CCS GUIDANCE GAZETTE on the Web TeacherWeb Update Glossary of College and Financial Aid Terms

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<DIV align=left><FONT size=6><FONT size=4><STRONG><U>Accreditation:</U></STRONG></FONT> </FONT><FONT size=4>Recognition of a college or university by any of the regional or national accrediting bodies, indicating that the institution as a whole has been judged to be meeting its objectives</FONT></DIV></LI>
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<DIV align=left><FONT size=4><STRONG><U>ACT</U></STRONG>:  The test required or accepted at all public and most private universities as part of the admissions process.  The test scores are also used for some scholarships and for placing students in certain college level classes.  The test measures educational development in English Math, Reading, and Science Reasoning.  ACT scores range from 1 - 36.</FONT></DIV></LI>
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<DIV align=left><FONT size=4><STRONG><U>Advanced Placement</U></STRONG>:  Program which allows high school students to take classes studying college-level subjects and receive advanced placement and/or credit upon entering college (based on class test scores).</FONT></DIV></LI>
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<DIV align=left><FONT size=4><STRONG><U>Annual Percentage Rate (APR):</U></STRONG>  The overall cost of borrowing money, expressed as an annual percentage of the loan balance.  The APR combines the interest rate with the loan fees and also includes the effects of compounding.</FONT></DIV></LI>
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<DIV align=left><FONT size=4><STRONG><U>Associate Degree:</U></STRONG>  Degree awarded generally following successful completion of 15 months to two years of study.  </FONT></DIV></LI>
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<DIV align=left><FONT size=4><STRONG><U>Award Letter:</U></STRONG>  List of types and amounts of aid that your prospective school is offering.  You are not required to accept all aid.</FONT></DIV></LI>
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<DIV align=left><FONT size=4><STRONG><U>Bachelor's Degree:</U></STRONG>  Degree generally awarded following successful completion of four to five years of study.</FONT></DIV></LI>
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<DIV align=left><FONT size=4><STRONG><U>Certificate:</U></STRONG>  Award given in a nondegree program, usually in a vocational or technical area, after preparation for employment in a specific occupation.  Certificate programs are generally six to 12 months long.</FONT></DIV></LI>
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<DIV align=left><FONT size=4><STRONG><U>CLEP:</U></STRONG>  The College-Level Examination Program (CLEP) offers specific subject examinations or general examinations.  Some colleges use the scores to award <EM>credit by examination</EM> to students. </FONT></DIV></LI>
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<DIV align=left><FONT size=4><STRONG><U>Commuter Students:</U></STRONG>  Students who live off campus instead of in college residence halls or other on-campus housing and commute to and from the campus.</FONT></DIV></LI>
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<DIV align=left><FONT size=4><STRONG><U>Conversion scholarship/loan:</U></STRONG>  Either a scholarship or loan that requires the recipient to provide certain services for prescribed periods or pay back funds received with interest.</FONT></DIV></LI>
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<DIV align=left><FONT size=4><STRONG><U>Cost of Attendance (COA):</U></STRONG>  The figure includes the total price of tuition, fees, room, board, books, supplies, transportation and personal expenses for one academic year of education (also known as the Student Budget).</FONT></DIV></LI>
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<DIV align=left><FONT size=4><STRONG><U>Credit Hour:</U></STRONG>  Unit of academic credit that often represents one hour of class time per week for a period of study (semester, quarter, etc.).</FONT></DIV></LI>
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<DIV align=left><FONT size=4><STRONG><U>Default:</U></STRONG>  Failure to repay your loan; it may lead to legal action to recover the money and can affect your credit rating.</FONT></DIV></LI>
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<DIV align=left><FONT size=4><STRONG><U>Deferred Admission:</U></STRONG>  The practice of some colleges of allowing an accepted student to postpone enrollment for one year.</FONT></DIV></LI>
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<DIV align=left><FONT size=4><STRONG><U>Delinquent:</U></STRONG>  When at least one loan payment is late or missed.  Serious delinquency may result in default.</FONT></DIV></LI>
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<DIV align=left><FONT size=4><STRONG><U>Dependency Status:</U></STRONG>  If you are considered a dependent student, colleges will count parent income, assets and circumstances in addition to your finances in awarding aid.</FONT></DIV></LI>
