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Federal Credit Union

                Paying for College
                    Kelsey Balcaitis
                    March 21, 2012



aplusfcu.org          Federal Credit Union   800-252-8148
COLLEGE COSTS:
     The Good, The Bad, The Ugly



aplusfcu.org       Federal Credit Union   800-252-8148
THE UGLY


aplusfcu.org   Federal Credit Union   800-252-8148
Cost of College
                      Tuition
                      + Fees
                    + Housing
                     + Food
                     + Books
                + Transportation
                + Miscellaneous
               Cost of College

aplusfcu.org       Federal Credit Union   800-252-8148
Cost of College, 2011-12




SOURCE: The College Board, Trends in College Pricing 2011, Figure 1.


  aplusfcu.org                                 Federal Credit Union    800-252-8148
2011-2012 College Costs
                        In-State 4           Out-of-              4 Yr. Private          Public 2 Yr.
                        Yr. Public           State 4 Yr.
                                             Public
Published               $8,244               $20,770              $28,500                $2,963
Tuition and
Fees
Change from             8.3%                 5.7%                 4.5%                   8.7%
2010-2011
Average Total           $17,131              $29,657              $38,589                NA
Charges*
Change from             6.0%                 5.2%                 4.4%                   NA
2010-2011

* Includes tuition, fees, room and board Source: College Board, Trends in College Pricing 2011


aplusfcu.org                               Federal Credit Union                                  800-252-8148
Graduating and In Debt

Avg. student loan debt is on the rise


                                                2010:
                                                $25,250
                          2008:
                          $23,200
                                                  And don’t forget:
               2004:                               $3,200 in credit
               $18,650                               card debt!


aplusfcu.org             Federal Credit Union             800-252-8148
THE BAD


aplusfcu.org   Federal Credit Union   800-252-8148
Little Glimmers
• Between 2005-06 and 2010-11, federal grant
  aid to undergrad and grad students
  increased by 141%

• Between 2005-06 and 2010-11, savings to
  taxpayers through federal tax credits and
  deductions for education increased by
  108%



aplusfcu.org      Federal Credit Union   800-252-8148
Little Glimmers
• In 2010-2011, $227.2 billion in financial aid
  was distributed to undergrad and graduate
  students in the form of grants, Federal Work-
  Study, federal loans, and federal tax credits
  and deductions.

• In 2010-2011, students borrowed around $7.9
  billion in loans from state and private
  sources.

aplusfcu.org       Federal Credit Union   800-252-8148
Little Glimmers
• Average net tuition and fees for in-state
  students only increased by about $170 in
  2011 dollars


                   Grant aid,
   Published         federal
                                         Net Tuition
    Tuition        education
                   tax credits




aplusfcu.org      Federal Credit Union     800-252-8148
Little Glimmers




SOURCE: The College Board, Trends in College Pricing 2011, Figure 7.



aplusfcu.org                                 Federal Credit Union      800-252-8148
THE GOOD


aplusfcu.org   Federal Credit Union   800-252-8148
Is it even worth it?
 Yes.




aplusfcu.org   Federal Credit Union   800-252-8148
Is it even worth it?
                     Lifetime Earnings Relative to High School Graduates
    Earnings Ratio




                                                     Source: Education Pays 2010, College Board


 aplusfcu.org                     Federal Credit Union                      800-252-8148
Is it even worth it?
• In 2008, median family income:
   • Bachelor’s degree $101,099
   • High School diploma $49,414

• Non-financial benefits
  • Better health and quality of life
  • Access to employer paid benefits



aplusfcu.org      Federal Credit Union   800-252-8148
SHOW ME THE MONEY




aplusfcu.org        Federal Credit Union   800-252-8148
No Right Way
                                      Source: How America Pays for
                                           College 2011, Sallie Mae




aplusfcu.org   Federal Credit Union             800-252-8148
FINANCIAL AID




aplusfcu.org      Federal Credit Union   800-252-8148
Federal Student Aid
• Money from the Federal Government to help pay
  for a postsecondary education

