Sources of Aid

 

SCHOLARSHIPS - Students may receive scholarship assistance from a number of institutional sources (view detailed information at  /finaid/Scholarships.shtm). Many scholarships and other sources of aid are awarded on the basis of demonstrated need; therefore, all students are encouraged to file the Free Application for Federal Student Aid (FAFSA) online at www.fafsa.gov by the March 1 priority date annually.

The University of Montevallo will not permit students to receive any institutional scholarship funds beyond the direct cost of attendance which includes tuition, fees, room, board, and books in a refund. This does not affect any outside sources of aid such as veteran benefits, PACT,  external agency scholarships, federal grants and loans.

GRANTS (FAFSA Required) - Grants are gift aid and are typically not repaid unless a student withdraws from the semester.  Only undergraduates who have not previously received a bachelor’s degree are eligible for the following grants:

·    Federal Pell Grants - Federal Pell Grants are available in amounts ranging from a few hundred dollars to several thousand dollars per academic year. The amount of the grant depends on financial need and enrollment status.  Federal regulations limit the length of time a student can receive Pell Grant.  The lifetime limit for recipients of Pell Grant awards is the equivalent of 12 semesters.  If a student is not full time, the eligibility is prorated.  The maximum percentage is 600% based on 50% per semester if full time. Students may go to www.nslds.ed.gov to view the lifetime amount of Pell Grant that has been received.

·    Federal Supplemental Educational Opportunity Grants (FSEOG) - Federal grants in the amount of $1,200 per academic year are awarded to students with exceptional financial need. Funds for this program are limited.  Students are encouraged to file the FAFSA by March 1 for consideration.

·     Alabama Student Assistance Program - State-funded grants are awarded to students with exceptional financial need, who are legal residents of Alabama. Funds are limited and amounts vary.

EMPLOYMENT - Part-time employment on or off campus is available. 

1.   Federal Work-Study (FWS) Program (FAFSA Required) - A federally funded employment program available to qualified students who demonstrate financial need. Students should indicate on the FAFSA if interested in receiving FWS.  Students may be employed on or off campus and are paid bi-weekly based on the hours worked. Funds are not applied to the student's account. A limited number of community-service positions are available. Please note that if the offer of FWS is accepted, this does not guarantee employment.  If placement does not occur within 30 days of the beginning of the term, the offer will be cancelled.  Funds are very limited.  Students are encouraged to file the FAFSA by March 1 for consideration.       

Federal Work Study (FWS) Procedures

• Student completes the Free Application for Federal Student Aid (FAFSA)
• Student is awarded FWS by the Office of Student Financial Services if proper need and fund availability exist
• Student accepts the FWS award
• Student is prompted by the Office of Student Financial Services to visit the Counseling and Career Center to view available positions
• All departments need to post available positions (FWS and/or Jobship) with the Counseling and Career Center so students can review the list
• Student will seek out job opportunities and request applications/interviews from departments of interest
• Department will meet with student and make hiring decision
• If the department needs to verify that the student has been awarded FWS, it may contact the Office of Student Financial Services at 205-665-6050 or email Finaid@montevallo.edu
• When student is hired, department will fully complete sections 1 and 3 of the Student Personnel Action Form (SPAF) and send student to the Office of Student Financial Services with the SPAF
• Office of Student Financial Services will complete section 2 of the SPAF and give it back to student to return to hiring department for further completion of section 4 and other employment documents
• Department will provide student with all other necessary blank documentation (i.e. tax forms, I9 form, etc) and assist in setting an appointment with Debbie Davis in the Business Office in order to turn in all required original documents/forms of identification (i.e. social security card, driver’s license, birth certificate, etc) and be cleared for work
• For prompt assistance, it is advised to have all original documents completed and all original forms of identification gathered prior to setting and attending the appointment; however, the student may complete the tax forms during the hiring appointment if preferred
• Student will take all original documentation, including the SPAF, and original forms of identification to the Business Office for assigned hiring appointment
• Student will complete all necessary steps of meeting with the Business Office and return to hiring department to determine the appropriate work schedule
• Department and student will determine the work schedule, which cannot conflict with student’s class schedule, and department must make certain student does not earn more than the amount awarded
• The department has the right to check the status of the student’s received payment throughout the award year to ensure the awarded amount is not exceeded by contacting Nikki Bradbury in the Office of Student Financial Services
• Student will begin work when emailed copy of SPAF when a “Cleared for Work” date has been received by department
• If the student is 18 years of age or younger, special timekeeping rules are required; therefore, the Payroll Office will need to be contacted prior to the work schedule begin date.

