of the increase. It is unclear how this will be implemented in ED’s systems or the school’s financial aid management system. Currently, ED advises that schools “should continue their normal procedures for awarding and disbursing Direct Loans and for submitting Direct Loans to the Department’s Common Origination and Disbursement (COD) system.”
Sequestration is an across-the-board cutting mechanism that will impact most federal government programs. It is designed specifically as a deficit reduction measure and is scheduled to occur over 10 years, in order to achieve roughly $1 trillion in cuts during that time. Sequestration is the result of the Super Committee’s failure to reach agreement on a deficit reduction deal in 2011. Sequestration went into effect Friday, March 1 and is schedule to impose additional cuts over the next 10 years.
Annual limits for subsidized and
unsubsidized loans vary by grade level, and there are
aggregate limits on the total amount that may be borrowed at
one time. All offered loan amounts are limited by the
student’s cost of attendance budget less other aid received.
The cost of attendance is determined by the school based on
multiple factors such as room and board (including whether
the student lives on campus, off campus or with
parents/other relatives); tuition and fees; books and
supplies; transportation; personal and miscellaneous
expenses; and loan fees. If annual limits are borrowed
during the fall and spring terms, additional loan funds will
not be available for summer school.
Please plan accordingly.
***LOANS MUST BE REPAID--BORROW
ONLY WHAT YOU NEED TO PAY SCHOOL EXPENSES*** You must be enrolled at least halftime
and attending classes (undergraduate: 6 hours/graduate: 3
hours) that are required for your eligible certificate or
degree program in order to qualify for a Direct Loan. If we
receive notification from your course instructor that you
never attended class, your eligibility for a loan may be
jeopardized. This could also result in your full loan amount
being due for repayment immediately (even if the term has
ended). Loans are subject to Return of Title IV Funds
regulations.
***LOANS MUST BE REPAID—BE SURE TO INCLUDE YOUR LOAN PAYMENT
IN YOUR BUDGET*** The borrower must complete a Master
Promissory Note (MPN) and Entrance Counseling (not required
for Parent PLUS loans) before any loan funds can be applied
to your account.
Go to
www.studentloans.gov
to complete the MPN and Entrance Counseling.
You will need your U.S. Department of Education PIN
Number to log into the website.
This is the PIN Number used to sign your FAFSA
electronically. If you do not remember your PIN, you can
request a new PIN at the
www.PIN.ed.gov
website. The UAM
Financial Aid Office does not have access to PIN Numbers and
we cannot assist you in obtaining your PIN Number. (For
Direct Stafford subsidized and unsubsidized loans and
Graduate PLUS loans, the borrower is the student. For Direct
PLUS loans for parents, the borrower is the parent.)
***LOANS MUST BE
REPAID—REGULARLY GO TO
www.NSLDS.ed.gov
TO TRACK YOUR BORROWING*** All loans are delivered in two disbursements, with one typically arriving at the beginning of the loan period and the second arriving after one half of the loan period has passed. Loan Proceeds for first-time
borrowers are not disbursed until 30 days after classes
begin.
You
must notify the UAM
Registrar’s Office and your loan servicer of any changes
in your name, address, telephone number or enrollment
status.
When you graduate, withdraw, or drop below halftime enrollment at UAM,
you must complete an exit interview. Go to
www.studentloans.gov
and select Exit Counseling.
***LOANS MUST BE REPAID—PLEASE BORROW RESPONSIBLY***
You must repay the loan even if you do not graduate or if you become
dissatisfied with the education you receive.
If you receive additional financial aid, you must
contact the UAM Financial Aid Office. Additional aid can
result in your Direct Loan being reduced or reallocated.
Return of Title IV Funds – Students who receive
Title IV aid and do not complete at least 60% of the
semester for which they are enrolled may be required to
return a portion of the Federal funds received.
Title IV aid includes, but is not limited to, Federal
Pell Grants, Federal Supplemental Educational Opportunity
Grants (SEOG), and Federal Direct Loans (Stafford and PLUS).
In most cases, the withdrawal date for students who
officially withdraw will be the actual date of withdrawal as
determined by the Registrar’s Office.
Students who cease attending without officially
withdrawing are considered “unofficial withdrawals.”
The midpoint of the semester (or in some cases, the
last date of attendance) will be used in determining the
amount of aid to be returned for unofficial withdrawals. If
you should have to withdraw at any point, contact the
Financial Aid Office.
ARKANSAS STATE AID – Completion of the Arkansas
YOUniversal Scholarship Application is required. Go to
www.ADHE.edu and click on
the YOUniversal button to apply. The application deadline is
June 1 for most programs; however, it is February 1 for the
Governor’s Scholarships. Eligibility for Arkansas state
financial aid programs is disclosed by ADHE via e-mail to
the student. The awards will only appear on UAM financial
aid notification letters generated after the school has been
notified; however, all financial aid awards can be viewed on
WeevilNet in the Student Services Center. It is the
student’s responsibility to keep your ADHE profile updated
with the school you plan to attend.
INSTITUTIONAL AID – Go to
http://www.uamont.edu/Admissions/scholarships/scholarships.htm
for information about UAM institutional scholarships.
PLEASE NOTE: Receipt of additional financial
assistance such as scholarships, grants-in-aid, or
vocational rehabilitation grants may change eligibility for
awards that have already been processed.
Direct Loans (Stafford and PLUS), Federal
Supplemental Educational Opportunity Grants (SEOG) and
Arkansas Department of Higher Education (ADHE; i.e.,
Academic Challenge, HEOG, etc.) may be decreased or canceled
if the student receives additional assistance.
IT IS THE STUDENT’S RESPONSIBILITY TO KEEP THE
FINANCIAL AID OFFICE INFORMED OF ALL ASSISITANCE YOU WILL BE
RECEIVING. |
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