Loan Forgiveness by Levone


									Financial Aid Opportunities in
       North Carolina

   For those working in or thinking
   about working in early care and
          education settings

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Overview of Financial Aid Strategies
T.E.A.C.H. Early Childhood®
Pell Grant
Loan Forgiveness
Tax Credits
Other Helpful Websites
Overview of Strategies
   Most child care teachers and family child care
    providers need more help than one form of funding can
Numerous Strategies Available
   Immediate, Direct Help for Current Expenses
        T.E.A.C.H., Pell, Other Scholarships, Loans
   Delayed Direct Help based on Merit and Past
    Expenditures Secured with Loans
        Loan Forgiveness
   Delayed, Indirect Help for Recent Expenses
        Tax Credits
T.E.A.C.H. Early Childhood®
Comprehensive statewide scholarship initiative
   Work 20-30 hours per week in a licensed child care or
    Head Start setting or approved More at Four site
   Earn less than $15.00 per hour
   Help with tuition, books and travel
   Help with paid release time for some scholarships
   Compensation incentive upon completion of expected
    credit hours
T.E.A.C.H. Early Childhood®
Scholarships available
   NC Early Childhood, Family Child Care or School-age Credential
   NC Early Childhood Administration Credential
   CDA Assessment
   Early Childhood Associate Degree
   Early Childhood Bachelor’s Degree
   B-K License or Preschool Add-on
   NC Model/Mentor Teacher
   T.E.A.C.H. Early Childhood Scholars
Contact Information
   T.E.A.C.H. Early Childhood®, CCSA, PO Box 901, Chapel Hill,
    NC 27514, phone: 919-967-3272
Pell Grant
Federal grant that does not need to be repaid
   Need-based as determined by application (FAFSA= Free
    Application for Federal Student Aid)
   Undergraduate students who have not earned a bachelor’s or
    professional degree
   $4,000 maximum award for 03-04
   Amount determined by Expected Family Contribution (EFC), cost
    of attendance (COA), full or part-time status, full or part academic
   One grant per academic year/one school per academic year
Pell Grant
Cost of Attendance (COA)
   Tuition and fees
   On-campus room and board (or a housing and food
    allowance for off-campus students)
   Allowances for books, supplies, transportation, loan
    fees, and, if applicable, dependent care, costs related to
    a disability, and miscellaneous expenses, including an
    allowance for the rental or purchase of a personal
    For students attending less than half time, COA
    includes only tuition and fees and an allowance for
    books, supplies, transportation, and dependent-care
Pell Grant
   Colleges required to disburse grants to eligible full
    and part-time students
   Required notification to students of the amount and
    mechanism of Pell Grant payment
   Grant payment made to student, to the student’s
    account or a combination of both
   Grant payment required at least once per term
Contact Information
Federal Supplemental
Educational Opportunity Grant
Federal grant for undergraduates with exceptional
financial need that does not need to be paid back
Funds limited
   $100 - $4,000 award
   Amount determined by date of application, need,
    funding level of school, and policies of financial aid
    office at school
   One grant per academic year/one school per academic
Federal Supplemental
Educational Opportunity Grant
 Grant payment made to student, to the
  student’s account or a combination of both
 Grant payment required at least once per term

Contact Information
Other Scholarships and Grants
Check with the Financial Aid Offices at various
higher education institutions
Check with local civic clubs and community
service organizations
Use the web to help find scholarship and grant
opportunities and resources in your local
Check with Department of Public Instruction for
scholarships and loans for teacher assistants
working in public schools
Loan Forgiveness
National Service
   AmeriCorps, TEACH for America, VISTA,
    Peace Corps, Military
Perkins Loan and Cancellation
Child Care Provider Loan Forgiveness
National Service
TEACH for America
Peace Corps
US Armed Services
Perkins Loan
Low-interest (5 percent) loan for both
undergraduate and graduate students with
financial need
College or university is lender
Amounts available
   $4,000 for each year of undergraduate study (the total
    amount as an undergraduate is $20,000)
   $6,000 for each year of graduate or professional study
    (the total amount as a graduate/professional student is
Perkins Loan Cancellation for
Teaching in an elementary or secondary school
that serves low-income students (Perkins/NDSL
loans made on or after July 1, 1987).
Teaching in an elementary or secondary school
system that has a shortage of teachers in a
designated subject (Perkins Loans made on or
after July 23, 1992).
Teaching students with disabilities in a public or
other nonprofit elementary or secondary school
(Perkins/NDSL loans made on or after July 1,
Perkins Loan Cancellation
Cancellation Amounts for Years of Service
  15% canceled per year for the first and second years of
  20% canceled for the third and fourth years
  30% canceled for the fifth year.
Application for Loan Cancellation Made Through
College/University that Holds Loan
Contact Information
Child Care Provider Loan
Forgiveness Demonstration Program
   Be a new borrower.
   Have received an associate or bachelor's degree in early
    childhood education.
    Have worked full-time for two consecutive years as a
    provider in an eligible child care facility that serves a low-
    income community.
Loans Forgiven
   Only loans made after Oct. 7, 1998
   Subsidized and unsubsidized Federal Stafford Loan,
    Direct Subsidized Loan, and Direct Unsubsidized Loan
    programs (Not Perkins)
   Only if given before qualifying service
Child Care Provider Loan
Forgiveness Demonstration Program
Amount of Forgiveness
   20 percent following the first two consecutive years of
   20 percent following three consecutive years of service
   30 percent following each of the fourth and fifth
    consecutive years of service
Qualifying Program
   Regulated child care center or home
   A child care program where 70% of families earn less
    than 85% of state median income
Child Care Provider Loan
Forgiveness Demonstration Program
Contact Information
   1-888-562-7002
   Child Care Provider Loan Forgiveness Program, P.O.Box
    4639, Utica, NY 13504-4639
Funding limited and available annually on a first
come, first served basis
Hope Scholarship (Tax Credit)
   Must be enrolled at least half-time in an eligible
    program leading to a degree or certificate at an eligible
    school during the calendar year
   Must not have completed the first two years of
    undergraduate study
   Must have income less than $41,000 to $51,000 for
    single taxpayer; $83,000 to $103,000 for married
   Not convicted of a federal or state felony drug offense
    before the end of the tax year in which student enrolled
Hope Scholarship (Tax Credit)
   Tax credit up to $1,500 for each eligible dependent for
    up to two tax years
   Amount of credit depends on family's income, the
    amount of qualified tuition and fees paid, and the
    amount of certain scholarships and allowances
    subtracted from tuition
   Not refundable (must owe taxes)
Hope Scholarship (Tax Credit)
Claiming the Credit
 Colleges send statement at end of year
 Only tuition and fees paid

 Tax return

Contact Information
Lifelong Learning (Tax) Credit
    Juniors, Seniors, Graduates and Working Individuals
     Upgrading Their Skills
    Income Less than $41,000 to $51,000 for Single Taxpayer;
     $83,000 to $103,000 for Married Taxpayer
    Tax Credit of 20% for First $10,000 in Tuition and Fees Up to
     $2,000 per Family
    Not Refundable (must owe taxes)
Claiming the Credit
    Colleges send statement at end of year
    Only tuition and fees paid
    Tax return
Lifelong Learning (Tax) Credit
Contact Information
General Guidelines
Understand all the basic help that is
Encourage and help potential beneficiaries
to apply for financial aid
Be a resource, not an expert
Know what is unique in your state
Helpful General Websites

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