Internet Financial Aid Resources

Welcome toStudent Financial Aid 101University of KentuckyCollege of MedicineSlide 2Agenda•Eligibility for Federal Aid •Cost of Attendance •Debt Management •Loan & Scholarship Resources•Application Process •Summary Slide 3Financial Aid Providers•Federal Government –Department of Education–Dept. of Health & Human Services•State Programs•Institutional Aid (Medical School)•Private Organizations or Individuals Slide 4Financial Aid Eligibility Criteria•Academic Excellence•Financial Need•Selective CriteriaSlide 5Calculation of Eligibility for Financial Aid •Cost of Attendance (COA) –Minus Student’s Expected Family Contribution•Independent at Graduate/Professional Level•Income/Assets Filed on FAFSA –Minus all resources, including financial aid awarded•= Remaining Financial Need (cannot exceed COA) Slide 6Example of Eligibility for Subsidized Stafford/Direct Loan)•$42,20006-07 Med I COA (11 months)–10,000Expected Family Contribution (EFC)–15,000Academic Scholarship •$17,200Eligible for full $8,500 (max. annual amount) Subsidized Stafford/Direct Loan Slide 7Expenses included in the COST of Attendance •Direct Costs(School)–Tuition & Books–Fees & Equipment–Computer –Supplies–USMLE Exam•Indirect Costs (Living Expenses)–Housing & Food–Clothes & Laundry–Transportation–Personal & Misc. –Health Insurance Slide 8Current 2006-07 COA •Basic budget (COA) is for the student only•M1 Resident (11 month curriculum)–$42,200 ($21,468 –Tuition & Fees)•M1 Non-Resident (11 month curriculum)–$62,200 ($41,480 –Tuition & Fees)Slide 9Adjustments to Income or COA •Loss of Income (Student or Parent)–FAFSA Based on prior year income •Unanticipated Expenses–Medical/Dental–Child Care (only if spouse is employed) •Increase in Number of Dependents–Birth of a child Slide 10KY Residency Application(for tuition purposes) •For information and questions, contact: –UK Residency Office –(859) 257-3256–www.uky.edu/Registrar/residenc.htm–Residency Application Deadlines•2007 Fall Semester –September 20, 2007•2008 Spring Semester –February 9, 2008 Slide 11Factors that influence your Total Student Loan Debt •Cost of Attendance for 4 years•Access to Federal Aid Programs •Institutional Loan/Sch. Programs •Need for non-federal aid (private student loan(s) •Length of academic year (determines $) •Interest in Service/Loan Repayment ProgramsSlide 12Management of Student Loan Debt –Can I afford a medical education? •Yes, with attention to the following:–Good Budgeting Skills –Maximum Use of Federal Loan Programs –Repayment Plan Options (10-Yr & Extended) –Deferent Options•Economic Hardship•Forbearance (Residency Training) –Loan Consolidation (limited to federal loans)–Debt Management Counseling•Entrance & Exit SFA Interviews•SFA Seminars (budgeting, credit, identity theft, etc.)•Loan Consolidation •Online Access to Student Account (Lender) Slide 13Debt Management Internet Resources•Financial Education & Wellness (FEW)–www.aamc.org/few(a five-stage curriculum that promotes self-awareness, knowledge and planning)•Monetary Decisions for Medical Doctors (MD)2 Program–www.aamc.org/md2(financial aid information that students should know broken down into 3 phases)•Phase IPre-medical school years•Phase IIMedical school years•Phase IIIResidency & Early Practice Years Slide 14Class of 2006Average Student Loan Debt •AAMC Medical Student Education: Class of 2006 (Cost, Debt, and Res. Stipend Facts) –UKCOM$107,110 (N=78 /87% of Class)–National Median for Public Schools -$120,000 •National Median for Private Schools–$160,000 Slide 15Credit Rating and Student Loans•Graduate Plus Student Loan•Private Student Loan Programs–Alternative Loans–Senior Residency/Relocation Loans•Credit approval requirement for admission to medical school–Some schools require students to document credit approval for admission to medical school–NOT applicable for U. of Kentucky•Federal Aid Cannot Fund Consumer Debt (Credit Cards, Car Payments, etc.) Slide 16Review Your Credit Report Annually •Free Annual Credit Report (Result of implementation of FACT Act of 2003)–www.annualcreditreport.com(secure Web site)–www.ftc.gov(Federal Trade Commission)–Phone 877/322-8228–By written request mailed to:•Annual Credit Report Request Service, P.O. Box 105281, Atlanta, GA 30348-5281Slide 17There is life after debt!!Slide 18Financial Aid Resources •Federal–Ford Direct/Stafford Student Loan–Graduate Plus Student Loan–Perkins Student Loan–Primary Care Loan (PCL) –Service –Military Scholarship Programs –Service–National Health Service Corps (NHSC) –Service–Indian Health Service Corps (IHS) –Service –Scholarships for Disadvantaged Students (SDS) •State–www.aamc.org(State Listing) •Private–Banks, Foundations, Organizations•Medical School Loan/Scholarship Programs–Alumni, Individual Donors, etc. –Special Circumstances Slide 19College of Medicine Scholarship Award Process •Academic/Merit Scholarship–Based on Admissions Application Information (no additional application required)–Most scholarships are renewable contingent on satisfactory academic progress•Need-Based Scholarships–Scholarship Application –Distributed by email in December and will continue to be sent to new students as they are accepted for admission.