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Financial Aid Glossary of Terms

A  B  C  D  E  F  G  H  I  J  K  L  M  N  O  P  Q  R S  T  U  V  W  X  Y  Z 

Glossary (source: selected US Department of Education glossary of terms and definitions for Federal Student Aid and MC web pages)


A

  • Apply - How to 
  • Award Conditions (PDF - 164 KB)
  • Ability to Benefit (ATB)
    In order for a student to be eligible for Title IV program assistance, a student must have earned a high school degree, its equivalent,completed home schooling, or be beyond the age of compulsory school attendance and pass an independently administered examination as approved by the U.S. Secretary of Education. See a financial aid office representative for details.
  • Academic Period
    The term of enrollment(usually  a semester).
  • Academic Year
    A period that begins on the first day of classes and ends on the last day of classes or examinations and that is a minimum of 30 weeks .  A total of 15 credits each semester may be required for a student to complete the program in two years.  
  • Additional Unsubsidized Federal Stafford Loan
    The additional amount of unsubsidized Stafford loans available to independent undergraduate students and dependent undergraduate students whose parents are unable to obtain a Federal PLUS Loan.
  • Adjusted Gross Income (AGI)
    All taxable income less IRS allowable adjustments to income. This figure is drawn from an individual's federal tax return.
  • Aggregate Loan Amount
    The total amount disbursed (less any amount repaid or cancelled) to a borrower under a given loan type throughout the borrower's academic career. This amount must not exceed applicable total loan limits, which are based on the students graduate/undergraduate status.
  • Aid Package
    A combination of financial aid (scholarships, grants, loans, and/or work-study) prepared by the financial aid office for an eligible recipient.
  • Allowable Charges
    Educational expenses that a student incurs for which the college may credit a student's account with Federal Student Aid (FSA) funds. These charges may be credited to a student's account and paid using FSA funds and the charges include current charges for tuition and fees.  Other current charges that a student incurs for educationally related activities may be considered allowable charges (such as bookstore charges, library fines, etc. ) if the school has the the students authorization on the Cash Management Form (or parent's authorization for PLUS Loan funds) to have such charges paid with FSA funds.
  • Amortization
    The process of repaying a loan over an extended period of time through periodic installment payments of principal and interest.
  • Annual Award
    The maximum Pell Grant a student would receive during a full academic year for a given enrollment status, EFC, and COA. (For a full-time student, the annual award will be the same as the Scheduled Award.)
  • Annual Loan Limit
    The maximum amount that a student may borrow at a particular grade level in one academic year.
  • Annual Percentage Rate (APR)
    Designed to measure the true cost of a loan, this is the equivalent interest rate including all added costs, e.g., fees and interest over the term of the loan. Usually expressed as a percentage.
  • Anticipated Completion (Graduation) Date
    The date on which a student is expected to complete an academic program.
  • Award
    A specific amount of financial assistance to pay for education costs offered to a student through one or more financial aid programs. The college makes a determination of the amounts and types of assistance it has available to offer to the student along with any other types of assistance the student may have received or will receive.
  • Award Letter
    An official document issued by a financial aid office listing the types and amounts of all the financial aid awarded to the student. Generally, the award letter includes information about the cost of attendance and terms and conditions for the financial aid. As of 2011-12 the award notification is sent via email.
  • Award Year
    The time period from July 1 of one year through June 30 of the following year for which financial aid awards are made.

 

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B

  • Borrower
    The person who receives loan funds and is legally obligated to repay those proceeds with interest at a future date per the conditions established in a promissory note.
  • Budget
    The total cost of attending MC for one academic year. The student's budget usually includes tuition, fees, room, board, books, supplies, travel, and personal expenses.