• Covers expenses such as tuition and fees, room and
  board, books and supplies, and transportation

• Three main categories:
   • Grants
   • Work-study
   • Loans


aplusfcu.org        Federal Credit Union     800-252-8148
Other Financial Aid
• Can get money from other sources:
  • State grants
  • Institutional grants
  • Scholarships
  • Private loans




aplusfcu.org      Federal Credit Union   800-252-8148
FAFSA




aplusfcu.org   Federal Credit Union   800-252-8148
FAFSA?
• FREE Application for Federal Student Aid
• Online and paper versions



               fafsa.ed.gov

aplusfcu.org      Federal Credit Union   800-252-8148
Why FAFSA?
• Only way to receive federal financial aid
  • Federal Stafford Loans
  • Grants
  • Work-study
• Collects information about the student
  and his/her family to determine need



 aplusfcu.org    Federal Credit Union   800-252-8148
FAFSA Timeline

• Begin anytime after
  January 1st of the
  student’s senior year
  and while in college
• Need to complete
  before colleges’
  deadlines


aplusfcu.org    Federal Credit Union   800-252-8148
What Students Will Need
• Social Security Number or Alien Registration
  Number
• Driver’s License or equivalent
• Prior year’s Federal Tax returns*
• Prior year’s untaxed income records*
• Prior year’s bank statements*
• Prior year’s business and investments records*
• Federal Student Aid PIN*
   • pin.ed.gov
                                            *for students and parents

aplusfcu.org         Federal Credit Union                  800-252-8148
Financial Aid Process
1. Complete the FAFSA after January 1.
   • Check school specific deadlines
   • Fill out as soon as possible!

2. Review the Student Aid Report (SAR).
   • Includes your Expected Family Contribution
     (EFC)

3. Review award letters.



aplusfcu.org         Federal Credit Union   800-252-8148
EFC
Expected Family Contribution

               Cost of Attendance
          -    Expected Financial Contribution
               Financial Need




aplusfcu.org          Federal Credit Union   800-252-8148
TYPES OF AID




aplusfcu.org     Federal Credit Union   800-252-8148
Recent Changes
• Student lending changes
• Passed with the Health Care Bill in
  March 2010
• Eliminates the “Middle Man”
   • Borrow directly from the Federal
     Government
• Increases Federal Grant Money


aplusfcu.org    Federal Credit Union   800-252-8148
Types of Aid

                           Borrowed
                            Money




                           Financial
                              Aid
                           Package


               Earned                           Gift
               Money                           Money



aplusfcu.org            Federal Credit Union           800-252-8148
Borrowed Money

• Loans
   • Subsidized
   • Unsubsidized
   • PLUS
   • Perkins



aplusfcu.org    Federal Credit Union   800-252-8148
Private Loans

Pros                       Cons
• Can give a student       • Cannot consolidate
  additional money if        with federal loans
  needed                   • Not backed by
                             government
                           • Potentially higher
                             interest rate



aplusfcu.org      Federal Credit Union   800-252-8148
Grants
•   Tax free cash award
•   Need based
•   Does not need to be paid back
•   Various sources including Federal
    and State governments, or institution




aplusfcu.org      Federal Credit Union   800-252-8148
Grants
1. Federal Pell Grant
2. Federal Supplemental Education
   Opportunity Grant (FSEOG)
3. Teacher Education Assistance for
   College and Higher Education
   (TEACH)
4. Iraq and Afghanistan Service Grant


aplusfcu.org   Federal Credit Union   800-252-8148
Merit Based Aid
• Scholarships
• Sources:
   • Schools
   • Employers
   • Activities/Clubs
   • Location
   • Others

aplusfcu.org     Federal Credit Union   800-252-8148
Scholarships
Each year, we award
nine $1,000 scholarships
to high school and
college students.

