FINANCIAL AID & FISCAL POLICIES
Financial Aid Information
Financial Aid is available for those who qualify. Federal Student Aid is awarded on a need basis for each applicant. Need is the difference between the cost of your education (education expenses such as tuition, fees, room, board, books, supplies, and other expenses) and the amount the student and his/her family can afford to pay. This is determined by the standard formula established by the U.S. Department of Education. Need is determined by evaluating the information from the Free Application for Federal Student Aid (FAFSA). Factors such as income, assets and benefits are considered in determining the student’s financial needs.
Financial Aid Programs
Grants typically do not have to be repaid and are usually need-based. Applying for grants is done by completing the FAFSA application at the financial aid office or by visiting, www.fafsa.ed.gov. Two types of grants that may be awarded are the Federal Pell Grant and the Federal Supplemental Educational Opportunity Grant (FSEOG):
- Federal Pell Grant: A Federal Pell Grant is a free grant that does not have to be repaid. The student must complete the FAFSA in order to determine eligibility for the Federal Pell Grant. If the student is eligible for a Pell Grant, the award amount eligibility ranges from a minimum of $555 to maximum of $5,550 for the 2012-2013 award year.
- Federal Supplemental Educational Opportunity Grant (FSEOG): A limited amount of funds from the FSEOG program are available to students with the lowest Expected Financial Contribution (EFC). The information provided on the FAFSA application will be used to determine student eligibility. Awards vary based on financial need and fund availability.
Low interest loans may be available to students. A completed FAFSA application must be submitted to determine loan eligibility. Subsidized Loans are need-based, while Unsubsidized Loans are not need-based. The school participates in the William D. Ford Direct (Subsidized/Unsubsidized/PLUS) Loan Program:
- William D. Ford Federal Direct Subsidized Loan: A need-based loan from the federal government from which the government pays for the interest on the loan while the student is enrolled in school. Repayment begins six months after the last day of attendance (LDA). Interest subsidy during the six months grace period is being eliminated for new Stafford Loans made on or after July 1, 2012, and before July 1, 2014. If you receive Subsidized Loan during this timeframe, you will be responsible for the interest that accrues while your loan is in the grace period. The repayment period still begins six months after the student is no longer enrolled at least half-time, but interest that accrues during those six months will be payable by the student rather than subsidized by the federal government. The interest rate disbursed for all student loans on or after July 1, 2012 will be 6.8% with a 1% origination fee which will be deducted for each loan disbursement.
- William D. Ford Federal Direct Unsubsidized Loan: A non-need based loan from the federal government where the student is responsible for interest payments on the loan. Students will be responsible for interest payments 30 days from the date of the 1st disbursement. Students have the option to either pay the interest while in school, or have the interest capitalized (deferred) up to six months after the last day of attendance (LDA). The interest rate for all loans disbursed on or after July 1, 2012 will be 6.8% with a 1% origination fee which will be deducted for each loan disbursement.
- William D. Ford Federal Direct Parent Loan for Undergraduate Students (PLUS): This loan is sponsored by the federal government and is not a need-based loan. This loan allows for one of your parents to apply in order to help with education costs. Generally, parents can borrow up to the total cost of education, minus any aid already being received. This loan requires a credit check. If your parent is denied a PLUS loan, you may be eligible for an additional Federal Direct Stafford Unsubsidized Loan. The repayment period for a Direct PLUS Loan begins at the time the PLUS loan is fully disbursed, and the first payment is due within 60 days after the final disbursement. However, for Direct PLUS Loans with a first disbursement date on or after July 1, 2008, the parent may defer repayment: (1) while the student on whose behalf the parent borrowed the loan is enrolled in at least a half-time basis and (2) for an additional six months after the student ceases to be enrolled at least half-time. The interest rate is fixed at 7.9%. The interest rate is charged from the date of the first disbursement until the loan is paid in full. The origination fee is at 4%, which will be deducted for each loan disbursement.
Federal Assistance is available to help students pay for their education and training. You may receive additional Financial Aid information from the Financial Aid department during office hours.
