Navigating the realm of financial aid often feels like learning a new language, with its own unique terminology and jargon. From acronyms like FAFSA and SAI to terms like subsidized loans and Pell Grants, understanding these concepts is crucial for students and families seeking assistance to fund higher education. This financial aid dictionary serves as a guide, offering clear definitions and explanations for the myriad terms and phrases encountered throughout the financial aid process.
The estimated amount it may cost a student to live during the time they attend Central in an academic year. Central uses the COA to determine a student's need for federal aid eligibility.
The COA is calculated based on factors such as:
- Enrollment length (year, 1 semester, etc)
- Program (undergraduate, graduate)
- Campus attending
- Enrollment status (hours enrolled)
- Housing situation
The COA looks at all costs, beyond what the student finds on their school bill. It may include:
- Tuition & fees
- Books & supplies
- Housing & food
- Transportation
- Miscellaneous living expenses
- Dependent care
- Disability costs
Central publishes base COAs for an average full-time student at each of our campuses and in each of our programs. You can view them here. You can view the COA used in your aid offer in our SIS or request it from FinAid.
Your dependency status determines whose information you must report when you fill out the FAFSA. Dependent students must include their parent's tax information on their FAFSA. Read more at studentaid.gov to determine your dependency.
Students who took loans while in college are required to complete exit counseling. FinAid reaches out to students who are graduating or withdrawing and provides steps on how to complete the counseling.
The FAFSA is the Free Application for Federal Student Aid. Learn more here.
Financial aid is money to help pay for college or career school. Grants, work-study, loans, and scholarships help make college or career school affordable. Check our Scholarships and Find More Aid pages to learn more.
Central sends each student a letter that lists all aid the student has received and is eligible for during the academic year. The FAO is specific to the student based on what is known at the time it is packaged. It may change based on:
- The campus they attend
- Their grade level
- Their enrollment
- Their housing
- Other aid they receive
The Financial Aid Office, also called FinAid, assists students and their families with college expenses by helping them identify and qualify for the financial resources needed to attend college.
Your dependency status determines whose information you must report when you fill out the FAFSA. Independent students do not need to include their parents' tax information on their FAFSA, and they have higher annual limits for federal loans. Read more at studentaid.gov to determine your dependency.
The process by which FinAid can make adjustments to the data elements on the FAFSA. The student, parent (as necessary), and spouse (as necessary) must fill out our professional judgement forms to begin the process. The forms require much documentation to be uploaded, including
- Taxes from multiple years
- Paystubs
- Receipts
- Letters of reference
Once FinAid receives the completed form, we review the information, make corrections as needed, and notify the student of the outcome.
The Student Aid Index (SAI) is a formula-based index number ranging from –1500 to 999999 that helps the school determine how much financial support a student may need. Learn more at studentaid.gov.
Satisfactory Academic Progress (SAP) is the standard of measurement a school uses to ensure a student is successfully progressing through their degree requirements. Central uses SAP to determine whether a student is eligible for financial aid. Two components of SAP include:
- A qualitative component which is equal to the student’s cumulative grade point average (CGPA).
- A quantitative component which is the calculation of the student’s pace of progression to ensure completion within the maximum time frame.
The student’s CGPA includes grades from all institutional courses that apply to their degree program. For repeated courses, the course with the higher grade will be used in CGPA calculations.
The pace of progression is calculated by FinAid:
Credit hours earned / Credit hours attempted = Pace
Credit hours earned are the hours in which the student earned a grade. This also includes credits transferred into the student’s degree program from another college or university institution. Credit hours attempted are classes the student either received a non-passing grade or withdrew from after the grace period. For repeated courses, both attempts at the course will be used in the credit hours attempted.
Additional to the qualitative and quantitative components, the DOE requires a specific qualitative review at the end of a student’s second academic year. The students to be reviewed receive federal financial aid and have been enrolled in a degree-seeking program of more than two years.
Withdrawing from too many classes will have a negative impact on a student’s pace and may lead to being suspended from federal and institutional financial aid as well as placed on Academic Suspension.
SAP Evaluation
FinAid evaluates each student’s SAP at the end of each payment period (see P&P manual for definition). Evaluations include courses in which the student did not earn aid but do not include courses outside of the student’s program.
Each student must satisfactorily meet both the qualitative and quantitative requirements of SAP.
- Qualitative evaluation:
- 2.0 CGPA
- Quantitative evaluation:
- Pace of 67%
- Ability to complete the program within 150% of its length
If a student’s delayed grades for a term change their SAP for that term after the next term has started, their SAP status must be updated. However, aid that has already been disbursed in the next term will remain in place.
Deficiencies of SAP
Any student who fails an SAP evaluation is placed on a financial aid status and is notified from FinAid by email.
Financial Aid Warning
FinAid places a student on financial aid warning for one term if they fail SAP. The student will be eligible for aid without appeal and will have one semester to regain SAP. They can clear their status by regaining SAP.
Financial Aid Suspension
A student is placed on financial aid suspension if they continue to fail SAP after a semester on financial aid warning. During this time, they are not eligible for institutional or federal student aid. Students on a suspension can clear their status and restore their aid eligibility by regaining SAP.
Appeals
A student on financial aid suspension may appeal the suspension within 10 days of receiving notification on the basis of the student’s injury or illness, the death of a relative, or other special circumstance. The appeal must be submitted to FinAid and explain why the student failed to make SAP and what has changed in their situation that will allow them to make SAP at the next evaluation. FinAid may request the student to provide supporting documentation.
Students who withdraw from school on a status will return on the same status when they re-enroll. However, they have the ability to appeal it during the re-enrollment process.
FinAid will review the appeal and may consult with the Academic Office and Student Development if the situation includes them. If the student is granted their appeal, FinAid will place them on financial aid probation.
Financial Aid Probation
FinAid places a student on financial aid probation for one term if they successfully appeal their financial aid suspension. The student will have all federal aid benefits restored and retention of institutional aid will be evaluated on an individual basis.
When a student is placed on probation, FinAid works with the Academics Department to determine if they can regain SAP in one term. If true, the student will not be required to be on an Academic Recovery Plan (ARP). If the student cannot regain SAP in one semester, they must be placed on an ARP monitored by the Academics Department.
At the discretion of FinAid, a student on an ARP may receive delayed financial aid disbursements until FinAid determines that the student is meeting the requirements of the ARP.
Students on financial aid probation can clear their status by regaining SAP. If they do not meet SAP but do fulfill the requirements of their ARP, they can continue to receive federal aid. If a student does not meet SAP by the end of their ARP, they will be placed on financial aid suspension.
Simply, verification means that FinAid must verify a student's information. A FAFSA is chosen for verification by the Department of Education to be reviewed by the FinAid in order to determine the accuracy of the information provided by the student, parents and spouse (as is applicable) on the FAFSA. This is done by requesting financial and demographic information about the student’s household from the student and parents (as is applicable).
If a student is selected for verification, the FinAid will notify them and provide instructions on next steps. Find verification forms here. Students have 120 days to complete verification upon notification that their FAFSA has been selected for verification.