 

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C

  • Campus-Based Programs
    Federally funded financial aid programs that are administered by eligible participating schools. Campus-Based Programs include Federal Perkins Loans, Federal Supplemental Educational Opportunity Grants (FSEOG), and Federal Work-Study (FWS). Also see Fiscal Operations Report and Application to Participate (FISAP).
  • Cancellation
    Releasing a borrower from the obligation to repay all or a portion of his or her loan.
  • Capitalizing Interest
    A process in which interest that has accrued but has not been paid is added to the loan principal. By increases the amount of the principal capitalization increases the total amount that must be repaid over time.
  • Consortium Agreements (PDF - 160 KB)
  • Costs 
  • Cost of Attendance (COA)
    Costs related to a student's enrollment in an eligible degree or program for a defined academic period. COA components include tuition and fees, room and board, allowances for books and supplies, transportation, and miscellaneous personal expenses, along with other applicable expenses such as loan fees, dependent-care costs, etc. The EFC is subtracted from the COA to determine the student's need for aid.
  • Current Charges
    Charges assessed the student by the college for the current award year or the loan period for which the school certified or originated a FFEL or Direct Loan.

 

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D

  • Data Release Number (DRN)
    Information on the Student Aid Report (SAR) found on the upper right corner of the first page. This number is required to accurately identify the appropriate FAFSA data for release to additional schools.
  • Default
    Failure to repay a student loan according to the agreed-upon terms of a promissory note. Default occurs at 180 days when the delinquency date is prior to 10/7/98, and 270 days when the delinquency date is on or after 10/7/98. The school, lender, and state and federal governments may take legal action against the borrower to recover defaulted loan funds.
  • Deferment
    A period during which a borrower, who meets certain criteria, may suspend loan payments. For some types of loans, the federal government pays the interest during a deferment. On others, the interest accrues and is capitalized and the borrower is responsible for paying it.
  • Delinquency
    Failure to make monthly loan payments when due. Delinquency begins with the first missed payment.
  • Dependency Override
    Action taken by a Financial Aid Administrator (FAA) that changes a student's dependency status from dependent to independent.
  • Dependent Student
    A student who must provide parent information on the FAFSA. A dependent student is an undergraduate who is not married, is under 24 years of age, has no legal dependents, is not an orphan or ward of the court, nor a veteran of the U.S. Armed Forces.
  • Direct Loan (DL)
    A federal program,  called the William D. Ford Federal Direct Loan Program, through which the U.S. Government rather than a commercial lender provides four types of education loans to student and parent borrowers: Subsidized and Unsubsidized Stafford Loans for students, PLUS Loans for parents, and Consolidation Loans for all borrowers.
  • Disabled (see Disability Support Services at MC)
    An individual who is unable to work and earn money. Certain services are available at MC for students with disabilities.
  • Disbursement
    The process through which FSA program funds are paid to a student (or parent for PLUS Loan funds).
  • Discharge
    The release of a borrower from the obligation to repay their loan. See also Cancellation.
  • Disclosure Statement
    Summarizes the contents of a borrower's promissory note.

 

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E

  • EFC
    Expected family comtribution as measured by the results of the need analysis formula on the FAFSA using the federal methodology developed by the Department of Edication in conjunction with federal law.
  • Eligible Applicant/Student
    An eligible applicant is a student who has submitted a Free Application for Federal Student Aid (FAFSA) and who meets the eligibility requirements of the FSA programs. The student must be currently enrolled or be a prospective student at MC eligible to participate in the FSA programs.
  • Eligible Borrower
    A borrower or potential borrower who meets federal eligibility criteria for a Federal Stafford loan or, in the case of a parent borrower, a Federal PLUS loan.
  • Enrolled
    Any student who has completed the registration requirements (except for the payment of tuition and fees) at the institution that he or she is attending. Also a student who has been admitted into an educational program offered predominately by correspondence and who has submitted one lesson, completed by him or her and without the help of an institutional representative.
  • Enrollment Date
    The first date that the student was enrolled in an eligible program for the designated award year.
  • Enrollment Status
    An indication of a student's current status at the postsecondary institution. Status types include full-time, half-time, less than half-time, leave of absence, graduated, withdrawn, deceased, never attended, or no record found.
  • Entitlement
    Entitlement programs award funds to all qualified applicants. The Pell Grant is an example of such a program.
  • Entrance Counseling
    First-year, first-time students borrowing federal educational loans are required to receive counseling before they receive their first loan disbursement, during which the borrower's rights and responsibilities and loan terms and conditions are reviewed.
  • Exit Counseling (for a student borrower)
     For Federal Perkins Loan borrowers, the interview must take place before the borrower leaves school. In the case of FFEL and Direct Loan student borrowers, the interview must take place shortly before the borrower ceases to be enrolled at least half time.