Application period is
Dec 2011 – Feb 2012




 aplusfcu.org       Federal Credit Union   800-252-8148
Work Study

• Jobs usually on campus
• Minimum wage
• Jobs in student’s field
  of study
• Getting a job is not
  guaranteed, still need
  to apply



aplusfcu.org      Federal Credit Union   800-252-8148
American Opportunity Tax Credit

• Expands the Hope Credit
• Extended until December 31, 2012
• Four years of post-secondary expenses
• Covers Qualified Tuition and Related Expenses
    • Includes course materials: books, supplies, and
      equipment needed for a course of study
    • Do not have to purchase these from the
      institution
• Up to $2,500 (40% of the credit is refundable, up to
$1,000)


aplusfcu.org          Federal Credit Union       800-252-8148
Other Tax Benefits
•   Lifetime Learning Credit
•   Tuition and Fees Tax Deduction
•   Student Loan Interest
•   Learn more:
     • http://www.irs.gov/pub/irs-pdf/p970.pdf




aplusfcu.org        Federal Credit Union   800-252-8148
DURING SCHOOL




aplusfcu.org      Federal Credit Union   800-252-8148
Keeping Your Aid
Satisfactory Academic Progress
• Required to keep financial aid
• Elements:
   • GPA Requirement
      • ACC: 2.0 cumulative
   • Completion Rate Requirement
      • ACC: must complete 67% of all hours
        attempted
   • Maximum Time Frame
      • ACC: 150% of the published length of the
        academic program enrolled in
                                           Source: ACC Financial Aid


aplusfcu.org        Federal Credit Union         800-252-8148
AFTER GRADUATION




aplusfcu.org        Federal Credit Union   800-252-8148
Your Rights and Responsibilities

Your Rights                       Your Responsibilities
• Details of your loan            • Sign a promissory note
• Grace period                    • Make payments on
• Loan repayment                    time
  schedule                        • Continue to pay while
• Change in loan                    waiting for forbearance
  servicers                         or deferment approval
                                  • Receive entrance and
                                    exit counseling



aplusfcu.org             Federal Credit Union      800-252-8148
It’s Time to Pay
• Grace Period:
  • Time between graduation, dropping below half-
    time, or leaving school and when you need to
    begin paying back your loan
  • Direct Stafford Loans: 6 months
  • Perkins Loans: 9 months
  • PLUS Loans: no grace period
  • Called to active military duty for >30 days: grace
    period is delayed



aplusfcu.org         Federal Credit Union     800-252-8148
Repayment Options
•   Standard
•   Graduated
•   Extended
•   Income-Sensitive
•   Income-Contingent
•   Income-Based                      From: http://pythagoreanism.com/debt-
                                      downgrade-student-loan-bubble/




aplusfcu.org   Federal Credit Union                          800-252-8148
Consolidation


  Combine multiple federal
   student loans to a new
 Consolidation Loan with one
      monthly payment.


aplusfcu.org   Federal Credit Union   800-252-8148
Pros and Cons
PROS                       CONS
• One monthly payment      • Increase length of
• Lower monthly              repayment
  payment                  • Increase amount paid
                             in interest
                           • May lose loan specific
                             benefits




aplusfcu.org      Federal Credit Union       800-252-8148
Should You?
1. List your current student loans, include
   balance, interest rate, and monthly
   payment.
2. Total your monthly payments.
3. Look at your budget. Can you afford all
   your payments?
4. Use the online consolidation calculator to
   see the benefit of consolidation.
            loanconsolidation.ed.gov

aplusfcu.org      Federal Credit Union   800-252-8148
Trouble Paying
• Deferment
     • Temporary suspension of loan payments for
       specific situations
     • Ex: reenrollment in school, unemployment, or
       economic hardship
• Forbearance
     • Temporary postponement or reduction of
       payments for a period of time because of
       financial difficulty
     • Interest accrues no matter what type of loan

aplusfcu.org           Federal Credit Union    800-252-8148
QUESTIONS?
                   Kelsey Balcaitis
                kbalcaitis@aplusfcu.org
               facebook.com/aplusfcu




aplusfcu.org         Federal Credit Union   800-252-8148

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Paying for College - ACC Spring 2012

