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Student Financial Aid (SFA) is assistance for students
enrolled at least half time in participating colleges. It helps to cover
college expenses such as tuition, fees, housing, supplies and transportation.
There are three types of aid: gift
aid, loans,
and work study.
-
Gift Aid (grants & scholarships):
financial aid that does not have to be repaid. Some grants you may
have heard of include the Pell Grant, the Cal Grant and/or the
Federal Supplemental Educational Opportunity Grants.
Some are GPA based, others are need based.
-
Loans: borrowed money that
must be repaid with interest. Loans can be made to students and/or parents.
Some loan programs you may have heard of include the Federal Stafford
Loan and/or Perkins Loan Programs.
-
Work-Study: money for education
expenses paid by the college for either on-campus or community based
work.
Remember, there are financial aid opportunities for everyone;
from those with financial need, to those with special talents, good
grades, athletic ability, certain heritages, dependents of veterans, foster
youth, and students with disabilities.
A. Students should
first look into grants, scholarships, employment opportunities, and
other student aid that does not need to be paid back. Students can also
borrow to help pay for college, but these loans must be repaid, with
interest.
B.
There are
several different types of financial aid:
- Federal Government
- State Government
- Institutions/Endowments
- Private individuals, companies, or foundations
C.
How Financial
Aid Works:
| Cost of Attendance |
MINUS
(-) |
Expected Family Contributions |
EQUALS
(=) |
Financial Need |
|
Tuition & Fees, Books & Supplies, Room & Board, Transportation,
Personal Expenses (1) |
|
Based on the financial resources of a student and his or her
family (2) |
|
Students can receive up to this amount of need-based financial
aid with grants and loans (3) |
(1) Each college calculates this cost. This cost is stated
in the financial aid package of the Award letter.
(2) Federal government determines this amount using information
from FAFSA. It is the same amount regardless of the cost of a
college.
(3) Based on the FAFSA and other documents, each college
develops a financial aid package for each student. |
D.
Types of
Aid:
Gift Aid does not need to be repaid:
-
Grants: Pell Grant and Cal Grants, and
other institutional grants are awarded on the basis of need
and often GPA minimums
-
Scholarships are awarded on academic merit and sometimes need
Self-Help Aid:
-
Loans: Stafford, Perkins and Plus are special loans available to students and their parents
-
Work: Federal Work-Study or part-time employment
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