Veterans are admitted on the same basis and criteria as other applicants. Students seeking veterans educational benefits must contact the Veterans Administration (VA) Certifying Official for the school. Certification of enrollment is made by the VA Certifying Official. Funding from the Veterans Administration may be paid directly to the students by the Veterans Administration Office. Below is a list of eligible programs offered by the school:
- Chapter 30 (Montgomery GI Bill)
- Chapter 31 (Vocational Rehabilitation and Employment – VR&E)
- Chapter 33 (Post 9/11 GI Bill)Chapter 35 (Survivors and Dependents Educational Assistance Program – DEA)
- Chapter 1606 (Montgomery GI Bill Selected Reserve)
- Chapter 1607 (Reserve Educational Assistance Program – REAP)
The following documents are needed to apply for VA Educational benefits:
- Copy of DD Form-214 (Certificate of Release or Discharge from Active Duty) – member 4 copy Letter of eligibility from Selected Reserve
- Unit for Selected Reserve Program
- VA Form 22-1990 (Application for VA Educational Benefits)
- VA Form 22-1995 (Request for Change of Place of Training or Program)VA Form 22-5490 (Dependents’ Application for VA Education Benefits)
- VA Form 22-5495 (Dependents’ Request for Change of Program or Place of Training)
- All prior academic transcripts
Scholarships for Children and Spouses of Deceased or Disabled Veterans and Service Members (CSDDV)
The Scholarships for Children and Spouses of Deceased or Disabled Veterans and Service Members (CSDDV) provides scholarship for dependent children or un-remarried spouses of Florida veterans or service members who died as a result of service-connected injuries, diseases, or disabilities sustained while on active duty or who have been certified by the Florida Department of Veterans Affairs as having service-connected 100% permanent and total disabilities. CSDDV also provides funds for dependent children whose parent is classified as a prisoner of war or missing in action by the Armed Forces of the United States or as civilian personnel captured while serving with consent or authorization of the United States Government during wartime service. CSDDV provides a fixed award amount at an eligible public or private postsecondary institution in Florida.
Student Loan Code of Conduct
Beauty Schools of America® (BSA) participates in the William D. Ford Federal Direct Loan Program which includes the Direct Subsidized, Direct Unsubsidized and the Direct Parent PLUS Loans. To comply with the Higher Education Opportunity Act of 2008, the institution follows legislated requirements which prohibit a conflict of interest with the responsibilities of an officer, employee, or agent of the school regarding Title IV loans.
The Code of Conduct establishes that:
- Beauty Schools of America® as an institution or any individual officer, employee or agent of BSA shall not enter into any revenue-sharing arrangements with any lender.
- No officer or employee of Beauty Schools of America® who works in the Financial Aid and Fiscal department who otherwise has responsibilities with respect to educational loans, any agent who has responsibilities with respect to educational loans, or any of their family members, shall solicit or accept any gift from a lender, guarantor, or servicer of educational loans. For purposes of this prohibition, the term “gift” means any gratuity, favor, discount, entertainment, hospitality, loan, or other item having monetary value of more than a minimal amount.
- An officer or employee of Beauty Schools of America® who works in the Financial Aid and Fiscal department who otherwise has responsibilities with respect to educational loans, or agent who has responsibilities with respect to educational loans, shall not accept from any lender or an affiliate of any lender any fee, payment, or other financial benefit (including the opportunity to purchase stock) as compensation for any type of consulting arrangement or other contract to provide services to a lender or on behalf of a lender relating to educational loans.
- Beauty Schools of America® does not have a preferred lender list (PLL) for alternative loans, and therefore, will not use a preferred lender list (PLL) to:
1. Require a prospective borrower to use a lender on a PLL.
2. Deny or otherwise impede a borrower’s choice of lender.
Cause unnecessary certification delays for borrowers who use a lender that is not listed on a PPL.
- Beauty Schools of America® shall not request or accept from any lender any offer of funds to be used for private educational loans, including funds for an opportunity pool loan, to students in exchange for the institution providing concessions or promises regarding providing the lender with:
1. A specified number of loans made, insured, or guaranteed under Title IV.
2. A specified loan volume of such loans.
3. A preferred lender arrangement for such loans.
For more detailed information about Financial Aid and Fiscal Policies, please visit our on-line school catalog.