  • 1. Federal Credit Union Paying for College Kelsey Balcaitis March 21, 2012 aplusfcu.org Federal Credit Union 800-252-8148
  • 2. COLLEGE COSTS: The Good, The Bad, The Ugly aplusfcu.org Federal Credit Union 800-252-8148
  • 3. THE UGLY aplusfcu.org Federal Credit Union 800-252-8148
  • 4. Cost of College Tuition + Fees + Housing + Food + Books + Transportation + Miscellaneous Cost of College aplusfcu.org Federal Credit Union 800-252-8148
  • 5. Cost of College, 2011-12 SOURCE: The College Board, Trends in College Pricing 2011, Figure 1. aplusfcu.org Federal Credit Union 800-252-8148
  • 6. 2011-2012 College Costs In-State 4 Out-of- 4 Yr. Private Public 2 Yr. Yr. Public State 4 Yr. Public Published $8,244 $20,770 $28,500 $2,963 Tuition and Fees Change from 8.3% 5.7% 4.5% 8.7% 2010-2011 Average Total $17,131 $29,657 $38,589 NA Charges* Change from 6.0% 5.2% 4.4% NA 2010-2011 * Includes tuition, fees, room and board Source: College Board, Trends in College Pricing 2011 aplusfcu.org Federal Credit Union 800-252-8148
  • 7. Graduating and In Debt Avg. student loan debt is on the rise 2010: $25,250 2008: $23,200 And don’t forget: 2004: $3,200 in credit $18,650 card debt! aplusfcu.org Federal Credit Union 800-252-8148
  • 8. THE BAD aplusfcu.org Federal Credit Union 800-252-8148
  • 9. Little Glimmers • Between 2005-06 and 2010-11, federal grant aid to undergrad and grad students increased by 141% • Between 2005-06 and 2010-11, savings to taxpayers through federal tax credits and deductions for education increased by 108% aplusfcu.org Federal Credit Union 800-252-8148
  • 10. Little Glimmers • In 2010-2011, $227.2 billion in financial aid was distributed to undergrad and graduate students in the form of grants, Federal Work- Study, federal loans, and federal tax credits and deductions. • In 2010-2011, students borrowed around $7.9 billion in loans from state and private sources. aplusfcu.org Federal Credit Union 800-252-8148
  • 11. Little Glimmers • Average net tuition and fees for in-state students only increased by about $170 in 2011 dollars Grant aid, Published federal Net Tuition Tuition education tax credits aplusfcu.org Federal Credit Union 800-252-8148
  • 12. Little Glimmers SOURCE: The College Board, Trends in College Pricing 2011, Figure 7. aplusfcu.org Federal Credit Union 800-252-8148
  • 13. THE GOOD aplusfcu.org Federal Credit Union 800-252-8148
  • 14. Is it even worth it? Yes. aplusfcu.org Federal Credit Union 800-252-8148
  • 15. Is it even worth it? Lifetime Earnings Relative to High School Graduates Earnings Ratio Source: Education Pays 2010, College Board aplusfcu.org Federal Credit Union 800-252-8148
  • 16. Is it even worth it? • In 2008, median family income: • Bachelor’s degree $101,099 • High School diploma $49,414 • Non-financial benefits • Better health and quality of life • Access to employer paid benefits aplusfcu.org Federal Credit Union 800-252-8148
  • 17. SHOW ME THE MONEY aplusfcu.org Federal Credit Union 800-252-8148
  • 18. No Right Way Source: How America Pays for College 2011, Sallie Mae aplusfcu.org Federal Credit Union 800-252-8148
  • 19. FINANCIAL AID aplusfcu.org Federal Credit Union 800-252-8148
  • 20. Federal Student Aid • Money from the Federal Government to help pay for a postsecondary education • Covers expenses such as tuition and fees, room and board, books and supplies, and transportation • Three main categories: • Grants • Work-study • Loans aplusfcu.org Federal Credit Union 800-252-8148