 

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F

  • Family Education Rights and Privacy Act of 1974 (FERPA)
    Federal law that protects the privacy of student education records.
  • Federal Family Education Loan Program (FFELP)
    The Federal Stafford, Federal PLUS,  and Federal Consolidation Loan programs. These programs offer loans that are funded by private lenders, guaranteed by guarantors, and reinsured by the federal government.
  • Federal Interest Subsidy
    Assistance given by the federal government in which it pays the interest on a student's loan while the student is in school and during the grace period before loan repayment begins.
  • Federal Loan
    Loans guaranteed by the U.S. Government.
  • Federal Pell Grant Payment Schedule
    The schedule of Federal Pell Grant Awards. The Schedule is based on the EFC, the enrollment status, and the school COA. The schedule is usually posted in January on the IFAP Web site for the upcoming award year.
  • Federal Perkins Loan Program
    A Campus-Based loan program provides low-interest student loans to undergraduate and graduate students with financial need. See Campus-Based Programs.
  • Federal School Code
    A six-character number that ED assigns to each school that is eligible to participate in the FSA programs. A Federal School Code begins with 0 (zero), G, B or E and ends with a fivedigit number. When applying for federal student financial aid, students may list up to six Federal School Codes on their FAFSA to indicate which schools should receive their processed application data. The list of Federal School Codes is updated each year and is available online at: www.fafsa.ed.gov.
  • Federal Student Aid (FSA)
    The office within the U.S. Department of Education (ED) responsible for the overall management and administration of most of the Title IV programs and their operating systems.
  • Federal Student Aid (FSA) Programs
    Federal financial aid programs authorized by the Higher Education Act of 1965, as amended and administered by the U.S. Department of Education for the benefit of students attending postsecondary schools.
  • Federal Supplemental Educational Opportunity Grant (FSEOG)
    A federal Campus-Based grant program that provides grant assistance to undergraduate students who have not earned a bachelor degree or first professional degree. Priority in awarding Federal Supplemental Educational Opportunity Grant (FSEOG) funds is given to students who have exceptional financial need and are Federal Pell Grant recipients.
  • Federal Work-Study (FWS) Program
    A Federal Campus-Based employment program that provides funding to participating schools so that they can provide jobs to eligible undergraduate and graduate students with demonstrated financial need.
  • Financial Aid History
    Section on the SAR and ISIR that reports a student’s previous federal student financial aid, defaults, and overpayments as recorded in NSLDS. Also known as Financial Aid History. Also see Financial Aid Transcript.
  • Financial Aid Home Page
  • Financial Aid Package
    The total amount of financial aid (federal and nonfederal) such as scholarships, grants, loans, and/or work-study awarded to a student.
  • Financial Need
    The difference between the cost of attendance at a college and the expected family contribution.
  • Forbearance
    A temporary delay or reduction of loan payments agreed to by the lender and borrower. Interest continues to accrue during forbearance.
  • Free Application for Federal Student Aid (FAFSA)
    A student financial aid application form completed by students and parents to apply for federal student aid. The information provided is the source for all FSA need analysis computations, including the student's
  • Full-time Student
    A student enrolled in postsecondary education (other than a student enrolled in a program of study by correspondence) who is carrying a full academic workload as determined by the school under standards applicable to all students enrolled in that student's particular program. The student's workload may include any combination of courses, work, research, or special studies, whether or not for credit, that the school considers sufficient to classify the student as a full-time student.
  • Foundation Scholarships (PDF - 1.18 MB)

 

