Need-based Financial Aid

A variety of financing options are available to students to help finance the cost of education. Allegheny College Office of Financial Aid recommends that you compare the following loans among your many choices, if additional financing is needed.

Application (Complete FAFSA online by Feb. 15)

Financial need is defined as the amount of the annual educational expense that cannot be met through family resources. This amount is determined by the Allegheny Financial Aid Office in an evaluation of the information collected on the Free Application for Federal Student Aid (FAFSA). The FAFSA must be completed annually by all students seeking need-based financial assistance. The student and one parent each need a Federal Student Aid PIN to sign electronically.

All first-time aid applicants are encouraged to submit a completed FAFSA not earlier than January 1 and not later than February 15 in the year of application. Students returning to Allegheny are asked to file their FAFSAs by March 15. Applications filed after March 15 will be considered late, and equal consideration for all forms of financial aid cannot be guaranteed. The FAFSA should be completed on-line. Allegheny College, Federal Code 003230, should be listed as one of the six choices on the FAFSA.

First-time aid applicants who apply for financial aid by February 15 will be notified of aid eligibility by April 1. Returning students with completed financial aid applications by April 1 will be notified of aid eligibility by the second week of June.

Verification

Allegheny College is required by federal regulations to verify the accuracy of selected students' aid applications. Allegheny reserves the right to verify information provided by all financial aid recipients. Financial aid eligibility will not be finalized until all requested documentation, including federal tax returns and completed verification forms (provided by the Financial Aid Office) are received. Financial aid offers are subject to change based on the accuracy of information submitted on the FAFSA.

 

Sources of Need-based Aid

Institutional Aid

Allegheny College provides grants to students on the basis of financial need as demonstrated through the filing of the FAFSA. In 2006-2007, Allegheny provided more than $23 million in institutional grant and scholarship assistance.

Federal Aid

Federal financial aid programs are available in the form of grants, loans and employment. They require the student to maintain at least half-time status (minimum of six credit hours per semester).

• Pell Grant: Through this federally funded grant program, a student may be entitled to receive up to $4,310 per year. Application is made through the FAFSA. The application timetable begins January 1 of the year in which the student anticipates fall term enrollment and ends May 1 of the following calendar year. For full-time eligibility, the student must enroll in a course load of 12 semester hours in any given semester.
• FSEOG: This grant (non-repayable) fund provides monies for Allegheny College to offer to students who demonstrate exceptional financial need. Recipients must be eligible for the Federal Pell Grant program.
• Federal Academic Competitiveness Grant (ACG): An eligible student may receive an Academic Competitiveness Grant (AC Grant) of up to $750 for the first academic year of study and up to $1,300 for the second academic year of study. To be eligible for each academic year, a student must:
  • Be a U.S. citizen;
  • Be a Federal Pell Grant recipient;
  • Be enrolled full-time in a degree program;
  • Be enrolled in the first or second academic year of his or her program of study at a two-year or four-year degree-granting institution;
  • Have completed a rigorous secondary school program of study (after January 1, 2006, if a first-year student, and after January 1, 2005, if a second-year student);
  • If a first-year student, not have been previously enrolled in an undergraduate program; and
  • If a second-year student, have at least a cumulative 3.0 grade point average on a 4.0 scale for the first academic year.
• Federal National Science and Mathematics Access to Retain Talent (SMART): A National SMART Grant will provide up to $4,000 for each of the third and fourth years of undergraduate study to full-time students who are eligible for a Federal Pell Grant and who are majoring in physical, life, or computer sciences, mathematics, technology, or engineering or in a foreign language determined critical to national security. To be eligible for each academic year, a student must:
  • Be a U.S. citizen;
  • Be a Federal Pell Grant recipient;
  • Be enrolled full-time in a degree program;
  • Be enrolled in a four-year degree-granting institution;
  • Major in physical, life or computer science, engineering, mathematics, technology, or a critical foreign language; and
  • Have at least a cumulative 3.0 grade point average on a 4.0 scale

• The Federal Stafford Loan program offers both need-based financial assistance and non-need-based assistance.
  • 6.8% fixed interest rate
  • Federal Stafford Loans must be repaid
  • Must complete FAFSA to be eligible
  • $3,500 limit for first year students
  • $4,500 limit for sophomores
  • $5,500 limit for junior and senior years, up to $23,000 for undergraduate studies
  • Subsidized (need-based) accrues no interest while student is enrolled at least half-time.
  • Repayment begins six months after the student is no longer enrolled at least half-time or has graduated.
    How to Apply/Loan Instruction Sheet
    Stafford Loan Lender Comparison - ELMSelect

