FINANCIAL AID
Federal Grants & Scholarships

Federal Pell Grant
The Federal Pell Grant is funded through the Department of Education to provide assistance to eligible students for their college education.  Based on the Federal formula, awards from $400 to $4,731 (2008-2009) are made to eligible students to help defray the costs of tuition, fees, and books.  The grant amounts vary depending upon student and/or parental financial need and annual government appropriations.

Federal Supplemental Educational Opportunity Grant  (FSEOG)
The Federal Supplemental Educational Opportunity Grant Program provides additional financial assistance for students with exceptional need.  The amount of this award at USC ranges from $100 to $2,000 per academic year based on Federal regulations and annual government appropriations.

Federal Family Education Loan Programs
      Federal Stafford Loans
USC participates in the Federal Family Education Loan (FFEL) program.  Loans are provided by traditional lending institutions and guaranteed by the Federal Government.  Federal student loans are offered to students without regard to age or credit history. 

Subsidized loans are awarded on the basis of financial need.  Students will not be charged any interest prior to repayment or during authorized periods of deferment.  The Federal Government “subsidizes” the interest during these periods.

Unsubsidized loans are not awarded on the basis of need.  Students are charged interest from the time the loan is disbursed until it is paid in full.  Students have the option to capitalize the interest; that is, let it accumulate and be added to the principal amount of the loan.  Capitalizing the interest increases the amount to be repaid.  If the student chooses to pay the interest as it accumulates, he/she will repay less in the long run.  Students can receive a subsidized loan and an unsubsidized loan for the same enrollment period.

      Borrowing Limits
The amounts given below are the maximum yearly amounts a student may borrow in both subsidized and unsubsidized loans.  A student may receive less than these yearly maximum amounts if he/she receives additional Financial Aid to cover a portion of his/her cost of attendance.

      A dependent undergraduate student at USC can borrow up to these amounts:
$3500 if he/she is a first-year student (0-30 credit hours) enrolled in a program of study that is at least a full academic year.

$4,500 if he/she has completed his/her first year of study (31+ credit hours) and the remainder of his/her program is at least a full academic year.

An independent undergraduate student or a dependent student whose parents are unable to get a Plus Loan, can borrow up to:
$7,500 if he/she is a first-year student (0-30 credit hours) enrolled in a program of study that is at least a full academic year (only $3,500 of this amount may be in a subsidized loan; the remainder will be unsubsidized).

$8,500 if he/she has completed his/her first year of study (31+ credit hours) and the remainder of his/her program is at least a full academic year (only $4,500 of this amount may be in subsidized loans; the remainder will be unsubsidized).

For periods of study that are less than an academic year, the amount the student can borrow is limited to one-half of the annual award each semester.

      Repayment
Repayment plans frequently incorporate minimum monthly payments of $50 over a ten-year term.  The interest rate for Federal student loans is variable, reset annually on July 1, and protected by a legal maximum.  Repayment of principal on Federal loans is deferred while a student is enrolled at least half-time (at least six credit hours) and for a six-month grace period thereafter.

Preferred Lenders
Utica School of Commerce provides students with a list of preferred Federal Stafford Loan/Federal PLUS Loan providers that have demonstrated quality customer service from the origination of the loan through repayment.

Although you have the right to choose any lender, we provide a list of established lenders to assist you in your selection.  For more information, please visit the specific lender’s website.  We recommend that you choose your lender wisely.

Neither Utica School of Commerce nor any of its employees receive benefits from lenders due to inclusion on the recommended list.  If you have prior outstanding loans, you may continue to use that lender.  Loan applications are available in the Financial Aid Office.

Federal Parent Loan for Undergraduate Students (PLUS)*
PLUS Loans enable parents with good credit histories to borrow in order to pay the education expenses of each child who is a dependent, undergraduate student enrolled at least half-time.

      Borrowing Limits
The yearly limit on a PLUS Loan is equal to the student’s cost of attendance, minus any other financial aid he/she receives.

      Repayment
Generally, repayment must begin within 60 days after the final loan disbursement for the academic year.  There are no grace periods for these loans.  This means that interest begins to accumulate at the time the first disbursement is made.  Parents must begin repaying both principal and interest while the student is in school.

      Other Federal Programs
Additional information is available from the Financial Aid Office on the following programs:

• U.S. Bureau of Indian Affairs Aid to Native Americans
• Veterans’ Administration Educational Benefits