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College Finance
The Words you'll hear people use
EFC
Effective Family Contribution--how much the school will INSIST your family can pay. (Based on your FAFSA)
FAFSA
Free Application for Federal Student Aid. The form you will submit to the Department of Education on which schools will base your need. Similar to your tax form. (In fact a certain percentage of all applicants will have to provide copies of their tax forms)
Perkins Loan
Federal program to provide student loans to financially needy students. Very limited funds.
Subsidized Stafford Loan
Another Federal program to provide student loans to financially needy students. This fund has much more money, but the award to any student is limited for each year.
Unsubsidized Stafford Loan
Similar to Subsidized loan, except it has higher interest and must be repayed sooner.
Plus Loan
Loan for parents of student. While you must begin repaying immediately, the interest rate is very good and you have 10 years to repay. Assuming you pass a credit check you can borrow a lot if you desire
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