  • 21. Other Financial Aid • Can get money from other sources: • State grants • Institutional grants • Scholarships • Private loans aplusfcu.org Federal Credit Union 800-252-8148
  • 22. FAFSA aplusfcu.org Federal Credit Union 800-252-8148
  • 23. FAFSA? • FREE Application for Federal Student Aid • Online and paper versions fafsa.ed.gov aplusfcu.org Federal Credit Union 800-252-8148
  • 24. Why FAFSA? • Only way to receive federal financial aid • Federal Stafford Loans • Grants • Work-study • Collects information about the student and his/her family to determine need aplusfcu.org Federal Credit Union 800-252-8148
  • 25. FAFSA Timeline • Begin anytime after January 1st of the student’s senior year and while in college • Need to complete before colleges’ deadlines aplusfcu.org Federal Credit Union 800-252-8148
  • 26. What Students Will Need • Social Security Number or Alien Registration Number • Driver’s License or equivalent • Prior year’s Federal Tax returns* • Prior year’s untaxed income records* • Prior year’s bank statements* • Prior year’s business and investments records* • Federal Student Aid PIN* • pin.ed.gov *for students and parents aplusfcu.org Federal Credit Union 800-252-8148
  • 27. Financial Aid Process 1. Complete the FAFSA after January 1. • Check school specific deadlines • Fill out as soon as possible! 2. Review the Student Aid Report (SAR). • Includes your Expected Family Contribution (EFC) 3. Review award letters. aplusfcu.org Federal Credit Union 800-252-8148
  • 28. EFC Expected Family Contribution Cost of Attendance - Expected Financial Contribution Financial Need aplusfcu.org Federal Credit Union 800-252-8148
  • 29. TYPES OF AID aplusfcu.org Federal Credit Union 800-252-8148
  • 30. Recent Changes • Student lending changes • Passed with the Health Care Bill in March 2010 • Eliminates the “Middle Man” • Borrow directly from the Federal Government • Increases Federal Grant Money aplusfcu.org Federal Credit Union 800-252-8148
  • 31. Types of Aid Borrowed Money Financial Aid Package Earned Gift Money Money aplusfcu.org Federal Credit Union 800-252-8148
  • 32. Borrowed Money • Loans • Subsidized • Unsubsidized • PLUS • Perkins aplusfcu.org Federal Credit Union 800-252-8148
  • 33. Private Loans Pros Cons • Can give a student • Cannot consolidate additional money if with federal loans needed • Not backed by government • Potentially higher interest rate aplusfcu.org Federal Credit Union 800-252-8148
  • 34. Grants • Tax free cash award • Need based • Does not need to be paid back • Various sources including Federal and State governments, or institution aplusfcu.org Federal Credit Union 800-252-8148
  • 35. Grants 1. Federal Pell Grant 2. Federal Supplemental Education Opportunity Grant (FSEOG) 3. Teacher Education Assistance for College and Higher Education (TEACH) 4. Iraq and Afghanistan Service Grant aplusfcu.org Federal Credit Union 800-252-8148
  • 36. Merit Based Aid • Scholarships • Sources: • Schools • Employers • Activities/Clubs • Location • Others aplusfcu.org Federal Credit Union 800-252-8148
  • 37. Scholarships Each year, we award nine $1,000 scholarships to high school and college students. Application period is Dec 2011 – Feb 2012 aplusfcu.org Federal Credit Union 800-252-8148
  • 38. Work Study • Jobs usually on campus • Minimum wage • Jobs in student’s field of study • Getting a job is not guaranteed, still need to apply aplusfcu.org Federal Credit Union 800-252-8148