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G

  • General Information and Policies (PDF - 135 KB)
  • Gift Aid
    Financial aid, such as grants and scholarships, that does not need to be repaid.
  • Grace Period
    Specified period of time between the date a student graduates or drops below half-time status and the date loan repayment begins.
  • Grade Level
    A student's academic class level, as provided by a school official on the student's application and promissory note.
  • Grade Point Average (GPA calculator )
    An average of a student's grades where the grades have been converted to a numerical scale.
  • Graduated Repayment
    A repayment schedule where the monthly payments are smaller at the start of the repayment period and become larger later on.
  • Grant
    A form of financial aid that does not have to be repaid.
  • Grant Programs
    Gift-aid programs that require neither repayment nor a work obligation from students. Federal Title IV grant programs are the Federal Pell Grant Program, the Federal Supplemental Educational Opportunity Grant (FSEOG) Program, and the Leveraging Educational Assistance Partnership (LEAP) Program.
  • Grants and Scholarships
  • Gross Income
    Income before taxes, deductions, and allowances have been subtracted.
  • Guarantee Fee
    A fee charged by a guarantor for each loan it guarantees.
  • Guarantor or Guarantee Agency
    State or private non-profit agencies that insure student loans for lenders and administer the student loan insurance program for the federal government.

 

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H

  • Higher Education Act (HEA)
    Federal legislation passed in 1965, and its subsequent amendments and reauthorizations (most recently in 1998), authorizing the majority of Federal postsecondary student financial aid programs and mandating that the programs be regulated and administered by the Secretary of Education.
  • Holder
    The institution that owns a loan usually a bank, school, guarantor, or the federal government.
  • Home School
    The school where a student attending through a contractual or consortium agreement is enrolled in an eligible degree or certificate program. In a study abroad agreement, the home school must be located in the United States.

 

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I

  • Immigration and Naturalization Service (INS)
    Note: This agency has been renamed U.S. Citizenship and Immigration Services (USCIS) and is now a bureau of the Department of Homeland Security. Some FSA references still refer to INS.
  • Incarcerated Student
    Students incarcerated in federal or state correctional facilities are not eligible to receive most FSA aid. However, students incarcerated in local correctional facilities might be eligible for Federal Pell Grant, FSEOG, and LEAP funds.
  • Income
    The amount of money received from employment (salary, wages, and tips), profit from financial instruments (interest, dividends, and capital gains), or other sources (welfare, disability, child support, unemployment benefits, Social Security, and pensions).
  • Independent Student
    An applicant for FSA program assistance who meets certain criteria. To be classified as an independent student for FSA purposes, a student must meet at least one of the following criteria: (a) be at least 24 years old by December 31 of the award year for which aid is sought; (b) be an orphan or be (or have been until the age of 18) a ward of the court; (c) be a veteran of the Armed Forces of the United States; (d) have legal dependents other than a spouse; (e) be a graduate or professional student; or (f) be married.
  • Ineligible Borrower
    A borrower or potential borrower who does not meet federal eligibility criteria for a FSA student loan or, in the case of a parentborrower, a PLUS loan.
  • In-School
    The period during which borrowers are enrolled.
  • Institutional Loan
    Loans specific to a college, university, or other post-secondary school and made from school funds. Eligibility and loan characteristics do vary among colleges.
  • Institutional Student Information Record (ISIR)
    An electronic output document generated by the CPS that summarizes information provided on a student’s FAFSA. Also provides the result of the EFC calculation, results of eligibility matches with certain databases, reject reasons, comments, and data assumptions. It is available to schools through the Electronic Data Exchange (EDE).
  • Interest Benefits
    The interest payments (benefits) made by ED to an FFEL Program lender on behalf of a student. These payments are based on the student’s subsidized Federal Stafford Loan interest rate, but only during certain periods: the student’s enrollment (at least half time), the grace period, or any authorized deferment period. Interest benefits are not paid on unsubsidized Federal Stafford Loans. See Special Allowance.
  • Interest
    A fee charged to the borrower for use of a lender's money.
  • Interest Rate
    The percentage of a sum of money charged to a borrower for its use.
  • Interest Subsidy
    See Federal Interest Subsidy.

