Financial Aid Source Book

new students

IMPORTANT DETAILS FOR NEED BASED & MERIT RECIPIENTS 2006-2007

Family Financing

Federal Parent Loan for Undergraduate Students (PLUS)

If you are an undergraduate student in good academic standing and enrolled at least half-time, your parents can apply for the PLUS.  The annual loan limit is the financial aid budget for the cost of attending GW (tuition, fees, room and board, books and supplies, transportation, and certain other education expenses) minus financial aid (including the amount of a subsidized or unsubsidized Federal Stafford Loan borrowed by the student).  Need is not a factor, but the lender is required to perform a credit check and a good credit history is needed for approval.

The PLUS is a variable interest rate loan; the rate is adjusted annually each July 1 and there is a cap of 9% for all loans first disbursed on or after July 1, 1994. The PLUS loans are subject to an origination fee of 3% and a guarantee (insurance) fee of up to 1%; all fees are deducted proportionately from each disbursement.  Federal regulations require multiple disbursements; normally, half of the loan proceeds are paid at the beginning of each of the fall and spring semesters.  Funds arrive by electronic funds transfer (EFT) or by check co-payable to the school and the parent borrower.  When the University receives a PLUS check, we forward it to the parent for endorsement; when the parent returns the check to us, GW endorses it and applies the funds to the student’s account.  If the check is not returned, we will cancel the loan certification with the lender/guarantor.   The PLUS repayment begins 60 days after the last disbursement (for the current academic year) by the lender and there is no grace period.  The repayment period is up to 10 years; prepayment is permitted at any time without penalty. If not approved for the PLUS, refer to the unsubsidized Stafford Loan section.

Application processes for the 2006-2007 academic year will require that all PLUS applicants submit a PLUS Master Promissory Note (PLUS MPN) and PLUS Loan Data Form.  The use of the PLUS MPN is mandated by new federal guidelines for the program.

The forms will be mailed to the parents of all entering students shortly after the student has accepted admission to GW.  They are also available on request from the Office of Student Financial Assistance (OSFA).

Other Loan Options

As you and your family plan for your college investment, consider this option whether or not you qualify for financial aid, scholarships, or grants and loans for the course of your enrollment at GW.

The George Washington University, in partnership with Citibank’s Student Loan Corporation (SLC) and Nellie Mae, offers a loan approach designed to provide fiscal security for families committed to a GW education.  An attractive interest rate set at prime with a 10% interest cap is a highlight of this financial option for domestic undergraduates.  Students who apply are reviewed on the following criteria and subject to the terms listed:

•Students must be attending GW at least half-time (6 hrs.) in a degree program, as well as maintaining satisfactory academic progress.

•Generally, freshmen are required to have a credit-worthy co-applicant.

•Upper-class students with at least 12 months satisfactory credit history may be able to apply for the loan on their own.

•Annual loan limits equal the cost of attendance (tuition, fees, room and board, books, transportation, and personal expenses) less the amount of aid received (grants, loans and Federal Work-Study) by each student.

•International students can borrow up to the cost of education less the amount of aid received with a credit-worthy US citizen or permanent resident co-applicant.

•Students will not be charged a guarantee fee.

•Interest and principal can be deferred while the student is in school. Where interest is deferred, it will continue to accrue as simple interest (not compounded) and be added to the principal at the end of the deferment period.

•Repayment does not begin until six months after graduation.

•The maximum loan term will be 12 years for undergraduates.

How It Works:

•Applications and information packets are available in the GW Office of Student Financial Assistance in Rice Hall, 310.

•The completed application must be returned to the GW Office of Student Financial Assistance for certification.

•The completed and certified application is forwarded to the participating lending institution of your choice (Citibank’s SLC or Nellie Mae).

•Processing and notification generally takes 4-6 weeks.

•Funds will be applied automatically to the student’s account either by check or by an electronic funds transfer (EFT).

Other Family Options

State Grants and Scholarships

Many states maintain financial aid programs which usually include grants and scholarships.  While some states restrict funds to students attending in-state schools, others do not.  Contact the Superintendent of Higher Education in your state capital to see if you can apply for funds that can be used at GW.

DC Student Incentive Grants

Residents of the District of Columbia may be eligible for grants of up to $800 for the 2006-2007 academic year. 

Applications are available from the District of Columbia State Education Office at One Judiciary Square, 441 Fourth Street, NW, Suite 350 N, Washington, DC 20001. Call (202) 727-6436 for more information.

DC Tuition Assistance Grant (DC TAG)

The DC TAG provides tuition subsidies to DC residents who attend a private college in the Washington, DC area.  Currently, grants are valued at $2,500 per year.  Funds must be applied to tuition expenses only.  At GW, all DC residents are required to apply for this program.  Awarding of any scholarships and/or grant-in-aid will assume that the first $2,500 will be covered by the DC TAG program.

For further information, contact the District of Columbia State Education Office at (202) 727-6436.

Part-Time Employment

Students who do not qualify for the need based Federal Work-Study Program can visit the Career Center for assistance in finding part-time, temporary and summer employment.

Veterans’ Benefits

Veterans may qualify for aid under the G.I. Bill.  Contact GW’s on-campus Veterans’ Benefits Office at (202) 994-1586 for more information.

GW Family Grant

If a family has two or more dependent children simultaneously enrolled at GW as full-time undergraduate students during the 2006-2007 academic year, the younger sibling(s) may be eligible for the GW Family Grant.  This is a half-tuition grant that can be awarded for the full academic year or for the fall or spring semester only.

To qualify, siblings must each have a birth date of January 1, 1983 or later and they must be enrolled full-time in a first-time, four-year bachelor’s program and be charged at GW’s full-time rate. Students charged a discounted tuition do not qualify.  Families must complete the 2006-2007 Family Grant Application and submit it to us with all supporting documents no later than July 1 preceding the academic year.  Grants for late applications are awarded on a funds-available basis only.

Supporting documentation includes a signed copy of the parents’ 2005 federal income tax return as verification of the dependent status of the students.  International students must provide certification of their sibling and dependent status either from a

parent’s employer (if an embassy or international organization such as the World Bank or International Monetary Fund, etc.) or from GW’s International Services Office.

To renew, all siblings must continue to meet the requirements stated above, maintain a C (2.0) or better GPA and reapply by the July 1 deadline. Please note: This grant is not available if either student is enrolled in the Seven-Year Integrated B.A./M.D., Six-Year Integrated B.A./J.D., Integrated Engineering and Medicine Program, or a non-affiliated study abroad program. The Family Grant is not stackable with any merit scholarships, the GW Guaranteed Grant or Employee Benefits.

Monthly Payment Plan

The AMS TuitionPay Monthly Plan allows you to pay for your University tuition, fees, housing and meal costs over a 10-month period.  Please refer to gwired.gwu.edu/finaid regarding payment plans.