College Scholarship Service (CSS)
A service that provides the Financial Aid PROFILE Service (see below), which
is required by some colleges. Cooperative Education Plan (Co-op)
A program offered by some colleges that lets a student combine work and study.
Co-op programs are either "alternating" (work and study in alternating school
terms) or "parallel" (work and study scheduled within the same school term). Expected Family Contribution (EFC)
This is the amount the student and parents are expected to pay toward educational
expenses for the coming year. The EFC is calculated from a formula established
by Congress, based on the information provided on the Free Application for
Federal Student Aid (FAFSA). Federal Hope Scholarships
This is actually a tax credit, rather than a scholarship. Families can claim
a tax credit up to $1,500 per tax year for each eligible dependent for up
to two years. The actual amount of the credit depends on the family's
income and other factors. Federal Work-Study
This program provides much of the money necessary for colleges to offer on-
and off-campus jobs to students with demonstrated need. Financial Aid Package
The Financial Aid Package tells you what grants, scholarships, loans and/or
work-study you've been awarded, and the amount of each. Financial Aid PROFILE Service
Offered by the CSS, PROFILE is used by some colleges to award their private
funds. You register for PROFILE with the CSS, which sends you an application
packet. You fill out the application and return it to CSS, which forwards
your information to the colleges of your choice. Free Application for Federal Student Aid (FAFSA)
The FAFSA is the financial-aid application used by all colleges. Available
at most high schools and colleges, the FAFSA, once completed, is returned
to the U.S. Department of Education for evaluation--in your senior year,
as soon after January 1 as possible. This can be done by mail, by e-mail
through your school or by using FAFSA Express software. (FAFSA Express is
available free by calling 1-800-801-0576.) You can also apply online at
www.fafsa.ed.gov. See your guidance counselor for more information on filing
the FAFSA. Parental Contribution
The portion of the Expected Family Contribution (EFC) your parents are expected
to contribute toward college expenses. It's based on a variety of factors
including income, family size and the number of family members in college. Parent Loan for Undergraduate Students (PLUS)
A federal loan for parents of college students, provided by the Federal Family
Education Loan Program. To be eligible for a PLUS loan, your parents will
usually be required to pass a credit check. Pell Grants
Awards made by the federal government that don't need to be paid back.
The FAFSA serves as your Pell Grant application. Your eligibility depends
on a formula set by Congress. Perkins Loans
Federal loans awarded to you by colleges as part of their total aid package.
You have to pay these back, but you don't have to start the payments
until nine months after leaving college. Colleges award these loans based
on the information you provide on the FAFSA. Special Circumstances
A college's financial-aid administrator may consider special circumstances
that could affect your EFC. These circumstances may include an unemployed
parent, unusual medical or dental expenses, or tuition expenses for younger
children in private school. Report any such conditions to the financial aid
officer at the college(s) from which you're requesting aid. Stafford Loans
These are federal loans available to you through local lenders. There are
two types of Stafford Loans. For the subsidized Stafford, you must demonstrate
need, and you pay nothing on the loan while you're in school. Unsubsidized
Stafford Loans, meanwhile, are available to non-need students, but require
you to pay interest while still in school. Supplemental Educational Opportunity Grants (SEOG)
SEOGs, part of the federal aid program, do not require repayment. They are
made to students with exceptional financial need, as determined by the college. Student Aid Report (SAR)
About four weeks after mailing the FAFSA (or about one week if you file
electronically), you'll receive an SAR. This report includes: the
information you reported on the FAFSA, an opportunity to make corrections,
and your Expected Family Contribution. The SAR guides financial aid officers
in determining Federal Pell Grants. Student Contribution
The portion of the Expected Family Contribution (EFC) that the student is
expected to contribute toward college expenses. This calculation is based
primarily on student income and asset information. Supplemental Financial Aid Applications
Many colleges, particularly private colleges, require students to file an
additional financial aid application along with the FAFSA. Some colleges
provide their own form, while others use the Financial Aid PROFILE Service.
It's best to check with each college to see which supplemental application,
if any, is required. Verification
After sending in the FAFSA, students and parents may be required to provide
copies of their income tax returns to the college. One reason the federal
government requires this verification is that people often fill out the FAFSA
before completing their tax returns and may base their figures on estimated
information. Note: For more information on federal financial aid opportunities, get a free copy of The Student Guide by calling 1-800-4-FED-AID. Copyright (c) 1999 by the author or Christianity Today, Inc./Campus Life magazine. For reprint information on Campus Life, email them at CLMag@campuslife.net. | 
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