 

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J

 

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K

 

 

 

 


L

  • Loans
  • Late Fee
    A fee that may be assessed if a scheduled payment is not made by the due date.
  • Leave of Absence
    A break in enrollment, not including semester or spring break(s), requested by the student and sanctioned by the school. A student on an approved leave of absence is not a withdrawal.
  • Lender
    A financial institution that provides funds to a borrower.
  • Loan
    An advance of funds guaranteed by a signed promissory note in which the recipient of the funds promises to repay a specified amount under prescribed conditions. A financial source that is available to students and their parents through student loan programs with varying interest rates and repayment provisions to supplement the family's financial resources, scholarships, and grants.
  • Loan Balance
    The total unpaid amount of a specific loan. This sum includes outstanding principal, capitalized interest, accrued interest, late charges, and any miscellaneous fees such as returned check fees.
  • Loan Disclosure Statement
    A statement sent to a loan borrower by the lender before or at the time a loan is disbursed, as well as before the start of the repayment period. The purpose of the disclosure statement is to provide the borrower with thorough and accurate information about the loan terms and the consequences of default.
  • Loan Payoff Calculator
    Online feature that displays how much a borrower would save by paying off his or her loan immediately.
  • Loan Period
    The period of enrollment for which a loan application is certified. Also known as period of enrollment.

 

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  • MPN - Master Promissory Note 
    The legal document that requires a student loan borrower to repay the funds borrowed under the Direct Loan Program or under the Federal Family Educational Loan Program. Use of the MPN form simplifies the loan process by eliminating the need for eligible students to complete a promissory note every year they borrow.
  • Merit Based
    A means of determining eligibility for certain types of financial aid using merit, such as a specific accomplishment or talent as the determining factor, rather than financial need.

 

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N

  • Need
    The difference between the Cost of Education (COE) and the Expected Family Contribution (EFC) is the student's financial need. It is the gap between the cost of attending the school and the student's resources.
  • Need Analysis
    The process of determining the student's Expected Family Contribution (EFC) based on the formula established by Congress. Also known as Federal Need Analysis Methodology and Federal Methodology.
  • Need-Based
    A means of determining eligibility for certain types of financial aid using financial need as the determining factor.
  • Non-Subsidized Loan
    A loan that is not eligible for federal interest benefits. The borrower is responsible for paying the interest on the outstanding principal balance of a non-subsidized loan throughout the life of the loan. During the in-school, grace, and deferment periods, these interest payments are normally made on a monthly or quarterly basis, or are capitalized.

 

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  • Plus Loans
  • Packaging
    The process of determining the types and amounts of financial aid awards (loans, grants, scholarships, and employment) and offering those awards to a student.
  • Parent
    A student's biological or adoptive mother or father or the student's stepparent, if the biological parent or adoptive mother or father has remarried at the time of application.
  • Parent Loans for Undergraduate Students (PLUS)
    PLUS loans enable parents to borrow federal funds to pay the education expenses of each child who is a dependent undergraduate student.
  • Parent's Contribution
    The amount parents can be expected to contribute each year to the cost of the student's education as determined by the Federal Methodology.
  • Past Due Amount
    The current amount delinquent on the loan
  • Payment Period
    A school-defined length of time for which financial aid funds are paid to a student. For college programs using academic terms (semester), a payment period is equal to a term. The period for which a Stafford or PLUS loan is intended. Also referred to as the loan period.
  • Perkins Loans 
  • Personal Identification Number (PIN)
    An identifier that allows students and parents to access their personal information in ED systems, The PIN is also used to electronically sign the FAFSA and make corrections electronically to data submitted. A PIN should always be protected, and never provided to anyone other than the person for whom it was created.
  • Portable Document Format (PDF) 
    A file format developed by Adobe Systems that presents a document electronically as it would appear on paper.
  • Private Loans
    Private loans provide supplemental funding when other financial aid does not cover costs. Banks or other financial institutions and schools offer these loans (not sponsored by government agencies) to parents and students.
  • Professional Judgment (PJ)
    A provision in the Higher Education Act allowing financial aid administrators to adjust the data elements used to calculate the student's EFC. The exercise of professional judgment may increase a student's eligibility for financial aid. Professional judgment can be used only on a case-by-case basis, and the reason must be documented in the student's file.