Please note that for the award year, the Employment Date/Approved Work Period should be listed as August 1, XXXX through May 31, XXXX. Once a student has received his or her full award through payment and/or the Employment Date/Approved Work Period has passed, the student should be paid through Jobship in order to continue employment. If this must occur, a request to terminate the current FWS SPAF and a new Jobship SPAF, with the updated Jobship information, must be completed by the department and sent to the Payroll Office.  If for any reason the student has not received his or her full award through payment by May 31, XXXX and is needed to continue employment through June 30, XXXX, the department must contact the Office of Student Financial Services to confirm fund availability as well as initiate the completion of a new FWS SPAF for the month of June. FWS funds are not available for the month of July.       

  2.   Jobship (University funds) - A limited number of positions are available through various campus offices. The positions are not need based and are not awarded by the Office of Student Financial Services. Contact the Counseling and Career Center for a list of job openings.

  3. Off-Campus Employment - The Counseling and Career Center assists students with off-campus employment as well.

 

PERKINS LOANS (FAFSA Required) - Federally funded loans that are awarded to students with exceptional financial need.  Repayment and the accrual of interest at the rate of 5% begin nine months after the student drops below half-time.  Funds are limited.

 

FEDERAL DIRECT STAFFORD LOAN (FAFSA Required)  

Federal Direct Stafford loans typically pay to the student's account early in the semester after all financial requirements have been completed.  However, exceptions may apply as noted below.

Students applying for the loan for one semester only (ex: fall only) will receive funds in two disbursements.  The initial disbursement will credit early in the semester if the process was completed on a timely basis. The second disbursement will credit at the midpoint of the semester. The Cashier’s Office is aware of the regulation and will work with students in this situation.

Students receiving the first disbursement as a first time first year borrower (freshmen in the first semester) will receive funds thirty days after classes begin.  This federal regulation applies only to the initial semester.  The Cashier’s Office is aware of the regulation and will work with students in this situation.

Students applying for the loan for one semester only (ex: fall only) will receive funds in two disbursements.  The initial disbursement will credit ten days prior to the beginning of the term if the process was completed on a timely basis.  The second disbursement will credit at the midpoint of the semester.  The Cashier’s Office is aware of the regulation and will work with students in this situation.   

FEDERAL LOAN EXIT COUNSELING INTERVIEW

Please note that students who graduate, withdraw or drop below half time must complete a Federal Loan Exit Counseling Interview for all loan types at www.studentloans.gov. Half time for undergraduates is six (6) credit hours and for graduate students it is five (5) credit hours. The process for completing the Federal Loan Exit Counseling Interview is as follows:

• Go to www.studentloans.gov.
• Click “Sign In” on the top, left-hand corner
• Enter personal information including PIN (if you do not remember your PIN used when filing the FAFSA, click on the link to retrieve your PIN)
• Click “Sign In”
• Verify personal information is correct and select “Complete Exit Counseling” in the center of the webpage
• Begin the exit counseling session
• Follow the instructions provided, and click “complete exit counseling, next, continue, submit, etc.” until you receive a congratulatory confirmation for the exit counseling session

 

As you will see when completing the Federal Loan Exit Counseling Interview, there are numerous options for you to keep your loan in deferment. If you are unable to make payments, you must remain in close contact with your lender(s) to determine which deferment is best for you. DO NOT DEFAULT on your loan because you do have options!! Your lender(s) can assist you through the process.

 

Annual Limits  

	Dependent Student	Independent Student
	Maximum Combined Subsidized and Unsubsidized Stafford Loan (Effective July 1, 2008)	Maximum Combined Subsidized and Unsubsidized Stafford Loan (Effective July 1, 2008)
1st-yr.	$5,500	$ 9,500
2nd-yr.	$6,500	$10,500
3rd & 4th-yr.	$7,500	$12,500
Teacher Cert	$7,500	$12,500
Grad/Professional	N/A	$20,500

 

FEDERAL DIRECT PARENT PLUS LOAN (FAFSA Required) - Parents of dependent students may borrow up to the cost of attendance minus any financial aid that the student receives.  Parents begin repayment within 60 days of the final disbursement unless the lender grants deferment.  This loan is not automatically awarded.  To apply for the loan, a parent may go online to download the application. Applications for the upcoming fall/spring semesters will be available June 1.  The loan will not be processed through the federal government until mid-July.  The application must be completed and submitted to the Office of Student Financial Services for certification.  If the loan is not approved but denied, the dependent student may contact the Office of Student Financial Services to request additional funds through the unsubsidized Direct Loan Program.

