Federal Financial Aid

Applying for financial help is a long process whereinamount. Your Expected Family Contribution is
you have to fill out several forms giving your detailedsubtracted from the Cost of Attendance, and the
personal information. You might also have to provideremainder is your financial need.
information on your parents in order to process theThe schools listed on your FAFSA will use the SAR
federal financial aid request. Obviously, the soonerto create a federal financial help package which will
you apply, the better your chances. File your FAFSAinclude all the types of financial aid already available to
as earliest as possible after January 1.you - grants, scholarships, loans and work study
FAFSAbenefits.
The first step in the application process for financialAward Letter
aid is to submit a free application for Federal StudentThe Award Letter is the detail listing of the financial
Aid (FAFSA). The easiest way to file for FAFSA is tohelp package that each school sends you. Every
do it online: You may also get a hard copy from yourschool will vary with its commitments and may not
high school guidance counselor or your school'soffer enough to meet your needs. When you've
financial aid office, and send it through mail.decided on the school and financial aid package that
The information you provide on the FAFSA is used inbest suits you sign and return the Award Letter by
calculating the types and amounts of financial aid forthe deadline. Make sure to specify any financial aid
which you qualify. The questions FAFSA asks includeyou do not wish to accept.
your age and marital status, educational residencyApplying for a Federal Education Loan: The MPN
and depended status, income and finances and finallyFederal education loan applications typically include a
the type of financial aid you are interested in. If youMaster Promissory Note, or MPN. The signing of the
are dependent on your parents or guardian,MPN makes you officially liable to repay the loan
information on them will have to be provided.money according to your lender's terms. Once you
The government calculates your Expected Familyhave submitted an MPN, you can use the same to
Contribution (EFC) based on your need analysis. Yourborrow future loans for up to 10 years, depending on
EFC is the amount of money you and your parentsthe type of loan and your school's policies. Even if
will be expected to pay toward the total cost ofyou transfer to another school, your original MPN
your education.may remain valid.
Student Aid ReportCertification, Notification and Disbursement
After the completion of your need analysis, you willIt is imperative for your school to certify your loan
be sent a Student Aid Report (SAR) which projectsby verifying your eligibility and enrollment to your
your Expected Family Contribution and the types oflender.
financial aid for which you are eligible. This report willOnce your lender and guarantor approve your loan,
also be sent to your prospective schools, which willyou will be sent a Notice of Loan Guarantee and
be specified on your FAFSA.Disclosure Statement. This document is your official
Cost of Attendance (COA)statement of the approval, amount and terms for
The total cost of your tuition, books, on-campusyour loan. The notice will also include the dates of
lodging and all other educational expenses at a schooldisbursement. To pay school costs with your loan
is your Cost of Attendance (COA). Although everymoney, you may be required to endorse the checks
school will have a different Cost of Attendance, youror Electronic Funds Transfers (EFT) deposited in your
Expected Family Contribution will always be the sameschool account.