Frequently Asked Questions about
Federal Financial Aid
Navigating through the financial aid process can be confusing. Stephens College Financial Aid Office has compiled a list of the most frequently asked questions about financial aid. If you have additional questions or concerns, please contact the Financial Aid Office at finaid@stephens.edu or at 573-876-7106.
How do I apply for financial aid?
- Obtain a Personal Identification Number (PIN) online. PINs can be used to sign your FAFSA electronically, making the application process simpler and faster.
- Complete the Free Application for Federal Student Aid (FAFSA). The form may be filed after January 1 of each year. There is no charge for submitting the FAFSA.
- List Stephens College on your FAFSA. Our school code is 002512.
- Print out and keep a copy of the FAFSA for your records.
What
is a FAFSA?
FREE
APPLICATION FOR FEDERAL STUDENT AID (FAFSA) is a needs analysis form
provided and specified by the federal Department of Education in order
to calculate a family's ability to contribute to the student's educational
costs. The FAFSA form can be found online at www.fafsa.ed.gov
I am in a post-bachelor's certificate program. Can I receive financial aid?
No, except for alternative loans which are non-federally-funded loans with loan terms that are based on the applicant's credit history. You may choose to apply for a second bachelor's degree. You would then be eligible to apply for federal financial aid.
What
happens after I submit my FAFSA?
You
will receive a Student Aid Report (SAR) from the federal government
that shows the results of the FAFSA. Check the SAR for accuracy
and make any necessary corrections. Included on the SAR is your
Expected Family Contribution (EFC), which is calculated from the information
you provided on the FAFSA. The EFC is used to calculate your federal
financial aid package.
If
your application is selected for verification, you will be
notified to complete the Verification Worksheet and submit required
documentation. Do not submit documentation unless it is requested.
Stephens
College Financial Aid Office will receive a copy of your Student Aid
Report. We will determine the amount of aid you are eligible to receive
and notify you by e-mail regarding your award. Your award letter will
be sent after you enroll in classes.
What is the Stephens College school code for Federal Financial Aid?
The Stephens College FAFSA code is 002512.
Which FAFSA form do I complete?
For purposes of financial aid, Summer semester starts a new academic year, which concludes with the following spring semester. For example, for Summer and Fall 2007 and Spring 2008 courses, students should complete the 2007-2008 FAFSA.
How much can I expect to get in financial aid?
The amount of financial aid for which you are eligible depends upon the Estimated Family Contribution (EFC) that the federal Department of Education determines, as well as the Cost of Attendance (COA) that Stephens College determines. There are maximum amounts for grants and loans based on enrollment level, and do not reflect the actual amount of your financial aid. They are the maximum a student could receive in an academic year.
| |
|
|
| Freshman |
|
|
| Sophomore |
|
|
| Junior |
|
|
| Senior |
|
|
| Graduate student |
|
|
What types of federal financial aid may be available?
Undergraduate (bachelor's degree)
- Federal Pell Grant
- Subsidized Stafford Loan
- Unsubsidized Stafford Loan
- Outside Scholarships (scholarships which you bring with you to Stephens)
- Alternative Loans
- Missouri State programs
Missouri Department of Higher Education (MDHE)
(800) 473-6757 or (573) 751-3940
April 1 priority date for Fall
Graduate (master's degree)
- Subsidized Stafford Loan
- Unsubsidized Stafford Loan
- Grad PLUS Loan
- Alternative Loans
What is a Pell Grant?
A Pell Grant is need-based aid that does not have to be repaid after graduation. It is available to undergraduate students with no prior bachelor's or professional degree. Students are notified of eligibility on the Student Aid Report (SAR). The maximum award for the academic year is currently $4,731. The amount of each Federal Pell Grant depends on your financial need, cost of education, and your enrollment status.
What is the difference between a Subsidized (sub) Stafford Loan and an Unsubsidized (unsub) Stafford Loan?
The federal Stafford Loan is a long-term, low-interest loan that is available to all students. For the 2008-2009 academic year, subsidized Stafford Loans will have a 6.0% fixed interest rate. Unsubsidized Stafford Loans have a 6.8% fixed interest rate. As of July 1, 2008, lending institutions can charge up to 2% for origination and default fees which are deducted from the loan by your lender before it is disbursed. Currently Stephens College's preferred lenders do not charge any fees.
