Contacting the Financial Aid Office

General Telephone Number (800) 983-4623
General Fax Number (314) 968-7125

Name	Title	Email Address	Extension

Jon Gruett	Director of Financial Aid	mailto:gruettjo@webster.edu	6903

*Graduate Financial Aid*

Cathi Nolde	Asst. Director of Graduate	mailto:noldecc@webster.edu	6985
	Financial Aid (A-C)
Dee Berkey	Counselor (D-I)	mailto:berkeyde@webster.edu	7639*
Jay Cooley	Counselor (J-Q)	mailto:cooleyjt@webster.edu	6977*
Sheryl Rowden	Counselor (R-Z)	mailto:soutiesr@webster.edu	6917
Michele Franzen	Extended Campus Liaison	mailto:mfranzen@webster.edu	6995
Judy Mattingly	Representative	mailto:matting@webster.edu	7640*
Cara Cluney	Service Clerk	mailto:ccluney@webster.edu	8070*
Eileen Spence	Service Clerk	mailto:wynnsef@webster.edu	8043*

*Undergraduate Financial Aid*

Jessica Key	Asst. Director of Undergraduate	mailto:winterjm@webster.edu	7672*
	Financial Aid (H-M)
Kim Whitehorn	Counselor (A-G)	mailto:whitehkm@webster.edu	7651*
Melissa Hogan	Counselor (N-Z)	mailto:dupontme@webster.edu	7644*
Marilynn Shelton	Freshman/Transfer Counselor	mailto:sheltoma@webster.edu	7671*
Stephanie Dunlap	Service Clerk	mailto:sdunlap@webster.edu	8044*
Kevin File	Service Clerk	mailto:kfile@webster.edu	6994
Sara Hirsch	Counselor	mailto:hirschsj@webster.edu	7787*
Jason Huff	Service Clerk	mailto:huffja@webster.edu	7796*

*Reporting and Statistics*

Sharen Lowney	Coordinator	mailto:lowneysm@webster.edu	6986

Extended Campus Liaison
Michele Franzen
Phone Number (800) 955-1107** (314) 968-6995**
Fax Number (314) 963-6075**
* Dial (314) 961-2660 and then enter the extension when prompted
**These numbers are for extended campus personnel only, please do not refer students to them

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The Application Process - One step at a time

Step One: Student is accepted to the university as a degree-seeking student.

Please note: Students MUST be degree-seeking at Webster University in order to qualify for Federal Title IV aid, including Stafford Loans. The financial aid office cannot process a student's Stafford Loan Request until the student's record is entered into CARS and the student is showing as an accepted, degree-seeking student in CARS.

Step Two: The Free Application for Federal Student Aid (FAFSA)

Complete on-line ( http://www.fafsa.ed.gov/)

This form helps the financial aid office determine eligibility for the need based aid.

Step Three: The Webster University Graduate/Undergraduate Financial Aid Form.

Please note: There are separate forms for Graduate and Undergraduate Students.

Step Four: NEW Webster University Students ONLY -Entrance Loan Counseling

Complete on-line ( http://online.educaid.com/seminars/entrance/page1.cfm)

This information is also found on the Webster University Graduate/Undergraduate Financial Aid Form.

Step Five: File Review

If no other information is needed, the file is awarded and the aid certified by the counselor. If more information is needed....step six.

Step Six: If additional documentation is requested , letters and/or emails will be sent requesting the additional documents. This will delay the processing of the financial aid until the documents are received.

Step Seven: NEW Webster University Students ONLY - Master Promissory Note

Please Note: If this is the first loan a student has borrowed through Webster University, then they will receive a Master Promissory Note (MPN) from the guarantor/lender to complete and return.

The Application Process & Related Issues

Required Forms and Process Flow

Each application is reviewed individually and therefore not all students will need to submit the same information to complete their file. However, there are two forms that every student will need to complete :

Free Application for Federal Student Aid (FAFSA) : The U.S. Department of Education and the Financial Aid Office prefer that students submit this form electronically. Students may complete the FAFSA on-line via our website or directly from the Department of Education website ( http://www.fafsa.ed.gov)/. It is important that students list Webster's school code (002521) in the appropriate section so that the results will be sent electronically to the Financial Aid Office. When those results are received and the student has been accepted to the university, the FAFSA results are loaded into CARS. At this time, a completed ISIRIN contact is automatically placed into the contact record.

Webster University Financial Aid Form : All the information collected on this form is needed to determine eligibility and comply with federal regulations. Students should take care not to omit any information. Note that this form, as well as verification worksheets and auxiliary loan forms can be downloaded from our website.

Based upon the information collected from the FAFSA and Webster University Financial Aid Form there are three possible outcomes :

• This may be all the information we require to generate an award for the student. The file will be moved to the appropriate Counselor and the associated contact will appear in CARS (i.e. MOVEUNDG or MOVEGRAD).

• If a student is a "mid-year transfer" (i.e. has attended another institution during our academic year) we must report this to the National Student Loan Database System (NSLDS) administrators and allow them 7 days to alert us to any financial aid history that may impact their eligibility for additional aid. The MIDFAT contact is entered for mid-year transfers and completed when the 7 day period is over. Once the MIDFAT contact is completed the file will be moved to the appropriate Counselor. Note that this delays processing by a week but the student is not required to submit any additional documentation in this case. This new process also eliminates the need to collect Financial Aid Transcripts (FAT) from schools previously attended.

