Federal Aid Programs
Federal Supplemental Educational Opportunity Grant (FSEOG)
Federal Family Educational Loans (FFEL)
A federal Pell Grant, unlike a loan, does not have to be repaid. Pell Grants are awarded only to undergraduate students who do not have a bachelor’s degree and who meet criteria set by the U.S. Department of Education. Students who receive Pell Grants will be paid by the College, and the College will be reimbursed by the Department of Education. A student’s EFC (Estimated Family Contribution), cost of attendance and academic load determines the amount of Pell Grant for which the student is eligible. For the 2008-09 academic year the maximum amount of Pell Grant is $4,731. The minimum award amount is $400.
Federal Supplemental Educational Opportunity Grant (FSEOG)
FSEOG is a grant that is for undergraduate students with exceptional financial need. Students must also receive at least 75% of Pell Grant to be considered for an FSEOG. The maximum FSEOG award is $1,000. Students who receive between 75% and 100% of Pell Grant may be awarded $500 of FSEOG.
Through the Federal Work Study (FWS) Program students work part time to help pay for the cost of their education. Students are paid at least the current federal minimum wage and will be placed within the College or within a community setting. Off-campus FWS jobs with federal, state or local public agencies or private nonprofit organizations must be in the public interest.
Students may earn between $250 and $2,000 per year through the work study program.
To be eligible for an FWS job, a student must meet all eligibility requirements and indicate their interest in FWS when filling out the FAFSA. In addition, a student must have financial need; that is, his or her cost of attendance must be greater than his or her Expected Family Contribution (EFC). A financial aid administrator may not award FWS employment to a student that if awarded, when combined with all other resources, would exceed the student’s need.
For questions about the Federal Work Study Program please contact Jondra Branham at (606) 218-5256 or jbranham@pc.edu.
Federal Family Educational Loans (FFEL)
The Federal Stafford Student Loan program is the Department of Education’s major form of self-help aid. Stafford Loans are either subsidized or unsubsidized and interest on both loans is variable.
A subsidized loan is awarded on the basis of financial need. The federal government pays the interest on the loan (“subsidizes” the loan) until the student begins repaying the loan.
An unsubsidized loan is not awarded on the basis of need. Students are charged interest from the time the loan is disbursed until it is paid in full. If the interest is allowed to accumulate on an unsubsidized loan it is “capitalized,” or added to the principal amount of the loan, thus increasing the repayment amount. If a student chooses to pay the interest as it accrues, he or she will have less to repay later.
A student must be a regular student, enrolled in an eligible program of study and enrolled at least half-time to be eligible for a Stafford Loan. Eligibility is established by the Department of Education.
A freshman is eligible for $5,500, a sophomore for $6,500, and juniors and seniors for $7,500 per academic year although certain conditions may be applicable and may decrease the total yearly amount.
In general, a Stafford Loan may be deferred until the student graduates, leaves school or drops below half-time enrollment. At that time, the student will have a six-month grace period before beginning repayment. Under certain circumstances students may receive deferments or forbearance on student loans; however, these are not automatic. It is the student’s responsibility to contact the lender or agency that holds the loan and to provide documentation for the request. Students must also continue making scheduled payments until notification is received that deferment or forbearance has been granted. Students are required to attend entrance counseling sessions prior to receiving loan funds and exit counseling sessions prior to leaving school.
147 Sycamore Street
Pikeville, Kentucky 41501
606.218.5250
1.866.BEARS.00
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