Financial Aid

Who can help us with this process?
Financial aid can be confusing, but we're here to help. Below are answers to some of the more commonly asked questions. If you don't find the answers you need here, or if you would like to talk with a financial aid representative call 1-800-AVERETT, Ext. 5890.

How do we apply for a Pell Grant and other types of need-based aid?
First, submit a Free Application for Federal Student Aid (FAFSA) – information will be provided about the FAFSA in another section. To indicate interest in student employment, student loans and parent loans, you should check the appropriate boxes. Checking these boxes does not commit you to accepting these types of aid. You will have the opportunity to accept or decline each part of your aid package later. Leaving these boxes unchecked will not increase the amount of grants you receive.

What is Averett’s Federal Student Code?
Averett’s code is 003702.

Why should we apply for financial aid?
Yes. Many families mistakenly think they don't qualify for aid and fail to apply for it. In addition, there are a few sources of aid such as unsubsidized Stafford and PLUS loans that are available regardless of need. The Free Application for Federal Student Aid form is free. There are also private scholarships available through Averett. Everyone should apply.

When should we apply for financial aid?
The FAFSA process can be initiated at or around January 1st of any given year. Apply early and submit all required documentation upon request.

Does my student need to be admitted before he/she can apply for financial aid at Averett?
No. You can apply for financial aid any time after January 1. To actually receive funds, however, you must be admitted and enrolled at the university.

Why can’t we submit the financial aid application before January 1?
The need analysis process is based on income made during the calendar year. If you submit the financial aid application before January 1 it will be rejected.

Do we have to reapply for financial aid every year?
Yes. Averett’s financial aid office requires that you apply every year for financial aid. After your first year you will receive a "Renewal Application" which contains preprinted information from the previous year's Free Application for Federal Student Aid (FAFSA). Note that your eligibility for financial aid may change significantly, especially if you have a different number of family members in college. Renewal of your financial aid package also depends on your student making satisfactory academic progress toward a degree, such as earning a minimum number of credits and achieving a minimum GPA.

If my student has to leave school for a while does he/she have to start repaying loans immediately?
Not immediately. The subsidized Stafford loan has a grace period of 6 months and the Perkins loan a grace period of 9 months before your student must begin repaying the loan. When your student takes a leave of absence he/she will not have to repay the loan until the grace period is exhausted. However, once the grace period is depleted, loan payments will have to begin immediately after graduation. It is possible to request an extension to the grace period, but this must be done before the grace period is depleted. If the grace period has run out in the middle of the leave of absence, your student will have to start making payments on the student loans.

My student received an outside scholarship(s). Should I report it to the financial aid office?
Yes. If your student is receiving any kind of financial aid from university or government sources, you must report the scholarship to Averett’s Financial Aid Office.

What expenses can we expect financial aid to cover?
Depending on your financial aid it may cover all or part of the following: tuition/fees, books/supplies, transportation, personal, school and miscellaneous expenses.

Can my student’s financial aid change?
Yes, your student’s financial aid can change if: your family’s financial circumstances change; you receive any additional outside resources; you provided incorrect data on your FAFSA or Renewal FAFSA; your student did not maintain Satisfactory Scholastic Progress; your student is suspended by the college (scholastic or discipline); or your student did not enroll for the required number of hours to receive aid.

How is my student’s “financial need” determined?
The federal processor determines your family’s ability to contribute to the cost of education (Expected Family Contribution) using the information you provide on the Free Application for Federal Student Aid (FAFSA) and a formula called “federal methodology.”

As a parent, am I responsible for my student’s educational loans?
No. However, parents are responsible for the Federal PLUS loans. Parents will only be responsible for their student’s educational loans if he/she is under 18 and they co-sign the loan. In general it is the student who is responsible for repaying his/her educational loans.

What happens if my student receives additional money from another source after he/she has accepted the financial aid offer?
Any time during the academic year that you receive additional money from any source you must notify our office immediately. If the total of the resources exceed the financial aid need your offer must be reduced. If you have already received more aid funds than your need allows, you will be asked to return the funds overpaid to you.

What is the difference between the Subsidized and Unsubsidized Stafford Loan?
The Subsidized Stafford is awarded to students who demonstrate financial need. The government pays the interest on this loan while the student is in school. The interest on the Unsubsidized Stafford is not paid by the government while the student is in school, rather it is the responsibility of the student who has the choice to either make interest payments or defer the payments until graduation, at which time it will be added to the principal of the loan.