• We may be required by the Department of Education to verify the information submitted on the FAFSA or need to collect some other type of information from the student. In this case, a follow-up letter (FASTAT1, FASTAT2, etc.) detailing what is still needed will be issued.

When all needed information has been received, the Counselor will determine the student's eligibility and generate an award letter. The appropriate ANFORM contact will be entered to signify that an award letter has been requested from CARS.

The Verification Process

The student can be "selected for verification" either by the Department of Education's Central Processing System or by the financial aid counselor. Verification means that the counselor will verify information provided on the Student Aid Report. The student will be requested to supply:

Signed copies of their (and spouse, if applicable) Federal Income Tax Return

The Verification Worksheet

this form available on-line at http://www.webster.edu/finaid/other.html

If discrepancies occur during the verification process, the counselor must make corrections to the Student Aid Report (SAR) through the Department of Education. This will delay the receipt of a valid SAR by 3-10 days.

Preferred Lenders

Our preferred lenders are: Bank of America, Citibank, Commerce Bank, and Educaid. These lenders have been designated as preferred because of a superior track record of service and efficient, accurate processing. Further, several have established systems at our request which have improved service delivery to Webster students and staff.

Still, students have the right to borrow through a lender of their own choice. In the event that a student wants to use a lender that is not on our preferred list, we require them to sign and submit a Non-Preferred Lender Acknowledgement Form . By signing this form the student acknowledges that we cannot assure them the same service level they would receive if they had their loans processed through one of our preferred lenders.

Follow-up Letters (FASTAT1, FASTAT2, etc)

Currently we inform students of information required to complete their files through the follow-up letter process. CARS generates letters every 30 days based on the contact record which details what is still needed. (NOTE : applications received late in an academic year may result in students receiving letters much more frequently than every 30 days. This is because CARS tries to schedule the full compliment of letters in the amount of time remaining in the academic year). At the request of a majority of extended campuses, follow-up letters for students not attending the main campus are sent to their local campus.

Satisfactory Academic Progress (SAP)

In order to apply for federal financial aid, students must maintain satisfactory academic progress toward the completion of their degree program. Our SAP policy has two components : students must maintain a 2.0 GPA and complete 67% of the coursework attempted. Compliance with these requirements is checked unofficially at the conclusion of the Summer and Fall semesters and checked officially at the end of the Spring semester. Students that are failing to meet either requirement of the SAP policy are sent letters alerting them to this circumstance each time SAP is checked (either unofficially or officially).

Students that fail to meet SAP standards at the conclusion of the Spring II term are placed on probation for the next academic year if they had not previously been in this status. Students may apply for and receive financial aid while on probation. If, however, a student that is currently on probation is still not in compliance at the completion of the Spring II term, their eligibility to apply for financial aid is terminated.

Students that have had their eligibility terminated may appeal this decision in writing to the Financial Aid Appeals Committee. An appeal must be based upon : student illness, illness or death of a family member, or other extenuating circumstances. It should be noted that "other extenuating circumstances" implies a situation that either has been or will be resolved since it was identified.

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"Ready to Package" and Awarding Processes/Issues

Ready to Package (RTP)

When student information is first entered into the CARS system, one of the first contacts established is the PACKAGE contact. This is entered as an expected contact (i.e. there is no completed date). Each night the computer system runs a script that looks to see if we have received the documents needed to complete students' financial aid applications. This script looks for: accepted as a degree seeking student, receipt of FAFSA information, receipt of Webster Application. In the event that these items have been received the script will automatically complete the PACKAGE contact.

The Financial Aid Office runs the RTP report frequently each week. This report identifies files for which the PACKAGE contact has been completed. These files are then pulled, reviewed, and moved to a Counselor to be awarded based upon the last name of the student.

File Distribution
Undergraduate Students	Graduate Students
Kim Whitehorn (A - G)	Cathi Nolde (A - C)
Jessica Key (H - M)	Dee Berkey (D - I)
Melissa Hogan (N - Z)	Jay Cooley (J - Q)
	Sheryl Rowden (R - Z)

At this time the MOVEUNDG or MOVEGRAD contact will also be entered into the system. While processing a file, a Counselor may determine that further information is required before an award can be made. The Counselor may need to correct certain information within the file, or the file will be awarded. In each case, a specific contact will be entered that identifies the current status of the file.

When a file reaches the Counselor

Counselors have been given specific time frames in which action must be taken on each file they receive. In general, any file received "this week" must be addressed by the end of "next week". Contacts are used not only to identify the status of any given file but also to measure Counselor performance relative to the established production standard. Below is a listing of contacts a Counselor may generate and the processing status they reflect.

ANFORM - This is the contact that schedules an award letter to be printed. This contact indicates that the file has been awarded and we are waiting for the award letter to be generated and mailed to the student.

ANFORM(XX) - This contact indicates that the award letter has been printed. Note that the last two characters identify whether this is the first, second, etc. award that has been made for the student (01, 02, etc.).

