<p>The reason some students might not be eligible for the increased $2000 is because there is a possibility that some students have enough money in grants, scholarships, and loans that they have COA & EFC met. While the unsubsidized Stafford can replace EFC, it cannot be awarded in excess of COA + EFC. I WISH I was one of the lucky ones to which this applied ... but I do know that it happens. In such a case, the extra $2000 might not be available to that student. Schools have to cover their rears by making sure they don't lead such a student to believing he could get a loan when he cannot. So the disclaimer must be used!</p>
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<blockquote> <p>The reason some students might not be eligible for the increased $2000 is because there is a possibility that some students have enough money in grants, scholarships, and loans that they have COA & EFC met.>></p> </blockquote>
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<p>Kelsmom...my daughter's finaid award leaves us with a VERY sizable gap. Believe me, her award doesn't come close to meeting her financial need.</p>
<p>Thumper, from everything you have written, I don't think there is any reason your D wouldn't be able to borrow the extra $2000. It is probably because the f/a office is behind on software updates. Back when I worked in f/a, it was all done by hand ... but now that it's by computer, the response to change is computer-dependent. So, it's not that the student isn't going to be able to borrow it. It's more that only those who are in the loop (like us!) are going to know that.</p>
<p>That is part of the problem, kelsmom. Our school has become more automated but we still manually review every award to try to make sure that that computer did not make a mistake. Therefore, there is no excuse for a school omitting the loan on the award letter when the student is eligible for the funding. There shouldn't be a disclaimer....if the award packet has been issued, and the student hasn't reached COA or aggregate limits, then the extra money should be on the award letter. Quite frankly, if the funding is omitted from the award letter for an eligible student, the school is in violation of federal regulations...regulations clearly state that we must offer ALL federal funds that the student is eligible to receive...we cannot keep any funds "hidden". Schools need to be cautious, that is why I have made the decision not to issue ANY award packets until I can assure that my team is able to issue them correctly.</p>
<p>So Nikki...who is eligible. Our EFC is $22,000. DD received $15,000 in aid including $3000 in work study. One would think she is eligible for the extra loan. We're paying out of pocket about $25,000 per year (it's an expensive school) including housing costs.</p>
<p>Based on that information, I would have to say your DD would be eligible...but to be absolutely sure, I would have to see total COA calculations and NSLDS information.</p>
<p>Hmm, though I posted here, but it isn't showing up. Thumper, I had posted that your D is eligible from that info. You are entitled to use the unsubsidized Stafford towards your EFC. As long as all aid does not exceed COA, you should have been offered that new limit. However, my S's stuff does not show the new limits either from any of his colleges. It looks like Kelsmom is right about the offices being behind in incorporating this new info.</p>
<p>so the unsubsidized stafford loan can be a part of EFC? is the subsidized also a part of EFC?</p>
<p>No, the subsidized Stafford is not allowed to be used to meet EFC. Nor is the Pell. The unsubsidized Stafford is allowed to meet EFC up to COA.</p>
<p>Actually, Pell is awarded independent of any other aid. The only restrictions on the amount have to do with cost of attendance & student status (full time/part time). If student has a ton of outside scholarship money & is eligible for a Pell ... he would still get the Pell even if COA- EFC is met by scholarships. In fact, student would get the Pell even if full COA is met ( or exceeded, for that matter) by scholarships alone.</p>
<p>But you are not allowed unsubsidized loans if you have Pell and other scholarships that add up to COA. In other words, a student who has the Pell and university scholarships that add up to COA is not permitted to take the unsubsidized Stafford, nor are the parent;s allowed to take PLUS loans since COA has been met. I guess what you are saying is that a student who gets scholarships, say from the outside, that meet or exceed COA still gets to keep the PELL. What about the subsidized Stafford and Perkins? Do they have to be dropped if other scholarships and Pell add up to COA?</p>
