A Glossary of Federal Student Aid (FAFSA) Terms
Budget Control Act of 2011: Eliminated subsidized Stafford loans for graduate and professional students, effective July 2012.
CSS Profile: College Scholarship Service Profile is a more detailed application than the FAFSA, distributed by the U.S. College Board, which costs a fee for submission. Colleges with early acceptance programs often use this, because the FAFSA isn’t available until after October 1st.
Direct PLUS Loan: A federal loan offered to parents of students that can cover up to the cost of the student’s attendance at college, minus other financial aid received.
EFC: Expected Family Contribution
FDLP: Federal Direct Student Loan Program consolidates Stafford, PLUS and Perkins loans into one single debt, resulting in a fixed interest rate and reduce monthly repayments, with a longer term for the loan.
Federal Loan Cancellation: A portion of loans can be forgiven for social workers, Peace Corp volunteers, childcare workers, full-time teachers’ and professionals working for public interest. This applies to Perkins, Stafford and other Federal Family Education Loan Programs.
FFEL: Federal Family Education Loan Program in which private lenders made federally guaranteed student loans. President Obama called for an end to this program in April 2009.
FWS: Federal Work Study program is based on financial need and students’ eligibility. Students work part-time jobs related to their course of study through college to earn money for tuition and other expenses.
ISIR: An electronic version of the Student Aid Report, which is made available to the applicant, the applicant’s selected universities and state agencies that award aid.
Pell Grant: A federal grant, which isn’t repaid, of up to $5,550 for students. Students must have financial need and not have a bachelor’s degree or be enrolled in certain post-baccalaureate programs.
Perkins Loans: A federal grant of up to $5,550, with a fixed interest rate of 5 percent for the 10-year repayment period. Students have a nine-month grace period, so they begin repaying 10 months after graduation, withdrawing from school or becoming less than a half-time student.
PIN: A Federal Student Aid PIN is a 4-digit numeric code or 6-digit alphabetic code assigned to each applicant to access FAFSA Websites.
SAR: Student Aid Report is a summary of the FAFSA responses, which applicants can review and correct.
Stafford Loans: A federal grant offered at a lower interest rate than private loans, with strict borrowing limits. Payments are deferred for six months after graduation, withdrawing from school or becoming less than a half-time student.