AWDAHEAD - The Counselor enters this contact when a file has been awarded the same week that it was received. If present, this contact will be in addition to the ANFORM contact(s).

AWARDED - This contact signifies that an award letter has been mailed to the student.

CORESAR - This is entered as an expected contact when the Counselor had to send the FAFSA information (ISIR) back to the federal processor for corrections. Normally this is a result of the verification process. It may take 3 - 14 days for the federal processor to return the corrected ISIR at which point the CORESAR contact will be completed.

NOTRTP - This contact is used when a file has been moved to a Counselor but is not ready to be processed. This could be that something was missed in the initial review or that there is a special situation involved that requires additional information. At this point, the file would re-enter the follow-up letter process until it is again "ready to package".

PROBLEM - Counselors use this contact to indicate that there is a "problem" with the file and that he/she is keeping it in their office. Counselors will either contact the extended campus representative directly or schedule follow-up letters requesting additional documentation that may be needed.

Note that these contacts are used for files that have not yet been awarded during the current academic year. There is a similar set of contacts used for files that have already been awarded during the academic year and are being sent to the Counselor to revise an existing award. These include : REVUNDG, REVGRAD, NOCHANGE, and REVAHEAD.

Determining Student Loan Eligibility

Certainly there are many factors that must be considered when a Counselor determines loan eligibility. Prior loans, repayment history, program maximum loan limits, and annual maximum loan limits are some of the issues that the Counselor must examine. Within these concerns, the federally mandated formulas will then be applied. The formulas for the subsidized and unsubsidized loan programs are:

Subsidized	Unsubsidized
Total Cost of Attendance	Total Cost of Attendance
- Expected Family Contribution	- Other Aid during loan period
- Other Aid during loan period	= eligibility within loan limits, etc
= eligibility within loan limits, etc.

It should be pointed out that the Cost of Attendance (COA) limits eligibility as well. COA includes not only tuition but allowances for books, transportation, and other educationally related expenses. Further, these allowances are based upon the length of the loan period and will be higher the longer the loan period. This is why students can qualify to receive funding in excess of their tuition expense due the university. Intervening factors notwithstanding (prior loans, loan limits, other aid, etc.), graduate students attending half time normally qualify for the following funding levels:

METRO Campuses MILITARY Campuses

1 Term Loan $ 5,157 $ 4,794

2 Term Loan $ 9,574 $ 8,848

3 Term Loan $13,991 $12,902

4 Term Loan $18,408 $16,956

5 Term Loan $18,500 $18,500

NOTE: These figures will differ if the student is living "at home with parents" as opposed to "off campus."

IMPORTANT NOTE: if a student fails to register for any term within their loan period, this constitutes a break in enrollment. In this case the Financial Aid Office must cancel any disbursements scheduled after the break in enrollment. Students that wish to return to the university within the same academic year and utilize loan funding will need to submit an auxiliary loan form.

Disbursement Dates

Federal regulations require that a disbursement must be scheduled for each payment period within a loan period. The payment periods at Webster are Summer, Fall, and Spring. Generally the disbursement is scheduled for the first day of the second week of the payment period. In the event that a loan is certified after the loan period has already started, disbursements are scheduled to arrive within a reasonably short time. Consider a 5 term loan that is certified prior to the loan period and a 5 term loan that is certified during the Summer term. The disbursement dates for these two scenarios would be:

Certification prior to Summer Certification during Summer

1 st day of 2 nd week of Summer Certification date + 1-7 days

1 st day of 2 nd week of Fall I 1 st day of 2 nd week of Fall I

1 st day of 2 nd week of Spring I 1 st day of 2 nd week of Spring I

The same principle would be applied if the loan were certified during the second or third payment period as well. Once eligibility and a disbursement date schedule have been determined, the "Guarantee & Print" process is initiated by electronically transmitting this information to the guarantor.

Keep in mind that if a student's loan is only for one term, the loans will still need to be multiple disbursements. This student will receive a disbursement the 1 st day of 2 nd week of class and then midway through the term. (please contact the financial aid office for exact dates).

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Guarantee & Print

Guarantee & Print reduces the paperwork that students must file in order to receive an award, reduces "mail time" in the application process, and effectively out sources some tracking and follow-up functions. The general steps in this process include:

• Loan certification information electronically transmitted from CARS to guarantor

• Guarantor obtains guarantee for loan.

• If first-time borrower at Webster, prints Master Promissory Note and mails to student under Webster letterhead. Student must return signed note as instructed in cover letter. Guarantor sends follow-up letters at 30, 60, and 90 days if they do not receive signed promissory note.

• If repeat borrower, serializes loan on existing Master Promissory Note.

• Hold & Release process is initiated.

Each morning the Financial Aid Office transmits a file to the guarantor that contains all of the information they will need to secure a guarantee. Although a promissory note is required before the loan is disbursable, this is no longer a requirement to receive an award. Therefore, students can receive their awards sooner which may help alleviate registration obstacles created by the need to demonstrate payment to the Business Office.

As indicated above, the guarantor takes responsibility for securing a valid promissory note from students rather than the school. Additionally the cost of generating these follow-up letters as well as some other administrative burden has been transferred to the guarantor

Finally, note that a student no longer needs to sign a new promissory note each academic year. Instead, they sign the Master Promissory Note when applying for their first loan at Webster and all subsequent loans are serialized onto that note.