•Must apply for 07-08 SFA (FAFSA) Slide 20College of Medicine Scholarship Award Process Cont’d.•SFA Committee meets monthly–Oversees institutional scholarship programs for all students (includes upper-class awards) –Students are notified immediately of awards (acceptance reply is required)•Acceptance of a scholarship does not lock in your enrollment in the COM•Scholarships are awarded on an ongoing basis•Re-awarded automatically when a scholarship recipient withdraws from the class Slide 21Programs Requiring Student & Parent Financial Info. on the FAFSA?•Primary Care Loan Program (PCL)*•Scholarships for Disadvantaged Students (SDS)*•Private/Institutional Loans/Scholarships–Specified Donor Criteria•*Title VII Funds Available to Medical Schools from the Department of Health & Human Services (DHHS)Slide 22•Free Application for Federal Student Aid (FAFSA) -Complete the paper application or online (preferred) –January 1Available –UK COM Code is E00588 (SAR) –April 1 Priority Filing Date •Request for a Direct /Stafford Loan (s)–June 1Priority filing date if funds are needed by the student for payment of tuition & fees•Verification –Error/reject codes on SAR (Student Aid Report) reflect selection for review –Documentation of information submitted on FAFSA (must be on file prior to disbursement of federal funds)Application Process Slide 23Financial Aid Award Package•Any combination of grants and/or loans based on program regulations (cannot exceed COA)•Annual loan limit for medical student –Direct/Stafford -$38,500 (9-mo. curriculum)–Direct/Stafford -$42,944 (11-mo. curriculum)•Aggregate loan limit by program–Direct/Stafford -$189,125 (includes undergraduate)Slide 24Financial Aid Transcript (FAT)•Required ONLY if you have previously attended another Health Professions School to verify Title VII (Federal) financial aid received–Currently there is no mechanism to collect this information through the National Student Loan Database (NSLDS)•Online access of your Federal Direct/Stafford and/or Perkins Loan History from NSLDS•www.studentaid.gov(reported by schools & lenders) Slide 25How Will I Decide What Program or Lender to Use for my Loan(s)?•Federal Direct/Stafford Student Loan Programs–Can use either program at UK –SFA can determine eligibility once Student Aid Report is received by school (FAFSA) –Requires full disclosure of all financial resources •2007-08 SFA Application Materials –February distribution via email–Updated cost and processing information–Links to school’s preferred lenders (varies by school)–Common forms on SFA Website (PDF) •COM Loan Application •Verification Form •SFA Checklist •Primary Care Loan Request Slide 26Tax Credits•Hope Scholarship Credit–Max. annual amount = $1,500 (for 1st & 2nd yrs of undergraduate study only)•Lifetime Learning Credit –Max. annual amount = $2,000 (calculated per family, not per child).–Eligibility includes calculation of only out-of-pocket expenses –student earnings, savings, loan, & gift/inheritance counted•IRS 1-800-829-1040 or Dept. of Education–http://www.ed.gov/index.jspSlide 27SUMMARY•The College of Medicine’s innovative curriculum will provide you with an excellent medical education for a competitive financial investment. •Students have access to federal, institutional and private financial resources during enrollment (SFA is housed in the Office of Medical Education in the Medical Center for convenience.–SFA Communication through Student List-Serv–SFA Bulletin Board on SFA web page–Potential for scholarship opportunities•The financial aid staff are active advocates for students on financial aid issues–AAMC & SFA Organization Memberships•State, National, and Regional Organizations•Lobbying efforts for SFA legislationSlide 28SFA Resources•Financial Aid Web Page –www.mc.uky.edu/meded/financialaid/index.asp•Links to lenders •Information on SFA topics •Links to free scholarship searches •UKCOM Scholarship Programs–Affording Higher Education –www.kheaa.comSlide 29Congratulations and I hope to see you in the fall semester 2007!!Linda A. GilbertFinancial Aid CoordinatorU.K. College of Medicineemail: lgilber@email.uky.edujulie.mcdaniel@uky.edu(859) 323-5261(859) 323-2461 Fax (859) 323-2076