Frequently Asked Financial Questions
Q: I have a poor credit rating. Will this hurt my child’s chances of getting a student loan?
A: No, the only way the applicant would be hurt by a poor credit rating is if he or she is in default on a previous student loan. Parents, however, could be denied a Federal PLUS Loan on the basis of credit history.
Q: Our family makes over $50,000 a year. Does this mean we are not eligible for financial aid?
A: Not necessarily. There are loans that families of all incomes can qualify for. There are a number of factors in addition to your household income that determine if you are eligible for financial aid.
Q: Do I have to make payments on my student loan while I’m in school?
A: In most cases, you can postpone payments while you are in school. You may, however, choose to pay any interest that accrues on an unsubsidized loan.
Q: If I am awarded financial aid, when will I get the money?
A: Methods of distributing financial aid vary from campus to campus. Most financial aid will not be given directly to you. Financial aid funds are distributed at certain intervals in your program as long as you have met the required criteria, which consist of satisfactory attendance and grade point average. No loans will be issued until you have been in school for at least 30 days.
Q: What happens if I don’t repay my student loan?
A: If you fail to repay your loan according to the terms disclosed on your promissory note, you are considered to be in default.
- The default will be reported to at least one national credit bureau and your credit rating will be damaged for as long as seven years. This will make it difficult for you to borrow money for a car or home.
- You may be required to pay the entire amount of the loan, including interest immediately.
- Your wages may be withheld to pay your debt. Possessions may be seized.
- You will be unable to get additional federal or state financial aid, including student loans.
- You may no longer be eligible for revised payment schedules or deferments.
- The loan may be referred to a collection agency, and you may be held liable for collection costs.
- Your federal and state tax refunds may be withheld.
Types of Financial Aid Available
Rob Roy Academy is a federally approved school. This means that you have access to both Federal and State financial assistance programs. In addition, Rob Roy Academy has an interest-free payment plan available. Financial aid is subject to the availability of funds. The financial aid programs listed below are available for students who qualify for programs over 600 hours long:
- Grants – (usually only Federal or State funded)
- Student loans
- Scholarships – (usually free money and not required to be repaid)
A financial grant is a specific amount of money given for your educational needs and usually does not require repayment.
- Pell Grants
- Supplemental Educational Opportunity Grants
- State Grants
- Part Time State Grants
A student loan is a specific amount of money borrowed for your educational needs, and must be repaid with interest.
- Subsidized Direct Loan or Unsubsidized Direct Loan
- Parent Plus Loan
Scholarships are given by all types of institutions based on financial need, academic ability or outstanding talent. With a little hard work, you can uncover thousands of private scholarships available through various companies, organizations, and clubs. Your eligibility for these programs is determined from the results of a financial aid application. Be assured that the Financial Aid office will assist you with every detail of the application.
Assistance will be provided to any registered student in completing all financial aid application materials.
- Students applying for financial aid must be either a U.S. Citizen, National or Recognized alien.
- Financial Aid is available to eligible students who are enrolled at least part-time in an eligible program.
- Students receiving funding must maintain satisfactory progress, not owe a refund or repayment on prior financial aid, and not be in default on a Federal loan program.
Documentation you may need for a financial aid appointment at Rob Roy:
- Complete signed copy of Federal income tax return & W-2’s for the previous year
- Verification of untaxed income for previous year
- AFDC/ADC Benefits for previous year
- Dependent students (un-married, no children, under age 24) also bring:
- Parents’ complete, signed, copy of Federal income tax return & W-2’s for the previous year
- Parents’ verification of untaxed income for previous year
- Parents’ AFDC/ADC Benefits for previous year
- Parents’ Social Security Benefits for previous year