The Guarantee & Print process is initiated when the Financial Aid Office transmits loan certification information to the guarantor. A student loan funds processing method known as Hold & Release is also initiated when this information is transmitted to the guarantor.

NOTE: This process is for our preferred lenders only. A student using a non-preferred lender will need additional documentation. Please contact your extended campus liaison for this information.

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Hold & Release

Hold & Release is a loan funds processing strategy that speeds the delivery of loan funds by utilizing automated systems. The general steps in this process include :

• Guarantor/Lender places all loan disbursements on Hold when certification information is received.

• Guarantor/Lender sends a "forecast" file (daily) consisting of students that have a loan guaranteed, have returned a signed promissory note.

• FORECAST contact automatically loads into CARS contact record for those students who were in the forecast file.

• CARS generates a "release" file (daily) consisting of students that pass compliance (registration, SAP, etc.) which is sent to Guarantor/Lender. Note that because of a CARS idiosyncrasy, students must register for both terms within a semester before the release request will be generated.

• SUBREL and/or UNSREL contact automatically loads into CARS contact record for those students who are in the release file.

• Guarantor/Lender forwards loan funds via Electronic Funds Transfer (EFT).

• Disbursements for students that have remained in compliance are posted directly to student account. EFTPOST contact automatically entered for these students.

• Disbursements for students that have fallen out of compliance since the release file was sent are identified on a posting exception report and appropriate action is taken (i.e. cancellation, to Counselor for review, etc.).

Hold & Release has drastically reduced the number of disbursements that need to be returned to the lender. The only disbursements that must be returned are those that have fallen out of compliance between the release request and receipt of funds (a 24 hr. period normally). Further, increased automation that has accompanied the move to Hold & Release has reduced staff time in processing loan funds (both in Financial Aid as well as the Business Office).

At times students are alarmed when the lender or guarantor informs them that their disbursements are "on hold". It is important that they understand all of our students' disbursements are put on hold and that we have not singled them out in any way. As soon as the student is eligible for their disbursement (i.e. registered, disbursement date within 24 hrs., etc.) it will be released. Once the disbursement arrives at main campus the Business Office will issue any refund due to the student within 10 business days.

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Miscellaneous Issues

Alternative Loans

Alternative Loans are available from a variety of lending sources to help students finance their education. As these private programs are not directly governed by the U.S. Department of Education, they are not bound by the same regulations. Consequently, each of the alternative loan programs has its own set of rules and features. Alternative loans generally carry higher interest rates than the federal programs and include a credit evaluation in the approval process.

Interest rates vary but are usually tied to the prime lending rate or some similar index, as opposed to the rates on Stafford loans which are determined by Treasury Bill rates. The lender will determine whether or not the applicant is "credit worthy". This usually means an absence of "adverse credit" as well as a satisfactory "debt to income ratio". The Financial Aid Office will not intercede on the borrower's behalf when it comes to credit disputes. This is a matter that the student must resolve.

The differences between the alternative loan and federal loan programs are due to the absence of a federal guarantee. Since the lender does not guarantee repayment under the alternative loan programs their risk is higher. Therefore they become somewhat selective in approving loans and assign a higher interest rate. Although the Financial Aid Office will always attempt to meet the student's need through the less expensive federal loans there are times when the flexibility of private loan programs is the only option.

For instance, federal regulations will not allow us to certify a Stafford loan after the loan period has expired. There are alternative loan programs however that will allow the school to certify eligibility for up to a year after the loan period has concluded. Situations also arise where a student has borrowed their maximum Stafford eligibility for the year yet still need additional funding. Alternative loans can provide supplemental funding in these scenarios.

Bulk Publication Ordering System (BPOS)

There are two basic options when it comes to ordering FAFSA booklets. You may contact Ken Ayres at the main campus to replenish your supply or you may order them on-line directly from the U.S. Department of Education. To order on-line, go to www.edpubs.org/bpos/ to place an order. Enter Webster's school code (00252100) and click on the "order publications" button. Then you must enter your name and telephone number and select the "provide an alternate address" button. At this point you can enter in your address information and begin placing your order by selecting the "order on-line" button. Please make sure that you have changed the address information so that your order goes directly to you rather than another Webster location.

Consortium Agreements

A financial aid consortium agreement is an arrangement between two institutions when a student attends one school while receiving aid from another school. Usually the school where aid is processed is defined as the "home" school and the school that they will attend is defined as the "host" school in the document outlining the agreement. We will approve and sign off on consortium agreements where Webster is the host school. Students who are seeking a financial aid consortium agreement, where Webster is to process the aid for enrollment at another institution, must appeal in writing to the Director of Financial Aid. This appeal should include the courses to be taken, demonstrate that they are required for their degree program, and explain why they must be taken at another institution.

Deferments

Students may need to complete an in-school deferment form. This form provides the loan servicer of the prior student loans with information needed to delay payment until the student leaves school. As this constitutes enrollment verification, deferment forms are processed in the Registrar's office.

Exit Interviews

Shortly before or after graduation, student loan borrowers are required to receive Exit Counseling. Until recently the Exit Interview process included extended campus personnel in the process. In concert with our primary guarantor, SallieMae, we have developed a new Exit Interview process that does not require local administration.