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<DIV align=left><FONT size=4><STRONG><U>Diploma Program:</U></STRONG>  Award given in a nondegree postsecondary program, usually in a vocational or technical field to prepare for employment in a specific occupation.  Diploma programs are generally nine to 18 months long.  This diploma is not the same as the diploma you receive when you graduate from high school.</FONT></DIV></LI>
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<DIV align=left><FONT size=4><STRONG><U>Dual Credit Program:</U></STRONG>  Program in which courses completed may earn high school and college credits.</FONT></DIV></LI>
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<DIV align=left><FONT size=4><STRONG><U>Early Action:</U></STRONG>  </FONT> <FONT size=4>Application process which permits students to make application to an institution of preference and receive a decision during the senior year, well in advance of the normal response dates in the spring.  The candidate is not committed to enroll at that particular institution.</FONT></DIV></LI>
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<DIV align=left><STRONG><U><FONT size=4>Early Admission:</FONT></U></STRONG>  <FONT size=4>Admitting students into college courses and programs before they have completed the standard high school program.  This requires an early admission application process.</FONT></DIV></LI>
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<DIV align=left><FONT size=4><STRONG><U>Early Decision:</U></STRONG>  Application process in which a commitment is made by the student to the institution that, if admitted, the student will enroll.  Only a student who can make a deliberate and well-reasoned first choice decision should apply under Early Decision plan because the institution will require a nonrefundable deposit.</FONT></DIV></LI>
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<DIV align=left><FONT size=4><STRONG><U>Expected Family Contribution (EFC):</U></STRONG>  A measure of your family's financial strength based on income, assets, family size, etc., based on FAFSA.  The EFC represents the amount of money the federal government believes your family is able to contribute toward college.  The amount you end up actually paying could differ from the EFC depending on what resources are <STRONG><U>available at your college.</U></STRONG></FONT></DIV></LI>
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<DIV align=left><FONT size=4><STRONG><U>FAFSA (Free Application for Federal Student Aid):</U></STRONG>  The need analysis form all students must complete when applying for federal and state student aid, including work-study.  Dome schools use the FAFSA to award scholarships.  Therefore, it is wise to file the FAFSA even if you are not hoping to receive federal financial aid.</FONT></DIV></LI>
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<DIV align=left><FONT size=4><STRONG><U>Federal Family Education Loan (FFELP):</U></STRONG>  The FFELP includes subsidized and unsubsidized federal Stafford Loan, PLUS Loan and federal consolidation loans.  Private lenders backed by the federal government provide the loans.</FONT></DIV></LI>
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<DIV align=left><FONT size=4><STRONG><U>Federal Work-Study:</U></STRONG>  Provides part-time employment for students who have financial need.  Jobs are usually available both on and off campus and will work with your school schedule.</FONT></DIV></LI>
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<DIV align=left><FONT size=4><STRONG><U>Financial Aid:</U></STRONG>  Money that comes from state and federal governments, colleges, private organizations, associations and companies to help pay the costs of a college education or technical training.</FONT></DIV></LI>
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<DIV align=left><FONT size=4><STRONG><U>Financial Aid Package:</U></STRONG>  Total financial aid award received by a student.  It may consist of several types of aid, including grants, scholarships, loans, work-study programs and others.  Financial need, availability of funds, institutional aid policies and the number of students who need financial assistance all influence a student's financial aid package.</FONT></DIV></LI>
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<DIV align=left><FONT size=4><STRONG><U>Financial Need:</U></STRONG>  The amount of higher education expenses that a student's estimated family contribution (EFC) falls short of paying.  Financial need equals the cost of education minus the EFC.</FONT></DIV></LI>
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<DIV align=left><STRONG><U><FONT size=4>Gift Aid:</FONT></U></STRONG>  <FONT size=4>Financial aid, such as scholarships and grants, that does not have to be repaid.</FONT></DIV></LI>
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<DIV align=left><FONT size=4><STRONG><U>Grade Point Average (GPA):</U></STRONG>  An indicator of a student's overall scholastic performance.  The GPA is computed by taking the number of grade points earned in each course divided by the numbers of hours attempted for courses taken.</FONT></DIV></LI>
