Types of Financial Aid
TEACH Grant: The Teacher Education Assistance for College and Higher Education (TEACH) Grant Program provides grants of up to $4,000 per year to students who agree to teach a high need field in a public or private elementary or secondary school that serves students from low-income families. As a recipient of a TEACH Grant, you must teach for at least four academic years within eight calendar years of completing the program of study for which you received a TEACH Grant. IMPORTANT: If you fail to complete this service obligation, all amounts of TEACH Grants that you received will be converted to a Federal Direct Unsubsidized Stafford Loan. You must then repay this loan to the U.S. Department of Education. You will be charged interest from the date the grant(s) was disbursed. Note: TEACH Grant recipients will be given a 6-month grace period prior to entering repayment if a TEACH Grant is converted to a Direct Unsubsidized Loan. Application is made by completing the Free Application for Federal Student Aid (FAFSA) and signing the TEACH Grant Agreement to Serve and completing the counseling. The student must meet certain academic achievement requirements (generally, scoring above the 75th percentile on a college admissions test or maintaining a cumulative GPA of at least 3.25). The student must maintain satisfactory academic progress.
William D. Ford Direct (Unsubsidized) Student Loan Program: Borrowing is subject to annual and aggregate loan limits. Borrowers begin repaying loans six months after ceasing at least half-time enrollment in postsecondary education, unless borrower qualifies for deferment. Cancellation of loans is available for employment in certain designated fields, under certain conditions. This is a loan from the federal government. While eligibility for the subsidized Direct Loan requires proof of financial need, financial need is not a consideration for the unsubsidized Direct Loan. The student must file a Free Application for Federal Student Aid (FAFSA) annually to determine eligibility for participation in this program, and be enrolled at least half-time. The interest rate is determined on July 1st for the succeeding academic year. Borrowers of a Direct Loan are charged a loan origination fee, which will be subtracted from the loan proceeds at disbursement. Graduate and professional students may borrow up to $20,500 per year, if the student’s cost of attendance allows,
Federal Direct Unsubsidized Loan only: Repayment on the principal amount of the loan does not begin until six months after the student leaves school or drops below half-time status, BUT the student is responsible for the interest from the date of the last disbursement of the loan. The student may pay the interest monthly or quarterly, or may defer interest payments during school or the six-month grace period. Arrangements for payment are made by the student with the Department of Education.
William D. Ford Federal Direct Graduate PLUS Loan (for graduate students): The Federal Direct Grad PLUS Loan is available to graduate students who file a FAFSA. Graduate students may borrow up to the cost of attendance minus other financial assistance received. Graduate students are encouraged to utilize their Federal Direct Stafford Loan eligibility prior to borrowing Federal Direct Grad PLUS Loans. The interest rate is determined annually at the time of disbursement. This rate is fixed for the life of the loan. Repayment of principal and interest begins after the six month grace period. The U.S. Department of Education charges a loan origination fee which will be subtracted from the loan proceeds at disbursement. if you receive a Direct PLUS Loan as a graduate or professional student, you will not be required to make any payments while you’re enrolled in school at least half-time, and for an additional six months after you graduate, leave school, or drop below halt-time enrollment. Depending upon the amount borrowed, parents may have up to 10 years to repay.