Financial Aid Handbook
Capitalization: A loan arrangement whereby you may add unpaid interest to the principal.
Citizen/Eligible Non-Citizen: A student must fit one of the following categories to receive federal student aid: a U.S. citizen, a U.S. national (includes natives of American Samoa or Swain’s Island), a permanent U.S. resident who has an I-151, I-551 or an I-551C, or has an I-94 from the INS.
Consolidation: A federally guaranteed program that allows you to combine qualifying student loans into one repayment plan.
Consortium Agreements: A consortium agreement is a contract between the student, the host institution, and Saint Elizabeth University. This agreement allows Saint Elizabeth University to process federal, state, and institutional aid for the student while taking courses at another university.
Cost of Attendance: The total amount it will cost a student to attend school. The cost includes tuition, room and board, fees and other educational expenses.
Direct Costs: Costs due directly to
the university.
Indirect Costs: Estimated costs associated with attending school.
Default: Failure to repay a student loan according to the agreed upon terms. If you default, your school, lender or the government may take legal action to recover the money. You may also harm your future credit rating.
Deferment: A limited time during which those eligible do not have to make loan or interest payments. Deferments vary according to the loan program. Those who qualify include full-time graduate and undergraduate students and those who are suffering a period of financial hardship.
Delinquent: To be over due on one or more payments on a loan.
Expected Family Contribution (EFC): Federal calculation of the amount you are able to contribute toward your education.
FAFSA: Free Application for Federal Student Aid which can be obtained through any high school guidance office, any college or university financial aid office or by simply going to www.studentaid.gov.
Financial Aid Offer: Notification from the Financial Aid Office detailing the type and amount of aid for which you are eligible.
Financial Need: The difference between the student’s cost of attendance and the expected family contribution.
Forbearance: An arrangement whereby the lender may delay the repayment of a student loan because of financial hardship.
Graduate Student: A graduate or professional student is a student who for a period of enrollment is enrolled in a program above the baccalaureate level at an institution of higher education or is enrolled in a program leading to a first professional degree; has completed the equivalent of at least three academic years of full-time study at an institution of higher education, either before entrance into the program or as part of the program itself; and in not receiving aid under Title IV as an undergraduate student for the same period of enrollment.
Guaranty Agency: An organization that has an agreement with the U.S. Secretary of Education to administer the federally guaranteed student loan programs. The agency may be either part of your state government or a private nonprofit agency.
Needs Analysis: The process that determines your eligibility for student aid.
Promissory Note: A legal document that you sign promising to repay a student loan. It lists the conditions under which you are borrowing and the terms under which you agree to pay back the loan.
Second Baccalaureate Degree: A student who has already earned a baccalaureate or professional degree is eligible for additional loan assistance, provided all applicable eligibility criteria is met. The loan level will depend upon the number of transferable credits that the academic department will allow from the student’s first degree.
Self Help Aid: Financial aid such as loans that require the student upon graduation to begin repayment on loans borrowed.
Student Aid Report (SAR): Received by the student after applying for federal student aid. SARs contain your FAFSA information and indicate if you are eligible for the Federal Pell Grant.
Subsidized Loan: A subsidized loan is awarded on the basis of financial need. You won’t be charged any interest before you begin repayment or during authorized periods of deferment. The federal government “subsidizes” the interest during these periods.
Title IV code: Code number assigned to every school by the United States Department of Education. Saint Elizabeth University’s federal code is 002600.
Unsubsidized Loan: An unsubsidized loan is not awarded on the basis of need. You’ll be charged interest from the time the loan is disbursed until it’s paid in full. If you allow the interest to accrue (accumulate) while you’re in school or during other periods of nonpayment, it will be capitalized – that is, the interest will be added to the principal amount of your loan, and additional interest will be based on that higher amount.