<p>RIght ... no subsidized Stafford or Perkins can be disbursed if outside scholarships and Pell add up to COA. If they were awarded before the school found out about the outside scholarships, the loans won't be disbursed ... and if they were disbursed before the f/a office found out about the scholarships, the 2nd disbursement would not be made. If EFC isn't covered by the scholarships & Pell, though, an unsubsidized Stafford can be borrowed (as long as it's not awarded in excess of the EFC that remains).</p>
<p>Here is a great link to that addresses some of the Pell issues raised above:</p>
<p>www.NASFAA.orgQ&A:</a> Piecemeal Program Participation And Packaging</p>
<p>Actually, the unsubsidized Stafford can be in the amount up to the COA if college scholarships and subsidized loans do not cover that big ol' number. </p>
<p>Didn't know that Pell was stackable. Is HEOGH stackable as well?</p>
<p>I'm not familiar with HEOGH. Is that like SEOG? If so, it IS dependent on the whole financial picture (unlike Pell). That is, it has to fit into the COA-EFC-aid cannot be less than 0 scenario in order to be awarded. Only Pell, to my knowledge, is independent of other aid (assuming the student IS Pell eligible). Schools are given a "pot" of SEOG to distribute, and they cannot award more than $2000 to an individual student. The school gets to decide who gets it & how much they get within the guidelines of the program. A local U limits the award to only Pell eligible students & no more than $500. Other schools will award to non Pell & will award more or less.</p>
<p>I refer to federal programs above. It is possible that some of the new programs, like ACH & TEACH, are independent of other aid ... I am not up to speed on those yet.</p>
<p>Kelsmom, you know more about these programs than anyone else I've come across. I meant SEOG. Thanks for your wealth of knowledge. So appreciate all you have shared here.</p>
<p>I'm still waiting to hear from our FA office, I'm sure they were inundated with calls/emails after the holiday weekend, since that's when most bills were received. I will call by Friday to follow-up my email about the extra 2000.00. I know we should get it but I still don't feel right until they officially say it.
I'm disapointed it's all un-subsidized this year, but I have been paying the interest for my son on his partial un-subsidized from last year and it's workng out okay. Sallie Mae does have a very easy internet site and sometimes I'll make 2 payments if I have a little extra to put on the priniciple every month.</p>
<p>Very confused here. Are are only Unsubsidized Stafford Loans offered to help meet EFC? Can a school offer you the max allowed even if you are not an independent student? [$9500 for freshman]</p>
<p>If your need is fully met, and you are a dependent student, you will be eligible to borrow an unsubsidized Stafford loan up to the maximum for a dependent student for your year in school, up to the amount of your EFC that remains after all aid (COA-scholarships-grants-Perkins loans-Stafford loans-work study). For a dependent freshman, that means $5500 maximum. Only the unsubsidized Stafford can be used to replace EFC. Say your COA is $12,000 & you get a $3000 scholarship. Let's say your EFC is $10,000. In this case, COA-scholarship=$9000. Your need is fully met & you would be using the Stafford to replace EFC. You would not be eligible for a subsidized Stafford, because your need is fully met. However, you still have $9000 worth of EFC that can be replaced (your scholarship replaced $1000 of your EFC already). The maximum Stafford you can borrow is $5500; you can borrow all of that, unsubsidized.</p>
<p>Try the same scenario with a COA of $20,000, a scholarship of $3000, and an EFC of $10,000. In this case, assuming no other aid (work study, etc.), the COA-scholarship=$17,000. There is a gap (unmet need) of $17,000-$10,000=$7000. A subsidized Stafford of $3500 would be offered. The remaining $2000 allowable under the Stafford program would be unsubsidized, even though need is not fully met ... but the maximum subsidized allowed is $3500, so the remainder is unsubsidized.</p>
<p>Everything changes for a dependent student IF the parents apply for and are denied a PLUS loan. THEN the student is able to borrow a Stafford loan under the independent student guidelines. This doesn't make the student independent; it just changes the Stafford maximums. And in the first scenario above, the maximum that could be borrowed would be $9000, due to the scholarship already replacing $1000 of EFC.</p>
<p>Here is the link for the Stafford amounts:</p>
<p>I will be starting pharmacy school in the fall. I am a junior but my status has been changed to professional student because according to my school, I am now in a professional school.</p>
<p>What does that mean in terms of financial aid? I have been given subidized and unsubsized loans based on being graduate student. I did not get the
pell grant, perkins loan or any other aid that I have gotten in the past.</p>
<p>Does this sound correct?</p>