  • 39. American Opportunity Tax Credit • Expands the Hope Credit • Extended until December 31, 2012 • Four years of post-secondary expenses • Covers Qualified Tuition and Related Expenses • Includes course materials: books, supplies, and equipment needed for a course of study • Do not have to purchase these from the institution • Up to $2,500 (40% of the credit is refundable, up to $1,000) aplusfcu.org Federal Credit Union 800-252-8148
  • 40. Other Tax Benefits • Lifetime Learning Credit • Tuition and Fees Tax Deduction • Student Loan Interest • Learn more: • http://www.irs.gov/pub/irs-pdf/p970.pdf aplusfcu.org Federal Credit Union 800-252-8148
  • 41. DURING SCHOOL aplusfcu.org Federal Credit Union 800-252-8148
  • 42. Keeping Your Aid Satisfactory Academic Progress • Required to keep financial aid • Elements: • GPA Requirement • ACC: 2.0 cumulative • Completion Rate Requirement • ACC: must complete 67% of all hours attempted • Maximum Time Frame • ACC: 150% of the published length of the academic program enrolled in Source: ACC Financial Aid aplusfcu.org Federal Credit Union 800-252-8148
  • 43. AFTER GRADUATION aplusfcu.org Federal Credit Union 800-252-8148
  • 44. Your Rights and Responsibilities Your Rights Your Responsibilities • Details of your loan • Sign a promissory note • Grace period • Make payments on • Loan repayment time schedule • Continue to pay while • Change in loan waiting for forbearance servicers or deferment approval • Receive entrance and exit counseling aplusfcu.org Federal Credit Union 800-252-8148
  • 45. It’s Time to Pay • Grace Period: • Time between graduation, dropping below half- time, or leaving school and when you need to begin paying back your loan • Direct Stafford Loans: 6 months • Perkins Loans: 9 months • PLUS Loans: no grace period • Called to active military duty for >30 days: grace period is delayed aplusfcu.org Federal Credit Union 800-252-8148
  • 46. Repayment Options • Standard • Graduated • Extended • Income-Sensitive • Income-Contingent • Income-Based From: http://pythagoreanism.com/debt- downgrade-student-loan-bubble/ aplusfcu.org Federal Credit Union 800-252-8148
  • 47. Consolidation Combine multiple federal student loans to a new Consolidation Loan with one monthly payment. aplusfcu.org Federal Credit Union 800-252-8148
  • 48. Pros and Cons PROS CONS • One monthly payment • Increase length of • Lower monthly repayment payment • Increase amount paid in interest • May lose loan specific benefits aplusfcu.org Federal Credit Union 800-252-8148
  • 49. Should You? 1. List your current student loans, include balance, interest rate, and monthly payment. 2. Total your monthly payments. 3. Look at your budget. Can you afford all your payments? 4. Use the online consolidation calculator to see the benefit of consolidation. loanconsolidation.ed.gov aplusfcu.org Federal Credit Union 800-252-8148
  • 50. Trouble Paying • Deferment • Temporary suspension of loan payments for specific situations • Ex: reenrollment in school, unemployment, or economic hardship • Forbearance • Temporary postponement or reduction of payments for a period of time because of financial difficulty • Interest accrues no matter what type of loan aplusfcu.org Federal Credit Union 800-252-8148
  • 51. QUESTIONS? Kelsey Balcaitis kbalcaitis@aplusfcu.org facebook.com/aplusfcu aplusfcu.org Federal Credit Union 800-252-8148