Based upon graduation information in CARS and enrollment information in the National Student Clearinghouse, we send notification of the Exit Interview requirement to graduating students at the conclusion of each 9 week term. Students are directed to complete the interview on-line at Mapping-Your-Future.org/services/fao/exit.3960.webster.edu.htm . This site and USA Group notify us of the students that have completed the Exit Interview process and our records are updated accordingly.

Family Educational Right to Privacy Act (FERPA)

FERPA prohibits us from disclosing any information about a student to another party unless we are authorized to do so. Note that there is a section on the Webster Financial Aid Form where the student can indicate who they authorize to access information relating to their application. Without such authorization, we are not allowed to disclose this information to parents, spouses, or anyone else who is not involved in the application process (i.e. Lender, Guarantor, etc.).

Late Drops vs. Withdrawals

Normally students can only add or drop a course within the first two weeks of a term. Once the add/drop period has expired students need to withdraw from the course as opposed to dropping. Often unusual circumstances arise and the student and/or campus processes a drop after the add/drop period. Although the intentions behind a late drop as opposed to a withdrawal are well founded and justified, this causes problems for students that are receiving Stafford loans.

Federal regulations require that students be enrolled at least half-time to receive their loan disbursement. We must document that every student loan has been disbursed in accordance with this requirement. We schedule disbursements so student refunds are not issued until the add/drop period has expired. At that point, registrations are in theory "locked in" and our records will demonstrate that any student receiving a refund was enrolled at least half-time. However, when a drop is processed after the student has been issued a refund check the corresponding change to the student's enrollment information will reflect that we disbursed funds to a student who was not enrolled.

In this circumstance we must return the entire disbursement to the lender, including any refund subsequently issued to the student, in order to relieve the instance of non-compliance that university records would indicate. Note that this will in turn create a charge balance on the student's account in the amount of the refund they received. The student will not be allowed to register for additional coursework until this balance has been paid.

Return of Title IV Funds

Any time that a student completely withdraws from a payment period we are required to perform a federal Return of Title IV Funds (R2T4) calculation. This calculation looks at the portion of the enrollment period completed and in turn determines the amount of student aid that has been "earned". Any "unearned" aid must then be returned to the appropriate program.

This recalculation will pro-rate the eligibility of the student loan based on the actual amount of time the student was enrolled during the pay period. Any amount received by the school over the amount the student is determined to be eligible for must be returned to the lender. This could in fact result in the student owing the university the amount that was returned to the lender.

For example, a student is enrolled for Fall I and Fall II, and receives a student loan for that pay period in the amount of $1000. The student subsequently withdraws from Fall I and drops from the Fall II class. This means the student has completely withdrawn from the university for the Fall pay period. The Financial Aid Office must recalculate his eligibility to receive the full amount of $1000 for that pay period. If the student has only attended 2 weeks, he completed only 1% of the pay period. We are required to recalculate his eligibility based on the length of time he attended. In other words, he is only eligible to receive 1% of the student loan. This calculates to be $10. The entire $1000 was paid towards tuition. Therefore the school is required to return $990 to the lender, leaving the student owing the university the same amount.

If a student withdraws from one term during a pay period, with the intention of returning for the second term, the financial aid office is not required to perform a recalculation for the purpose of Return to Title IV Aid programs. The student will need to notify the financial aid office of intent to re-enroll in writing. A letter will be mailed to the student regarding this once the financial aid office is made aware of the student's withdrawal. If the intent to re-enroll is not received within the time frame the letter specifies, the financial aid office is required to assume the student will not re-enroll and will perform the necessary recalculation and refund to the lender.

Keep in mind that while the financial aid office may not be required to perform a recalculation of Return of Title IV aid, the subsequent disbursements on a student loan (scheduled for after the break in enrollment) WILL BE CANCELED. A student will still need to fill out a Graduate Auxiliary Loan Form if they require Stafford Loan funding for a time period after the break in enrollment.

It is important to note that the R2T4 calculation is required in addition to the institutional tuition refund policy. Since these two policies are not exactly the same, there may be times when the required R2T4 refund exceeds the amount of the refund determined by our institutional refund policy. Basically, the R2T4 calculation is a pro-rata refund whereas the institutional refund schedule is based upon which week of the term in which the student withdraws. Normally a student's account balance with the university is at zero just prior to withdrawal. In the event that the refund required under R2T4 exceeds the tuition refund per university policy, a charge balance will result.

The task of delivering financial aid services to students can be very challenging. The application process, governed by a multitude of federal regulations, is initially foreign to students and often misunderstood by administrative officials. However, many students and their families cannot fulfill dreams of higher education without the institutional, state, and federal student aid programs we administer. Correspondingly, many educational institutions would face the prospect of closing their doors for good without these programs that help students accommodate the cost of higher education. The importance of efficient delivery of financial aid services is therefore critical to individual achievement and organizational success. The Financial Aid Office is honored and proud to deliver these services in collaboration with our counterparts at Webster's extended campuses.