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<DIV align=left><FONT size=4><STRONG><U>Graduate Student:</U></STRONG>  Student who has earned a bachelor's degree and is working toward a master's, doctorate or professional degree.</FONT></DIV></LI>
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<DIV align=left><FONT size=4><STRONG><U>Grants:</U></STRONG>  Awards based on financial need that do not require repayment.  Grants are available through the federal government, state agencies, and educational institutions.</FONT></DIV></LI>
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<DIV align=left><FONT size=4><STRONG><U>Half-time Status:</U></STRONG>  The minimum number of credit hours (generally six) a student must be enrolled to be eligible for financial aid.</FONT></DIV></LI>
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<DIV align=left><FONT size=4><STRONG><U>Honors Program:</U></STRONG>  Any program offering opportunity for superior students to enrich their education experience through independent, advanced, or accelerated study.</FONT></DIV></LI>
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<DIV align=left><FONT size=4><STRONG><U>Institutional Aid:</U></STRONG>  Student financial aid administered by the college or proprietary trade school.</FONT></DIV></LI>
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<DIV align=left><FONT size=4><STRONG><U>Interest:</U></STRONG>  A charge for borrowing money, expressed as a percentage of the loan balance.  Interest rates are either variable (the rate can change) or fixed (the rate will not change).</FONT></DIV></LI>
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<DIV align=left><FONT size=4><STRONG><U>Loans:</U></STRONG>  Funds that must be paid back later, with interest.  Federally-guaranteed loans can be from a private lender ( i.e. a bank) or from the federal government.  Some loans may have fees which are one time charges to originate or guarantee a loan, expressed as a percentage of the loan balance.</FONT></DIV></LI>
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<DIV align=left><FONT size=4><STRONG><U>Master Promissory Note (MPN):</U></STRONG>   A legally binding document that sets the terms of student loans.  By signing the MPN, you are promising to repay your student loan, regardless of whether you graduate or are satisfied with your education.</FONT></DIV></LI>
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<DIV align=left><FONT size=4><STRONG><U>Major:</U></STRONG>  The subject of study in which the student chooses to specialize; a series of related courses, taken primarily in the junior and senior years of college.</FONT></DIV></LI>
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<DIV align=left><FONT size=4><STRONG><U>Minor:</U></STRONG>  Secondary academic field of study chosen by a college student.</FONT></DIV></LI>
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<DIV align=left><FONT size=4><STRONG><U>Need Analysis:</U></STRONG>  Process used to determine how much students and their families can reasonably be expected to pay toward college expenses. Need analysis formulas are updated each year by the federal government and other organizations to reflect changes in the economy.</FONT></DIV></LI>
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<DIV align=left><FONT size=4><STRONG><U>Open Admissions:</U></STRONG>  The policy of some colleges of admitting virtually all high school graduates, regardless of academic qualifications such as high school grades and admission test scores.</FONT></DIV></LI>
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<DIV align=left><FONT size=4><STRONG><U>Parent Loan for Undergraduate Students (PLUS):</U></STRONG>  A federal education loan for parents and stepparents of dependent undergraduate students.</FONT></DIV></LI>
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<DIV align=left><FONT size=4><STRONG><U>Pell Grant:</U></STRONG>  Gift aid that is given based on financial need.  How much aid you will be eligible to receive is based on your EFC.  </FONT></DIV></LI>
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<DIV align=left><FONT size=4><STRONG><U>Perkins Loan:</U></STRONG>  Fixed low interest loan through your college.  You must demonstrate financial need.  </FONT></DIV></LI>
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<DIV align=left><FONT size=4><STRONG><U>PLAN:</U></STRONG>  A tenth-grade "pre-ACT" assessment program designed to help students improve their postsecondary planning and preparation.  PLAN contains academic tests, an interest inventory, study skills assessment, and student information section, and it is complementary in content and format to the ACT Assessment.  PLAN scores range from 1-32.</FONT></DIV></LI>
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<DIV align=left><FONT size=4><STRONG><U>Postsecondary:</U></STRONG>  Means "after high school".  Postsecondary education can be received at a college, university, community college, technical college, proprietary trade school or other off-campus courses.</FONT></DIV></LI>
