types of financial aid

Degree-seeking students who are U.S. citizens or eligible noncitizens enrolled in an eligible academic program can apply for federal financial aid as a means of assisting with financing their education. Student eligibility may be need-based, non-need-based, credit-based or dependent on other specific conditions.

BSMCON participates in the following financial aid programs:

Federal Pell Grants
For students who have not earned a baccalaureate degree or first professional degree. Eligibility is determined from the information you submit on the Free Application for Federal Student Aid (FAFSA) form. Part-time students are also eligible for these funds on a prorated basis.

Effective on July 1, 2012, you can receive the Federal Pell Grant for no more than 12 semesters or the equivalent: http://studentaid.ed.gov/types/grants-scholarships/pell/calculate-eligib....

For more detailed information on eligibility and how to apply for the federal Pell Grant, visit http://studentaid.ed.gov/types/grants-scholarships/pell.

Federal Supplemental Education Opportunity Grant
Additional gift assistance awarded to undergraduate students who also qualify for the Pell Grant, FSEOG is available to students who would not be able to attend College without this assistance. Funds are limited and awarded on a "first come" and "highest need" basis. These funds are also available to part-time students.

For more detailed information on eligibility and how to apply for the FSEOG, visit http://studentaid.ed.gov/types/grants-scholarships/FSEOG.

Iraq and Afghanistan Service Grant (IASG)
A student whose parent or guardian was a member of the U.S. Armed Forces and died as a result of service performed in Iraq or Afghanistan after Sept. 11, 2001, may be eligible to receive the Iraq and Afghanistan Service Grant.

For more detailed information on eligibility and how to apply for the IASG, visit http://studentaid.ed.gov/types/grants-scholarships/iraq-afghanistan-service.

Private Grants and Scholarships
Please refer to the College Catalog for more information regarding other Grants or Scholarships available through the College.

Federal Work Study (FWS)
FWS provides jobs for students with financial need. FWS encourages students to perform community service and work related to their courses of study to help pay for education expenses. Work-Study money is not paid until earned. Positions are available on-campus and off-campus.

William D. Ford Federal Direct Loan Program
The College now participates in the Direct Lending Program. Federal Stafford Loans will be processed through the federal government's William D. Ford Federal Direct Loan Program.

Federal Stafford Direct Loan Program (subsidized and unsubsidized)
These loans are for undergraduate, graduate and professional degree students. Student must be enrolled as at least a half-time to be eligible for a Stafford Direct Loan. There are two types of Stafford Direct Loans: subsidized and unsubsidized.

Direct Loans, from the William D. Ford Federal Direct Loan Program, are low-interest loans for eligible students to help cover the cost of higher education. Eligible students borrow directly from the U.S. Department of Education at participating schools.

Subsidized Direct Loans
Subsidized Direct Loans are for students with financial need. The College will review the results of the FAFSA and determine the amount a student can borrow. The student is not charged interest while enrolled in school at least half-time.

150% Limit on Direct Subsidized Loans
On July 6, 2012, the Moving Ahead for Progress in the 21st Century Act (MAP-21) (Public Law 112-141) was enacted. MAP-21 added a new provision to the Direct Loan statutory requirements that limits a first-time borrower’s eligibility for Direct Subsidized Loans to a period not to exceed 150 percent of the length of the borrower’s educational program. Under certain conditions, the provision also causes first-time borrowers who have exceeded the 150 percent limit to lose the interest subsidy on their Direct Subsidized Loans.

Note: Only first-time borrowers on or after July 1, 2013, are subject to the new provision. Generally, a first-time borrower is one who did not have an outstanding balance of principal or interest on a Direct Loan or on an FFEL Program Loan on July 1, 2013.

Beginning June 28, 2013, entrance counseling materials on http://ifap.ed.gov/eannouncements/attachments/051613DirectSubsidizedLoan... will, as a temporary measure, include a link to information regarding the 150 percent limit in the attached documents.

Unsubsidized Direct Loans
The student is not required to demonstrate financial need to receive an Unsubsidized Loan. Like subsidized loans, the College will determine the amount a student can borrow. Interest accrues (accumulates) on an unsubsidized loan from the time it is first paid out. The student can pay the interest while in school and during grace periods and deferment or forbearance periods, or can allow it to accrue and be capitalized (that is, added to the principal amount of the loan). If a student chooses not to pay the interest as it accrues, this will increase the total amount to be repaid because the student will be charged interest on a higher principal amount.

Terms and Conditions
Students who receive a Direct Loan are subject to the terms and conditions disclosed on the Federal Direct Loan Master Promissory Note (MPN), http://www.direct.ed.gov/mpn.html, and the Direct Loan Disclosure Statement, http://www2.ed.gov/offices/OSFAP/DirectLoan/pubs/dlplain.pdf.

Borrower’s Rights and Responsibilities
Students receiving federal financial aid have varying rights and responsibilities in accordance with the Borrower’s Rights and Responsibilities Statement, http://www2.ed.gov/offices/OSFAP/DirectLoan/pubs/dlrights.pdf, attached to the Master Promissory Note (MPN).

For more detailed information on eligibility and how to apply for the Federal Direct Loan Program, visit http://www.direct.ed.gov/.