 

FEDERAL DIRECT GRADPLUS LOAN (FAFSA Required) - Graduate students may borrow up to the cost of attendance minus any other financial aid awarded.  Typically graduate students at the University of Montevallo are not eligible for this loan for the fall/spring semesters because the Stafford loan covers the cost of attendance.  Contact the Office of Student Financial Services to advise the office that you want to apply for this loan.  Then access to download the application.  Applications for the upcoming fall/spring semesters will be available June 1. The loan will not be processed through the federal government until mid-July.  The application must be completed and submitted to the Office of Student Financial Services for certification.  The loan will be certified electronically if the student borrower is approved. 

 

ALTERNATIVE LOAN- Students may borrow non-federal loans to help with college expenses.  These non-federal loans are called alternative or private loans, and they may be combined with other aid as long as the total aid does not exceed the student's cost of attendance as determined by the University.  Numerous lending institutions offer alternative loans, and students are encouraged to research the student loan market for options. Make certain to tell the lender that the University of Montevallo processes alternative loans electronically through ElmResources. The University of Montevallo cannot recommend a lender.  This is the student's choice.  This guide is designed to help you through the alternative loan process.

• The FAFSA is not required for this loan, but students are encouraged to file the FAFSA to apply for low interest federal student loans first. There is also the possibility of receiving grants such as Pell Grant ranging from hundreds to thousands of dollars or other federal grants ranging from $1200 to $4000.
• Investigate alternative loan programs by checking with various lenders. Evaluate the program on the following features: Interest rates, fees, loan minimum/maximum (annual and aggregate), academic progress requirements, co-signer, enrollment status, citizenship requirements, repayment terms, benefits, and options.
• Select an alternative loan program and apply directly with the lender. Advise the lender to process electronically with the University of Montevallo through ELMResources.

Federal regulations require the student to request a Self-Certification Form from the Office of Student Financial Services before the lender can process the loan.  Therefore, it is recommended that students visit the Office of Student Financial Services immediately upon completion of an alternative loan application to have the Self-Certification Form completed.  The student has the responsibility of mailing the form to the lender of choice.

 

OUTSIDE RESOURCES

Prepaid Tuition Plan - Please check with your state for details.  For Alabama residents please contact the State of Alabama.

Benefits for Dependents of Veterans -

•       Check on your eligibility requirements with your local  VA representative or contact the Montgomery VA Office directly by phone 334-242-5077 or visit their website: http://www.va.state.al.us/scholarship.htm

• ·     Once your eligibility has been approved the VA Office will mail both you and University of Montevallo a certificate of eligibility which includes the number of semesters and years you may receive the scholarship

•       You do not have to send your copy of your certificate to UM. However, you might want to contact the Office of Student Financial Services to make certain the copy has been received.   

• ·     At the University of Montevallo the G.I. Dependent Scholarship only covers tuition and books (fees will not be covered).

• ·     Your tuition will automatically be covered once a valid certificate is received by UM and if you have eligible semesters remaining.

•       You may not see your scholarship credit to your account until a couple of weeks before the beginning of each term.

• ·     To receive your text books through your scholarship, you must present your student id card at the Barnes and Noble on-campus bookstore. They will then provide your books and UM will handle the payment.

•       Do not pay for your books out of pocket. The Montgomery VA will not reimburse any student directly for the purchase of their books.

If you have any questions or concerns about your Alabama GI Dependent Scholarship please contact the Office of Student Financial Services at 205-665-6050. 

 

Veterans Affairs Educational Benefits - The Coordinator of Veterans Affairs serves as a liaison for veterans and their dependents, assisting in obtaining benefits from the federal department of Veterans Affairs.  Students must be admitted and registered at the University before certification can be completed.  This service is located in the Registrar's Office on the second floor of Palmer Hall.

 

Vocational Rehabilitation - Contact the local state rehabilitation office for more details.

 

Outside Scholarship Sources