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<DIV align=left><FONT size=4><STRONG><U>Principal:</U></STRONG>  The full amount borrowed.  During repayment, it refers to the portion of the original amount still owed (not including interest).</FONT></DIV></LI>
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<DIV align=left><FONT size=4><STRONG><U>Private Aid:</U></STRONG>  Financial aid from non-government sources.</FONT></DIV></LI>
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<DIV align=left><FONT size=4><STRONG><U>Proprietary Trade School:</U></STRONG>  Privately owned schools that provide a wide range of courses of study, such as cosmetology, business and broadcasting.  Programs range from two to 24 months and lead to certificates or diplomas in a variety of subjects.</FONT></DIV></LI>
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<DIV align=left><FONT size=4><STRONG><U>Rolling Admissions:</U></STRONG>  An admission procedure by which the college considers each application as soon as all required materials have been received.  The college then notifies each applicant of acceptance or rejection as soon as possible.</FONT></DIV></LI>
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<DIV align=left><FONT size=4><STRONG><U>SAT:</U></STRONG>  A test administered by the College Entrance Examination Board at specified test centers throughout the year and required or recommended by many colleges as part of the admission process.  </FONT><FONT size=4>There is an <U><EM>SAT I</EM> <EM>Reasoning Test</EM></U> which is divided into three sections:  Verbal, Mathematics and Writing.  Scores are used for admission and scholarship purposes.  <EM><U>The SAT II Subject Tests</U></EM> are specific subject tests such as mathematics, science, etc.  More selective schools require two or three of these subject tests for admission.</FONT></DIV></LI>
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<DIV align=left><FONT size=4><STRONG><U>Scholarships:</U></STRONG>  A financial aid award to help pay for higher education.  Scholarships generally do not have to be repaid and are normally based on skill, ability, talent, achievement or activities.</FONT></DIV></LI>
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<DIV align=left><FONT size=4><STRONG><U>Stafford Loan:</U></STRONG>  A loan received from a private lender or your college.  They can be <EM>subsidized</EM> (no interest accrues while in school) or <EM>unsubsidized </EM>(interest accrues while in school).</FONT></DIV></LI>
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<DIV align=left><FONT size=4><STRONG><U>Student Aid Report (SAR):</U></STRONG>  The information you will receive approximately 3 - 6 weeks after your FAFSA has been processed.  It will report the information from your FAFSA application and, if there are no questions or problems with your application, your SAR will report your Expected Family Contribution (EFC).</FONT></DIV></LI>
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<DIV align=left><FONT size=4><STRONG><U>Transcript:</U></STRONG>  The official cumulative record that lists courses taken, grades received and credits or credit hours received.  Includes a cumulative grade point average and usually, class ranking.  Required as part of the college admission process.</FONT></DIV></LI>
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<DIV align=left><FONT size=4><STRONG><U>Tuition:</U></STRONG>  </FONT> <FONT size=4>Amount of money schools charge for instruction.</FONT></DIV></LI>
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<DIV align=left><FONT size=4><U><STRONG>Undergraduate:</STRONG></U>  College student who has not yet earned a degree.</FONT></DIV></LI>
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<DIV align=left><FONT size=4><STRONG><U>Wait List:</U></STRONG>  A term used by institutions to describe a process in which they may initially delay offering or deny admission.  Rather, the institution extends the possibility of admission in the future.  Colleges offer admission to wait list candidates if insufficient numbers of regularly admitted candidates accept their offers of admission.  Sometimes, a student can submit supporting documents, such as letters of recommendation, high school resumes, portfolios, etc. to add to their application packet and increase their chances of admission.</FONT></DIV></LI>
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<DIV align=left><FONT size=4><STRONG><U>Waiver:</U></STRONG>  Arrangement under which a school does not charge specific costs if a student meets certain qualifications.</FONT></DIV></LI>
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<DIV align=left><FONT size=4><STRONG><U>Work-study:</U></STRONG>  Employment that lets students earn money to help pay the cost of higher education.</FONT></DIV></LI></OL>
<P align=left><FONT size=4>*Sources:  ACT, FastWeb, KHEAA and NextStep</FONT></P>

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