2008 Woodie Awards
Students get financial boost from Congress
Kathleen Groves
Issue date: 7/24/08 Section: Front Page
As the price of attending college continues to increase, students may find hope in the availability of more financial assistance.
In May, Congress passed and President Bush signed the Ensuring Continued Access to Student Loans Act of 2008, meaning more federal financial aid and greater access to loans for students than ever before.
"President Bush and Congress have made this available to give students more money and access to go to school," said Marilyn Haverly, financial assistance director.
Under this act, undergraduate students may be eligible for an additional $2,000 in unsubsidized loans over two semesters. Also, students previously eligible for Pell Grants may see an increase of $421, from a maximum of $4,310 in the 2007-2008 school year to $4,731 for the upcoming school year.
"The Pell Grants are offered to students who have zero expected contribution from their parents and their own income," said Haverly.
Pell Grants do not need to be paid back after a student graduates, but loans do. The interest accumulated on subsidized loans is paid by the government, but unsubsidized loans accumulate interest that must be paid after a student graduates.
"I think it's great that we are doing something to help the students who need the extra financial assistance," said Haverly. "But I do wish it were subsidized instead of unsubsidized, so the students wouldn't have to pay the interest."
The federal unsubsidized loans have a fixed interest rate, while many private lenders set an initial interest rate that is subject to increase throughout the time the borrower is in school.
"It is still much better to get the federal unsubsidized loans than the alternative, a loan from a private lender," said Haverly.
To apply for financial aid, Pitt State students must first file a FAFSA, Free Application for Federal Student Aid. However, many students have already filed their FAFSA and have received their award letters for the upcoming semester.
To apply for the additional aid, students are asked to fill out a request form in the financial aid office.
"It's going to have to be a one-on-one situation with these additional loans," said Haverly. "The time of year for this is creating problems for this office for students who have already been awarded financial aid. But we want to work with the students. If they need the money, we are happy to help them."
The financial aid office is working to get the additional aid request forms processed in time for the fall semester.
"We are willing to do anything we can to get this money by the fall semester," said Haverly.
In May, Congress passed and President Bush signed the Ensuring Continued Access to Student Loans Act of 2008, meaning more federal financial aid and greater access to loans for students than ever before.
"President Bush and Congress have made this available to give students more money and access to go to school," said Marilyn Haverly, financial assistance director.
Under this act, undergraduate students may be eligible for an additional $2,000 in unsubsidized loans over two semesters. Also, students previously eligible for Pell Grants may see an increase of $421, from a maximum of $4,310 in the 2007-2008 school year to $4,731 for the upcoming school year.
"The Pell Grants are offered to students who have zero expected contribution from their parents and their own income," said Haverly.
Pell Grants do not need to be paid back after a student graduates, but loans do. The interest accumulated on subsidized loans is paid by the government, but unsubsidized loans accumulate interest that must be paid after a student graduates.
"I think it's great that we are doing something to help the students who need the extra financial assistance," said Haverly. "But I do wish it were subsidized instead of unsubsidized, so the students wouldn't have to pay the interest."
The federal unsubsidized loans have a fixed interest rate, while many private lenders set an initial interest rate that is subject to increase throughout the time the borrower is in school.
"It is still much better to get the federal unsubsidized loans than the alternative, a loan from a private lender," said Haverly.
To apply for financial aid, Pitt State students must first file a FAFSA, Free Application for Federal Student Aid. However, many students have already filed their FAFSA and have received their award letters for the upcoming semester.
To apply for the additional aid, students are asked to fill out a request form in the financial aid office.
"It's going to have to be a one-on-one situation with these additional loans," said Haverly. "The time of year for this is creating problems for this office for students who have already been awarded financial aid. But we want to work with the students. If they need the money, we are happy to help them."
The financial aid office is working to get the additional aid request forms processed in time for the fall semester.
"We are willing to do anything we can to get this money by the fall semester," said Haverly.
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