We understand the demands that accompany financial aid responsibilities and realize that in most cases extended campus personnel have duties in other areas as well. We respect the energy, commitment, and enthusiasm that our extended campus partners demonstrate in the face of their unique challenges. With this in mind, the Financial Aid Office is eager to provide support for the extended campus financial aid representatives.

This handbook is one example of the support our office endeavors to make available to extended campus personnel. Hopefully, this text will help explain some of the more than 500 pages of federal regulations governing the administration of federal student financial aid and the procedures that have been developed to accommodate them. Other support efforts within the Financial Aid Office include a full-time Extended Campus Liaison, training visits to extended campuses and regular meetings with main campus administration responsible for extended campus operations. Perhaps the most important thing the Financial Aid Office can do is to listen to our extended campus partners.

The Financial Aid Office relies upon its partners in the field to identify what practices work well and what policies or procedures need refinement. Obviously we cannot change federal regulations but experience has proven that the resourcefulness of extended campus personnel in concert with the technical expertise of the Financial Aid Office often results in unique and creative responses to difficult student service problems. I encourage you to contact the Financial Aid Office when you, identify recurring problems, have suggestions, or simply want to share a success story.

Sincerely,
Jon Gruett
Director of Financial Aid

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Glossary of Financial Aid Terms

Alternative Loan (or Supplemental Loan): A loan program for students offered directly from a lender. These loans are not governed by federal regulations but by individual lender policy. Most have higher interest rates than a Stafford Loan and check creditworthiness for approval. Should be considered aid of last resort (if a student is not eligible for Stafford Loans or needs additional funding and Stafford Loan eligibility is exhausted.)

Anticipated Graduation Date: The date a student expects to graduate.

Application: This term is most commonly used in the financial aid office to imply the Webster University Financial Aid Form.

Award: As a noun, this implies the amount the student is receiving in financial aid for an academic year. It can also mean the act of determining eligibility for financial aid.

Example: Sally's award is a Stafford Loan for $8000.

Jay awarded Sally a Stafford Loan for $8000.

During the awarding process, a counselor determines the student's eligibility and data enters the information into the computer system in order for the lender and guarantor to be notified of the student's eligibility.

Auxiliary Loan: This is an additional Stafford Student Loan request for the current academic year. A student may submit an Auxiliary Loan Form to request additional Stafford Loan funds due to a break in enrollment, an increase in the number of credit hours, or a need for additional financial aid (and the student has not been awarded their maximum in Stafford Loan funds). This is NOT a different loan program, nor a request for an alternative or supplemental loan.

Break in Enrollment: A student incurs a break in enrollment when she does not enroll (or drops, or withdraws) during a term. A student who had a loan or other financial aid which was based on enrollment for a term that the student does not enroll (or drops, or withdraws) will not be eligible for the loan. If the loan has already disbursed, future disbursements still pending will be canceled. If the loan has not disbursed, the entire loan will be canceled. A student will need to reapply for a new Stafford Student Loan using an Auxiliary Loan Form.

Budget (or Cost of Attendance): Counselors determine eligibility for all financial aid by creating a budget, or cost of attendance. Students' financial aid may not exceed the budget. Counselors use actual costs (tuition) and estimated costs (books, fees, living allowance) to create the budget.

COA (Cost of Attendance, or Budget): Counselors determine eligibility for all financial aid by creating a cost of attendance (COA, or budget). Students' financial aid may not exceed the COA. Counselors use actual costs (tuition) and estimated costs (books, fees, living allowance) to create the COA.

Certify: This term is often used interchangeably with "award" or "package." Specifically used for student loans, a counselor "certifies" that a student is eligible for a specific amount in student loans under the provisions of the Department of Education's federal regulations.

Compliance: A student must meet certain criteria in order to be eligible to receive financial aid. Changes can occur between the time a student is awarded and the aid is scheduled to disburse which will affect this eligibility. Prior to student loans being requested for release from the lender, a check will be run (automated) to determine that the student is passing compliance, or is still eligible for the student loans. Factors that affect compliance include (but are not limited to) degree-seeking status, enrollment, default on prior student loans, all documentation and paperwork requested by financial aid office being received.

Degree-seeking Student: A student must be degree-seeking, or enrolled in classes that will result in a degree, in order to be eligible for financial aid.

Disburse: A loan is said to disburse when the funds have been released from the lender and received by the school.

Disbursement: Student loans are broken into equal increments known as disbursements. For example, a loan for Fall and Spring has two disbursements, one scheduled for Fall and one scheduled for Spring. The policy requiring more than one disbursement is mandated by the Department of Education and federal regulations. All Stafford Loans must have at least two disbursements, and one disbursement per pay period if the loan spans more than one pay period.

Disbursement Date: The date the school determines, through office policy and federal regulations, that the lender can send the disbursement to the school.

Disbursing Agent: The institution which sends loan disbursements to the school. Recommended lenders, with the exception of Commerce Bank, use Sallie Mae as the disbursing agent for loans with Webster University. Commerce Bank currently acts as its own disbursing agent.

Drop: Students can drop a class only during the add/drop period, usually the first two weeks of class. A class that has been dropped does not show on the academic record, and appears as if the student had never attended or registered for the class (as opposed to a withdrawn class, which reflects on the student's academic record as a grade of "W"). The difference between a drop and a withdrawal can affect financial aid.