• Federal Perkins Loan is a federally funded loan and is based on demonstrated need.
  • Fixed 5% interest rate
  • Federal Perkins Loans must be repaid
  • The maximum award is $4000 per year
  • Repayment begins 12 months after enrollment is less than half-time
  • Supplement to the lower Stafford loans offered during the first two years of enrollment.
  • The amount of the Perkins Loan is determined by Allegheny based on available funding levels.
    How to Apply/Loan Instruction Sheet

• PLUS (Parent Loan for Undergraduate Study) is not need based.
  • Available to parents of enrolled dependent students.
  • Parents may borrow the full cost of education less any financial aid received
  • 8.5% fixed interest rate
  • Borrower must be a U.S. citizen or permanent resident
  • Interest begins to accrue on the loan from the date of the first disbursement
  • Repayment begins within 60 days of full disbursement unless other arrangements have been made with the lender
  • 3% origination fee is automatically deducted from the disbursement of the loan
  • Federally-determined independent students and dependent students whose parents do not qualify for the Federal PLUS are eligible to borrow additional unsubsidized Stafford Loans up to the following amounts: $4,000 each of the first two years, then $5,000 each year for up to three additional years of undergraduate study.
    How to Apply/Loan Instruction Sheet
    PLUS Loan Lender Comparison - ELMSelect
• Federal Work-Study (FWS): This federally subsidized program provides funding for employment to students who demonstrate financial need. Eligible students may find employment on campus or in positions available at local non-profit agencies that have contractual arrangements with the College. Participating students usually work an average of 10 to 12 hours per week when school is in session. Employees under this program receive monthly paychecks for work performed under FWS. New employees are paid at least the minimum federal hourly wage; higher rates of pay are possible. More Information.

Alternative Student Loans

Please read our 2008-09 Alternative Student Loan Information

State Grants

Application for state grant assistance must be made each year by completing the FAFSA. For Pennsylvania residents, the FAFSA must be completed by May 1. Pennsylvania State grants range up to $4,500 per academic year and are contingent upon the student maintaining full-time status (12 semester hours per semester) and academic progress (the successful completion of at least 24 semester hours per academic year).

Other states - including Connecticut, Delaware, Maine, Massachusetts, Ohio, Rhode Island, Vermont and West Virginia - permit grants from their state agencies to be used at Pennsylvania institutions for full-time study.

Community Scholarships and Other Grant/Benefit Assistance

Private funds in the forms of scholarships or grants are frequently awarded by various clubs and organizations within the student's home community. All outside scholarships become part of the student's financial aid award. Usually the effect of the outside scholarship will be to increase the total financial aid package by one-half of the scholarship's value. When that is not possible (federal need is maximized), one-half of the value of the outside funding will reduce the student's self-help component (loan and work) of the financial aid package. In either case, the remaining one-half of the funding will reduce the Allegheny Grant. This policy enables the Financial Aid Office to allocate the necessary Allegheny Grant funding to more students than it otherwise could.

Receipt of Funds

With the exception of a work award and some community scholarship and grant/benefit programs, which may make their awards directly payable to the individual, financial aid sources are credited directly to the student's College account. Funding handled directly through Allegheny is normally divided into two equal amounts and disbursed before each semester.

Instead of a deduction to the College bill, work awards allow students to earn money through employment on campus or an approved off-campus non-profit agency. Students receive paychecks once per month for actual earnings.

In the case of all federal programs, the Financial Aid Office is required to collect signatures on various forms before the money can be disbursed. Failure to sign the appropriate forms in a timely manner may result in the withholding of funds from the students' accounts.

Certification of Veterans

Allegheny College is approved for veterans' educational benefits. The Financial Aid Office has responsibility for certifying the enrollment of veterans and other eligible dependents of veterans. Inquiries regarding eligibility for benefits, application procedures and receipt of benefits may be directed to this office. Students who are receiving educational benefits should notify the Financial Aid Office of any changes in their student status. The College is required to report changes in enrollment status to the Veterans' Administration. The Veterans' Administration will also be notified when a student is suspended, dismissed or does not meet the academic progress requirements after serving a probationary period of two semesters.

Scholarship Search

www.finaid.org
www.pheaa.org
www.fastweb.com