Are there any programs that provide financial assistance to home schooled children?
The US Department of Education's Office of Elementary and Secondary Education does not currently provide any funding for home schools.
To be eligible for federal student aid, the home-schooled student must pass an independently administered test that is used to determine the student's ability to benefit from postsecondary education. Tests approved by the US Department of Education include the ACT, ASVAB, ASSET, BEST, ETS TALS forms A and B, GED, PSAT, SAT, SLEP, TABE, TOEFL and several others. Call 1-800-4-FED-AID for a full list of approved tests.

Try calling the National Home Study Council at 1-202-234-5100 or writing to Michael Lambert, Executive Director, National Home Study Council, 1601 18th Street, NW, Washington, DC 20009. Also try calling Michelle Boyle in the Office of the Secretary of the US Department of Education at 1-202-401-1365.

What is the difference between a grant and a loan?
Grants are gift aid given to needy students to help them gain access to college. Student loans are used to help pay college costs but they must be re-paid by the borrower.

Are work-study earnings taxable?
The money you earn from Federal Work-Study is generally subject to federal and state income tax, but exempt from FICA taxes (provided you are enrolled full time and work less than 20 hrs a week).

Can my student still get financial aid if he/she is in default of a student loan?
No. Your student must first either repay the student loan that he/she is in default on or make satisfactory repayment arrangements with the lender. A letter of verification of repaid or satisfactory payment arrangements is required before any aid can be offered to your student.

FAFSA questions

Where can we get information about Federal Student Financial Aid?
Call the Federal Student Aid Information Center (FSAIC) at 1-800-4-FED-AID (1-800-433-3243) or 1-800-730-8913 (if hearing impaired) and ask for a free copy of The Student Guide: Financial Aid from the US Department of Education. This toll free hotline is run by the US Department of Education and can answer questions about federal and state student aid programs and applications.

You can also write to:
Federal Student Aid Information Center
PO Box 84
Washington, DC 20044

Where can we get a copy of the Free Application for Federal Student Aid (FAFSA)?
Copies of the FAFSA are available in high school guidance counselors’ offices, Averett’s Financial Aid Office, any financial aid office at community colleges or other universities, or on-line at http://www.fafsa.ed.gov. Photocopies of the form are not accepted.

How soon after January 1 should the FAFSA form be sent in? Is it better to wait until the income tax forms have been completed?
Send in the form as soon as possible after January 1. You do not have to wait until your taxes are done. Although it is better to do your taxes early, it is okay to use estimates of your income, so long as they aren't very far off from the actual values. You will have an opportunity to correct any errors later. If you wait too long, you might miss the deadline for state aid.

What is a Student Aid Report (SAR)?
After filing the FAFSA, it will be processed in approximately four weeks by the U. S. Department of Education. Then your student will receive a Student Aid Report (SAR) in the mail. The SAR will reflect the information from your student’s application, and if there are no questions or problems with the application, the SAR will provide the Expected Family Contribution (EFC), the number used in determining your student’s eligibility for Federal Student Aid.

I sent in my FAFSA more than four weeks ago but haven't heard anything. What should I do?
If you haven't received a Student Aid Report (SAR), call the Federal Student Aid Information Center at 1-800-4-FED-AID (toll free) or 1-319-337-5665. You must provide them with your Social Security number and date of birth as verification.

To find out whether your FAFSA has been processed or to request a duplicate copy of your SAR you can write to:
Federal Student Aid Programs
PO Box 4038
Washington, DC 52243-4038

If parents are divorced or separated, whose financial data should be used when completing the Free Application for Federal Aid (FAFSA)?
If natural parents are separated or divorced, use the natural parent with whom the student lived with the most in the past 12 months. If the student lived with neither parent, or lived with each parent an equal number of days, use the parent that provided the most financial support over the past 12 months. If that parent has remarried, the stepparent’s financial information must also be included on the application, and the parent and stepparent should report themselves as married on the FAFSA.

For any other financial aid questions contact Averett’s Financial Aid office at 1-800-AVERETT, Ext. 5890 or visit the Financial Aid Section of this Web site.