 

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Q

 

 

 

 


R

  • Refund
    The return of interest or excess cash to ED from GAPS drawdowns or the return of audit and program review liabilities and fines. For a student who withdraws, the required return of funds by MC to the Title IV programs is called the "Return of Title IV funds."  Sometimes used by the Finance Office  to refer to the distribution of a credit balance to a student.
  • Refund Policy
    A Montgomery College policy that determines the conditions under which a student is entitled to a refund of payments made to the college, or whether the student owes the college for outstanding charges.
  • Regular Student
    A person who is enrolled or accepted for enrollment at MC for the purpose of obtaining a degree, or certificate offered by the college.
  • Rehabilitation (of a defaulted loan)
    A process by which a borrower may bring a loan out of default by adhering to specified repayment requirements.
  • Reinstatement (of borrower FSA eligibility)
    A process by which a borrower with a defaulted FSA loan may regain eligibility for FSA aid by adhering to strict repayment requirements.
  • Rejected ISIR/SAR
    When significant information is missing, incomplete, or contradictory, the CPS cannot calculate an EFC and the record is rejected.
  • Renewal FAFSA
    A FAFSA that is pre-populated with the student's prior year data and used for updating for the upcoming (next) award year. To use the Renewal FAFSA, the student must have an eligible FAFSA transaction for the preceding award year. The student may access the Renewal FAFSA via the Web.
  • Repayment
    The time during which a borrower actively pays back an education loan.
  • Repayment Period
    The period during which interest accrues on a borrower's loan and principal payments are required. The repayment period excludes any period of authorized deferment or forbearance.
  • Repayment Schedule
    A legal addendum to a Promissory Note stating the terms of loan repayment and fulfilling disclosure requirements. The Repayment Schedule is a plan that indicates the total principal and interest due, an installment amount, and the number of installments required to pay the loan in full. The Repayment Schedule also contains the interest rate for the loan(s) included on the schedule, the due date of the first and subsequent installments, and the frequency of installments.
  • Repayment Start Date
    The date the repayment period begins. For Federal Stafford loans, repayment begins on the day following the last day of the grace period. For Federal PLUS, repayment begins on the date the loan is fully disbursed.
  • Return of Title IV Funds (R2T4)
    When a recipient of Title IV aid withdraws from an institution during a payment period or period of enrollment in which the recipient began attendance, the institution must calculate the amount of Title IV aid the recipient earned and return the unearned portion that it is responsible for and notify the student of any amount the student must return.

 

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S

  • SAR/ISIR Comment Codes and Text
    Companion document to the EDE Technical Reference. It can be used as a stand-alone guide for interpreting the Student Aid Report (SAR) and ISIR comment codes and text.
  • Satisfactory Academic Progress (SAP) (PDF - 83 KB)
    The qualitative (grade point average) and quantitative (time limit) measure of a student's progress toward completing a program of study. To maintain eligibility for FSA program assistance at MC, the student must show continued progress. MC has established policies regarding satisfactory academic progress.
  • Scheduled Award
    In the Pell Grant program, the amount a student may receive during an academic year for a given cost of attendance (COA) and Estimated Family Contribution (EFC). The Scheduled Award assumes a student is enrolled full time for a full academic year.
  • Scholarships
    A form of financial assistance that does not have to be repaid. Scholarships may be awarded based on any number of criteria, such as academics, achievements, hobbies, talents, and affiliations with various groups, or career aspirations. 
  • Stafford Loans Exit Counseling 
  • Student Employment - FWS 

 