The Subsidized Stafford Loan is awarded for the academic year and is based on your financial need and academic grade level. Financial need is determined by your cost of attendance minus your Estimated Family Contribution (EFC) and any other aid you will receive. The federal government subsidizes or pays the interest on the loan while you are enrolled at least half-time, in your six-month grace period or in an eligible period of deferment. Interest will be charged once you enter repayment status.
The Unsubsidized Stafford Loan is awarded based on your cost of attendance minus any other aid you will receive and your academic grade level. You are responsible for the interest on this loan from the time the loan is disbursed until is it paid in full. The federal government DOES NOT subsidize the interest on this loan. You may choose to defer the interest during enrollment and deferment periods, but it will be capitalized (added to the principal amount).
What is an alternative loan?
Alternative loans are non-federal loans offered by some lenders and state governments. The purpose of an alternative loan is to supplement a student's financial aid package. They are not federally endorsed or guaranteed, but they must be certified, or approved, through the Stephens College Financial Aid Office. An alternative loan cannot exceed your cost of attendance (budget) minus all other financial aid.
We strongly recommend that you use alternative loans as a measure of last resort and pursue all of your federal loan options (Stafford and PLUS) first. Alternative loans are based on creditworthiness, so the initial step in applying is a credit check with the lender. Since the loans are not federally endorsed, each lender's loan program is different. Each loan varies on interest rates, fees charged, the amount you may borrow (minimum and maximum) and repayment terms. For more information about alternative loans from our preferred lenders, please visit http://www.nationaled.net/port/stephens/.
Do I have to choose a preferred lender?
No, you do not have to choose one of our preferred lenders. You may choose any lender that you wish. The advantage of using a preferred lender is that the loan process is faster and less complicated.
Our preferred lenders are:
- Smartfunds (MOHELA)
- Commerce Bank (MOHELA)
- Wachovia
- Citi Bank
- Chase
- Sallies Mae Educational Trust
- US Bank (Great Lakes)
Are there situations in which I will not receive financial aid?
Yes, among them are:
- You are in default on any student loans you already have
- You have met or exceeded federally set loan limits (a rare occurrence especially at the graduate level)
- You are selected for verification and have not provided appropriate documents to the Financial Aid Office
- Other reasons as explained on your Student Aid Report (SAR)
Also, you must maintain satisfactory academic progress as defined by Stephens College in order to maintain eligibility.
What is verification?
Verification is a process by which the federal government has randomly selected your FASFA for further scrutiny. You will be requested to submit tax returns and a verification worksheet. Your financial aid cannot be completed until the Stephens College Financial Aid Office has received this information.
When will I be notified of my financial aid award?
Before you can receive a financial aid award, the Financial Aid Office must have received a copy of your FAFSA and you must have been accepted into a Graduate & Continuing Studies program. After that, we can estimate the amount of your award within approximately two weeks. We will package your actual award within approximately two weeks after you have enrolled in classes. The sooner you enroll in classes, the sooner you can receive your award letter.
How will be I notified of my financial aid award?
The Financial Aid Office will send an e-mail to the address shown on your FAFSA which will direct you to a link to access your award letter. You must accept, decline, or reduce each award you are offered. You must then submit the award letter electronically to the Stephens College Financial Aid Office.
Please read the award letter carefully. If you are a first time borrower at Stephens College, you must complete a Master Promissory Note (MPN) and Loan Entrance Counseling, both of which are required by the federal government. This is the time when choosing a preferred lender will speed up the process.
How will I receive my money?
Your financial aid will be credited to your Stephens College bill after you enroll in classes. The exact date will vary from semester to semester based on loan disbursement dates. If there is an outstanding balance after financial aid is credited to your account, you will receive a bill for that amount. If there is a credit balance, you will receive a refund check. The first loan disbursements usually do not occur until several weeks after the start of classes.
Can I receive all the money at once?
If you are receiving grant money, this money will be credited to your bill in a lump sum early in the semester. If you are receiving a loan, the amount will be disbursed in two installments, per federal mandate. Loan disbursements will occur near the beginning and near the middle of each semester.
What is considered full-time status for financial aid purposes?
| Full-time status | Part-time status | |
| Undergraduate students | 12 credit hours per semester | 6 credit hours per semester |
| Graduate students | 6 credit hours per semester | 3 credit hours per semester |
Can
I use my financial aid funds to purchase books?
Yes.
Contact the Graduate & Continuing Studies office at 1-800-388-7579
or 876-7290 for more information.
