<p>we thought that my income, assets, etc. were well above any need based help that we might receive. The school told us to fill out the paper work and send it in anyway.
Our child checked his e-mail account at his future university and found that he had been “awarded” $5,500 through FAFSA. Does FAFSA not work on strict guidelines as to whether funds are available to a student or not?
We are full pay at a very expensive university (probably top 25 on the cost scale) and do appreciate and can use the help that FAFSA allows.</p>
<p>Our child checked his e-mail account at his future university and found that he had been “awarded” $5,500 through FAFSA.</p>
<p>???</p>
<p>That sounds like a student loan. If so, was it unsubsidized or was some of it subsidized? What was your EFC? Was is lower than COA? If COA is $5500+ more than EFC, then the school is awarding a student loan to meet that need.</p>
<p>This wouldn’t require any discretion. If your EFC is lower than COA, then your child can get this loan. If your EFC is higher than COA, then your child can get an unsub loan to help with EFC.</p>
<p>Discretion is used for unusual circumstances.</p>
<p>I’m guessing that they are referring to Stafford Loans; the maximum loan that freshmen can get is $6000. </p>
<p>You can call the school to ask.</p>
<p>I am also guessing that the $5500 is probably a Stafford loan. The maximum Stafford for a freshman is $5500 of which up to $3500 can be subsidized if there is need. If there is no need, the entire $5500 will be unsubsidized. Any student (that is FAFSA eligible) is eligible for the unsub Stafford loan.</p>
<p>///What was your EFC?///</p>
<p>when filling out the forms, i was limited as to the amount they would allow me to post. apparently there is a ceiling where they no longer require you to enter info. i believe they said my EFC was $99,999. I asked my child if it was a loan offer and he said the e-mail said FAFSA award. I will have to read it myself.</p>
<p>I was hoping they felt sorry for me for being completely full pay…LOL
Oh well…</p>
<p>PS…what is COA?</p>
<p>COA=Cost of Attendance (the estimated budget that is used for purposes of awarding aid). Schools <em>can</em> award up to the COA; they are not always able to offer that much aid.</p>
<p>FAFSA does not award aid. The information collected on the FAFSA is used to generate a number called an EFC (Expected Family Contribution) that is used with the COA in awarding need based aid. In your case, your EFC is high enough that you will not be eligible for need based aid. However, your child is eligible for a federal loan, which is financial aid, that is not based on need … he can borrow up to $5500 in an unsubsidized loan as a freshman.</p>
<p>thanks much!</p>
<p>*when filling out the forms, i was limited as to the amount they would allow me to post. apparently there is a ceiling where they no longer require you to enter info. i believe they said my EFC was $99,999. </p>
<p>I was hoping they felt sorry for me for being completely full pay…LOL
Oh well…
*</p>
<p>LOL…no, if anything, they were thinking that this guy’s net worth is so high, he could start his own school. ;)</p>
<p>they were wrong on both counts…LOL</p>