PLUS Direct Loan (Parent Loan for Undergraduate Students)
PLUS Direct Loans are made to parents (natural or adoptive) of a dependent undergraduate student enrolled at least half-time ) to help pay their child’s education expenses as long as certain eligibility requirements are met. PLUS Direct Loan eligibility is dependent upon the applicant’s credit history. If it is determined that the applicant has adverse credit history, the applicant will have the option to pursue an endorser. If a parent is unable to secure a PLUS Direct Loan, the dependent student may be eligible for additional unsubsidized loans.

Terms and Conditions
Students whose parent(s) receive a PLUS Direct Loan are subject to the terms and conditions disclosed on the Federal PLUS Direct Loan Application and Master Promissory Note (MPN) at http://www.direct.ed.gov/mpn.html.

Borrower’s Rights and Responsibilities
Parents receiving federal financial aid have varying rights and responsibilities in accordance with the Borrower’s Rights and Responsibilities Statement, http://www2.ed.gov/offices/OSFAP/DirectLoan/pubs/plusrights.pdf, attached to the Master Promissory Note (MPN).

For more information about these programs or to complete the following tasks:

  • William D. Ford Federal Direct Loan e MPN (electronic Master Promissory Note)
  • Direct Loan Entrance Counseling (required of all borrowers prior to first disbursement)
  • Financial Awareness Counseling (required of all first-time borrowers)
  • Direct Loan Exit Counseling (required of all borrowers within 45 days of graduation)

Go to www.studentloans.gov.

Federal Direct Subsidized and Unsubsidized Annual Loan Limits
Federal Direct Subsidized and Unsubsidized Annual and Aggregate Loan Limits are as follows:

Grade Level Dependent Undergraduate Student Independent Undergraduate Student
1 (Freshman) $5,500
No more than $3,500 of this amount can be a subsidized loan.
No more than $3,500 of this amount can be a subsidized loan.
2 (Sophomore) $6,500
No more than $4,500 of this amount can be a subsidized loan.
No more than $4,500 of this amount can be a subsidized loan.
3 & 4 (Junior & Senior) $7,500
No more than $5,500 of this amount can be a subsidized loan.
No more than $5,500 of this amount can be a subsidized loan.
Maximum total loan debt (aggregate loan limits) $31,000
No more than $23,000 of this amount may be in subsidized loans.
No more than $23,000 of this amount may be in subsidized loans.

For final academic years less than 24 credits (graduating students in undergraduate degree or certificate programs that are greater than an academic year), loan limits will be prorated based on the number of credits in the final academic year divided by 24. Please note students may also receive less funding if they receive other financial aid used to cover a portion of cost of attendance.

A student whose parent cannot obtain a Parent Loan for Undergraduate Student (PLUS) loan is allowed to borrow additional unsubsidized federal Direct amounts. Student dependency status will be determined based on answers to questions on the FAFSA.

Interest Rate Cap for Military Members
During military service, students who qualify under the Service Members Civil Relief Act may have a 6% interest rate cap on the loans you obtained before entering military service. Qualifying students must contact their loan servicer to request this benefit.

In addition, no interest is charged (for a period of no more than 60 months) on Direct Loans first disbursed on or after Oct. 1, 2008, while a borrower is serving on active duty or performing qualifying National Guard duty during a war or other military operation or other emergency, and serving in an area of hostilities qualifying for special pay.

Education Loan Interest Rates and Origination Fees
For information regarding Federal Student Loan Interest Rates and Origination Fees, including those in effect as of July 1, 2013, please visit http://studentaid.ed.gov/types/loans/interest-rates

Alternative "private" Loans
Recommended by the College's Office of Financial Aid only after all other types of financing options (including federal loans) are considered – in order to assist in meeting a student's cost of attendance (COA).

As of February 14, 2010, students are required to provide any private loan lender with a signed Self Certification Form. The financial aid information needed to complete the form, (the student's cost of attendance and total amount of financial assistance) can be found at the bottom of the second page of the student's financial aid award letter. A calculation of the Cost of Attendance less Estimated Financial Assistance is provided.

At the present time there are two lenders that typically provide private loans to our students. They are: PNC Solution Loan for Health Professions at www.pnconcampus.com or Smart Options at www.salliemae.com The Office of Financial Aid is willing to work with any lender the borrower selects as long as they will agree to provide loan services to our students.

Other Resources
Students are required to disclose financial assistance that will be paid by a third party on their behalf. When a portion of a student’s cost of attendance is waived or paid by another source, other than federal financial aid, this is considered other resources. Examples of other resources include, but are not limited to, the following:

  • External grants and scholarships
  • College grants and scholarships
  • Tuition assistance
  • Military tuition benefits
  • University tuition discounts and waivers
  • University administration tuition and/or student account adjustments
  • Income from insurance programs that pay for the student’s education
  • Private loans
  • Private and state grants
  • Other financial assistance paid directly to the College

    Note: Adjustments to tuition due to an approved Leave of Absence, early payment discounts and cash payments made by the student will not count as other resources.

    A student must have financial need to receive all federal financial aid funds except for Unsubsidized and PLUS loans under the Direct Loans program. As such, a student’s expected family contribution and other resources will be subtracted from the cost of attendance when determining eligibility for federal financial aid (Title IV). All awards, including need and non-need-based aid, cannot exceed a student’s annual cost of attendance.

    If the College receives additional other resources that cause the student to exceed the cost of attendance, it will adjust the awards appropriately to eliminate the over-award. This may include reducing future disbursements for a second or subsequent payment period or returning awards to the funding source. Funds will be returned in the order most beneficial to the student.