EFC (expected family contribution): A figure listed on the SAR which helps the financial aid counselor determine eligibility for need-based aid. This figure is calculated through a formula by the Department of Education's Central Processing Center based on information provided by the student while filling out the FAFSA.

EFT (electronic funds transfer): The process by which Webster University receives Stafford Loan disbursements from the recommended lenders. The money is received as a funds transfer from the disbursing agent directly into an account prior to posting to student accounts.

Entrance Loan Counseling: Federal regulations require all new Stafford Student Loan borrowers to complete Entrance Loan Counseling. This process insures students understand their rights and responsibilities as a student loan borrower. This may be completed online at http://online.educaid.com/seminars/entrance/page1.cfm

Exit Loan Counseling: Federal regulations require all students who are leaving school to complete Exit Loan Counseling. This process insures students understand their rights and responsibilities during the repayment period of their student loans. This may be completed online at http://mapping-your-future.org/services/fao/exit.3960.webster.edu.htm

Students will be notified by mail when they must complete this process.

FAFSA (Free Application for Federal Student Aid): This application is processed by the Department of Education's Central Processing Center. Once processed, a Student Aid Report is generated. A copy of the SAR will be sent to the student, and an electronic copy will be sent to the school as long as the student has indicated the school to receive a copy. Webster University School ID Code is 002521.

FA Entry: This stands for Financial Aid Entry, and may also be referred to as "Award Screen." It is the screen in CARS which lists the student's financial aid award for the academic year. It also allows access to the Loan Module, which contains the information sent to the lender and guarantee agency.

FFEL (Family Federal Education Loan): This is the program which administers the Stafford Student Loan Program and the PLUS (or Parent) Loan Program.

Federal Regulations (regs): A collection of rules administered by the Department of Education that govern Title IV aid programs.

Follow-up Letters (or Status Letters): Letters sent from the financial aid office to inform the student of needed paperwork or documentation to complete the financial aid file. Determination of financial aid eligibility cannot be accomplished until a completed file is received. The cycle prints four status letters before a final letter, stating the file is being placed in an inactive status, is sent. No further letters or contact with the student will be made after the final letter is sent. Status letters are sent in bulk to the extended campuses for the personnel to use in following up with the students. The financial aid office does not mail letters directly to students attending extended campuses at the request of extended campus personnel.

Forecast: A disbursement is said to be "forecasting" when the lender is notifying the school that a disbursement is ready to be released. This means, in essence, that the disbursement is on hold at the disbursing agent awaiting further information from the school (to either release the disbursement to the school or to cancel the disbursement). Usually a compliance issue that needs to be rectified will cause a disbursement to forecast for more than one day.

Grade Level: An indicator of how the student has progressed in the degree program. Grade level is determined by the number of credit hours completed. Certain financial aid programs have amount limits based on the grade level of the student.

Guarantee: A final process for a Stafford Student Loan. The guarantee process is performed by the Guarantor, and insures the loan will be repaid to the lender. This final check of eligibility verifies the student is eligible per the regulations governing the guarantee process, regarding such issues as loan dollar amounts, default on prior loans, etc.

Guarantee Agency (or Guarantor): A not-for-profit organization mandated by the Department of Education to guarantee Stafford Student Loans in accordance with the federal regulations governing the Title IV aid program. Webster University uses United Student Aid Funds as its guarantee agency for its recommended lenders.

Hard-copy check: Non-recommended lenders and alternative loans, for example, do not have EFT agreements with Webster University. These loan disbursements are sent to the school via a traditional, or hard-copy, check, co-payable to the school and the student. The student must endorse the check prior to the school being able to post the funds to the tuition account.

Hold (tuition accounts): Periodically, due to extenuating circumstances, the business office will place a hold on a student's tuition account to prohibit the student from registering for additional classes and accruing additional debt to the university. To determine the reason for a hold and to rectify the issue, please contact the business office.

Hold and Release (disbursement hold): This is a processing arrangement for Stafford Student Loan disbursements that Webster has with its recommended lenders. Once a loan has guaranteed, the disbursing agent will place all disbursements on hold. The disbursing agent will then contact the financial aid office (via an electronic file), notifying the financial aid office that the disbursement is ready to release. The financial aid office will check compliance to insure the student is eligible for the funds, then request (via an electronic file) the disbursing agent to release the funds. Funds are then received via EFT and posted to the student tuition account.

ISIR (institutional student information record): Another term for SAR. The SAR, once received by the school, is transferred into the CARS database system, and becomes known as an ISIR.

Lender: A financial institution that enables funds to be available to students through the Stafford Student Loan program or a private alternative loan program.

Loan Period: The time period a loan is scheduled to cover. For example, if a student is attending classes for Summer through Spring II, but only wants a loan to cover the Summer classes, then the loan period would be for Summer only (May through July).

MPN (Master Promissory Note): The legal binding document signed by the student promising repayment of the Stafford Student Loan to the lender. Once an MPN is signed by a student with a lender/guarantor, that MPN is the binding promise-to-repay document for all subsequent loans taken with that lender/guarantor.

Need: Information provided on the SAR helps the financial aid counselor determine a student's need. Certain types of financial aid are considered "need-based" aid, meaning students who demonstrate the greatest need, as shown on the SAR, are entitled to it. Need-based aid programs include the Pell Grant, SEOG, and subsidized Stafford Loans.