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T

  • Taxpayer Identification Number (TIN)
    A unique nine-digit number assigned by the Internal Revenue Service used by ED to identify organizations receiving funds from the Department.
  • TEACH Grant (PDF - 243 KB)
  • Teacher Shortage Area
    A federally designated geographic area, grade level, academic, instructional, subject matter, or discipline that has been classified as a shortage area as defined by the Department.
  • Third Party Servicer
    An individual or organization that enters into a contract (written or otherwise) with a school to administer any aspect of the institution's FSA participation.
  • Title IV Withdrawal/Refund Policy (PDF - 73 KB)
  • Transfer
    To help meet their student's need, schools may transfer funds from certain Campus-Based programs into certain other Campus-Based programs. In all cases, funds transferred that are unexpended at the end of the award year must be transferred back to the original program, and all transfers must be reported on the FISAP.
  • (NSLDS) Transfer Student Monitoring Process
    The four-step process FAAs use to automatically receive information from the NSLDS database pertaining to the federal student aid eligibility of midyear transfer students. The four steps to the process are: Inform, Monitor, Alert and Review.
  • Transaction Number
    Transaction numbers show the number of times the student's FAFSA information has been processed. New transactions can be caused by corrections made by either the student or a school, or they can be caused by automatic functions in the U.S. Department of Education, such as a change in the reported loan information and status with the National Student Loan Data system (NSLDS). Each time a FAFSA or a correction to a SAR/ISIR is processed, a transaction number is created. The transaction number is located in the lower right corner on each page of a paper Student Aid Report (SAR), right after the Social Security Number (SSN) and the first two letters of the last name.
  • Tuition
    The amount of money charged for instruction and use of educational facilities such as libraries.

 

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U

  • Unearned Aid
    In a Return calculation, the difference between Title IV aid that was disbursed or could have been disbursed for the payment period or period of enrollment and the amount of Title IV aid that was earned when a student withdrew.
  • U.S. Department of Education (ED, The Department)
    Federal department that administers the Title IV programs.
  • Undergraduate Student
    A degree-seeking student at MC who has not earned a first bachelor's degree.
  • Unemployment Benefits
    Temporary and partial wage replacement to workers who have become unemployed.
  • Unsubsidized Loan
    An unsubsidized (unsub) loan is a loan given to a student not eligible for (or who has exhausted his/her eligibility for a subsidized loan) that will begin accruing interest charges from the disbursement date forward. Interest is charged on these loans from the date of disbursement. While the student is in school, in the grace period, or in deferment, students may elect to make pay the interest or have it capitalized and added to the principal.
    Data on the SAR/ISIR that has been updated to reflect changes in a student's situation after the FAFSA was signed. Allowable updates are limited to changes in dependency status (for reasons other than a change in the student's marital status), household size and number in college.
  • U.S. Citizenship and Immigration Services (USCIS)
    The agency of the Department of Homeland Security (DHS) responsible for enforcing the laws regulating the admission of foreign-born persons (i.e., aliens) into the United States. The CPS conducts a match of FAFSA data against this agency's database to confirm the student's identification and eligibility for federal student financial aid. This match is known as the "DHS Match".

 

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V

  • Valid ISIR/SAR
    Institutional Student Information Record (ISIR) or Student Aid Report (SAR) having a calculated EFC, accurate and complete data, and no "C" codes. Also referred to as Valid Output Document.
  • Variable Interest Rate
    An interest rate that is recalculated on a periodic basis, usually based on the prime rate or the T-bill rate. For FSA loans, this rate changes yearly on July 1.
  • Verification
    The process a school follows to check the accuracy of the information reported by the student on the FAFSA. The information reported is compared against documents, such as signed federal tax forms and signed Verification Worksheets, the student provides to the college.
  • Verification Worksheet
    A form sent by a school to students who are selected for verification by the Department of Education's Central Processing System (CPS).
  • Veteran
    For FSA purposes, such as determining dependency status, a veteran is a former member of the U.S. Armed Forces who served on active duty (other than for training purposes) and was discharged other than dishonorably.
  • Veterans Affairs (VA)
    The federal agency responsible for administering and managing the education, health care and financial assistance benefits of U.S. veterans and their families. The CPS conducts a match of FAFSA data against this agency's database to confirm the student's veteran status.

 

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W

  • Withdrawal Date
    The date the student withdraws, as determined by the school.
  • Work-study (Federal Work-Study Program)
    A Campus-Based program, awarded by the college, in which eligible students work part-time to help fund their education.

 

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X

 

 

 

 


Y

  • Year
    The school year generally is considered to be an academic year beginning with the start of the fall semester and ending with the last day of the spring semester.

 

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Z

  • Zero Balance
    The student account shows no money owed to the college and no expected refund disbursement.

 

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Montgomery College

Montgomery County, MD

240-567-5000

©2014, Montgomery College