Editor's Notes

  1.  Also, Paying for College can cover a wide variety of topics, so is there anything more specific you’d like me to address? I was thinking along the lines of applying for Financial Aid, budgeting tips for college students, costs of college, and then how to handle loans and more after graduation. But I’m happy to tailor it to cover what you were hoping I’d discuss.
  2. This chart shows how tuition changes over one year. For a 4 year public university, such as UT, average tuition has gone up by 6.5%. When you look at the entire cost of college, it has gone up almost 6%, just in one year. This rise in tuition prices is not expected to change.
  3. Shows average annual earnings for adults under age 65 based on their education
  4. Better healthLower poverty and unemployment ratesPositive perceptions of healthLower smoking rates More likely to enjoy employer sponsored benefits and pension plans
  5. Applying for federal aid is free You do not have to pay anyone to help you complete the form
  6. Federal aid can be used to cover expenses such as tuition and fees, room and board, books and supplies, and transportation. Have to fill out a FAFSA to get the aid though. Who gets aid? demonstrate financial need Be a us citizen Valid SSN
  7. Can apply online or with a paper application. Online speeds up the process.
  8. Financial comes in three main forms: gift money, earned, and borrowed.
  9. Borrowed money is loans. These are the four major federally backed kinds of loans. Subsidized: While student is in school, government pays the interest on the loan, once student graduates, interest starts to accrueUnsubsidized: Interest accrues as soon as the loan is made, PLUS: Parent loans, parents have to go through a credit check to get the loan. Student loans do not require a credit check. Perkins: made by a school to a student with exceptional financial need
  10. Not backed by the governmentIncreased popularity as school costs have risen and federal student lending has slowed25% per year growth in loan volume (and rising)
  11. Grants are the best kind of aid: FREE and do not need to be paid back. But you can’t get a Federal Grant unless you fill out a FAFSA.
  12. Effective Fall 2011 Federal regulations require all financial aid recipients to maintain satisfactory academic progress in a course of study leading toward a degree or certificate. Failure to meet one or more of the established standards of Satisfactory Academic Progress (SAP) will make a student ineligible for financial aid. Financial Aid SAP status includes all previous academic history, even if the student did not receive financial aid. Statuses are updated at the end of each semester, including summer. It is the student’s responsibility to monitor academic progress. Although the Financial Aid Office attempts to send students correspondence informing them of their status, students who do not meet the standards will be ineligible for financial aid even if they do not receive correspondence. Elements of Financial Aid Satisfactory Academic Progress:Grade Point Average (GPA) RequirementStudents must maintain a 2.0 cumulative GPA on all hours attempted at ACC: GPA calculatorCompletion Rate RequirementStudents must complete 67% of all hours attempted at ACC: Completion Rate Calculator.Maximum Time FrameStudents receiving financial aid must complete their program of study within a reasonable time frame. The maximum time frame is 150% of the published length of the academic program or certificate (to include all transfer credit hours). Limited developmental coursework will not be counted in the maximum time frame. Example:      Associate of Science Degree in Physics  = 64 hours x 150%= 96 hours                        96 hours is the maximum that can be attempted with financial aidConsequences of not meeting Satisfactory Academic Progress (SAP):In the following provisions, “warning” or “suspension” means financial aid warning or suspension, not academic warning or suspension. Financial Aid Warning – The first time that a student fails to meet the SAP standards of a cumulative 2.0 GPA and 67% completion rate, he or she will be placed on financial aid warning status. The student will remain eligible for financial aid for one semester during the warning period. Financial Aid Suspension – If, after being placed on financial aid warning status, a student fails to meet the SAP standards of a cumulative 2.0 GPA and 67% completion rate, he or she will be placed on Financial Aid Suspension and will immediately lose financial aid eligibility.Maximum Time Frame Suspension – If a student fails to meet the Maximum Time Frame standards, he or she will be placed on Maximum Time Frame Suspension and will immediately lose financial aid eligibility.Failure to meet one or more of the established financial aid standards of satisfactory academic progress will make a student ineligible for financial aid. Students who have their financial aid revoked due to the failure to meet the SAP standards will remain ineligible until such time that they are able to meet the cumulative financial aid SAP standards. Those students will be responsible for payment of their own tuition and fees.