Calculation for need is determined by Cost of Attendance less EFC and other aid.

Needs Analysis: The output document from the FAFSA which helps determine need. Also known as the Student Aid Report.

Non-preferred (or non-recommended) Lender: A lender that is not on Webster University's recommended lender list, or a lender using a guarantee agency other than United Student Aid Funds. Students may choose to use a non-preferred lender, but must submit a School Certification Form with the lender information (including Lender ID code) and an address to return the form. Students must also have a signed Non-Preferred Lender Acknowledgement Form in their financial aid file.

Other aid: Aid received from a source outside of the financial aid office. This can include, in part, Veteran's Benefits, Tuition Reimbursement from an employer, or a grant or scholarship awarded from a private organization. Other aid can impact a student's eligibility for need-based aid and must be reported to the financial aid office.

Package: Another term for award. A counselor "packages" a file when the counselor determines eligibility for financial aid.

Pay Period: A time frame for which students owe tuition. At Webster University, there are three pay periods: Summer, Fall, and Spring.

Post: The process by which financial aid pays for tuition and other fees owed to the university. The business office credits the tuition account with financial aid through the posting process.

Recalculate: Changes in enrollment status may cause a student's eligibility to be recalculated. This is usually the case when a student enrolls for fewer credit hours than the loan or aid was based upon, but is still enrolled for at least half time. (If a student enrolls, or drops or withdraws, for less than half time, it is known as a break in enrollment. Students must reapply for loans if they have a break in enrollment.)

Recommended (or Preferred) Lender: Lenders identified by Webster University for having exceptional service standards within the financial aid community are chosen to be recommended lenders. Current recommended lenders include Bank of America, Citibank, Commerce Bank, and Educaid. Recommended lenders have streamlined processes established for students at Webster University, including EFT delivery of funds to the school and enhanced problem resolution processes.

Refund: Any amount over what a student owes the university in tuition and other fees after financial aid has posted is known as a refund. The business office generates and mails refund checks to students.

Return: Money refunded to the lender is known as a return. There are several instances where a student's loan money (all or a portion) must be returned to the lender. The most common instance is a credit of tuition already paid through a student loan, after a student has dropped or withdrawn from a class and incurred a break in enrollment.

Requested Loan Amount: The amount a student requests in Stafford Loans. Graduate students must indicate a requested amount on the Webster University Financial Aid Form. Students can request "maximum" to indicate to the counselor to award to maximum eligibility.

Return of Title IV Aid (R2T4): Federal regulations mandate that a portion of a student's aid be prorated and returned to the lender or program if a student has withdrawn completely from a pay period.

SAP (Satisfactory Academic Progress): Federal regulations mandate that the financial aid office review the academic progress of all students receiving financial aid. Academic progress is determined through two criteria: GPA and completed versus attempted credit hours. This process is separate from Academic Standing defined through Academic Affairs and only affects financial aid eligibility. A student can be terminated from financial aid eligibility yet maintain a good academic standing with the university, and vice versa.

SAR (Student Aid Report): The output document from the FAFSA, also known as the needs analysis record or ISIR. This document records all information provided by the student on the FAFSA, and includes information regarding eligibility for Title IV aid including EFC.

School Certification Form: The form filled out by the financial aid counselor to inform the lender of a student requesting a Stafford Student Loan against the MPN. This form tells the lender/guarantor the amounts of student loans the student is eligible for, the time frame the loan is to cover, and when the loan is to be disbursed. This form is required to be submitted by the student to the financial aid office (preprinted with lender/guarantor information including Lender ID Code and address to return the form) if a student chooses to use a non-preferred lender.

School Code (or OPE Code): The code by which Webster University is identified by the Department of Education. This code must be added to the FAFSA in order for the financial aid office to receive a copy of the SAR. Webster University school code is 002521.

Stafford Loan: This program is directed by regulations from the Department of Education, and is a low-interest loan program designed for educational expenses. The program utilizes guarantee agencies and private lenders. There are two types of loans under this program: Subsidized and Unsubsidized. Subsidized loans are need-based aid, and students must demonstrate need to be eligible through the information provided on the SAR. Unsubsidized loans are not need-based, and eligibility is based solely upon degree-seeking status, enrollment, and eligibility as defined by the Title IV regulations (example, not in default on a prior loan, not receiving aid at another institution in excess of academic year limits).

Title IV Aid: Financial aid that is administered and regulated by the Department of Education. This includes Stafford Student Loans, Pell Grant, SEOG, and Perkins Loans.

Withdraw : Process by which a student drops a class after the add/drop date. This will cause a "W" to be reflected for the class grade on the student's transcript. This may cause a break in enrollment if a student is not registered for other classes during the term in which he withdraws from a class. In addition, excessive withdrawals can lead to a student losing financial aid eligibility through the Satisfactory Academic Progress (SAP) policy.

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Financial Aid Handbook

Contacting the Financial Aid Office

The Application Process - One step at a time

"Ready to Package" and Awarding Processes/Issues

Guarantee & Print

Hold & Release

Miscellaneous Issues

Glossary of Financial Aid Terms