Financial Aid Programs at UMGC
UMGC participates in the following federal student financial aid programs: PELL Grant, Supplemental Educational Opportunity Grant, Direct subsidized loans, Direct unsubsidized loans and Direct PLUS loans (for parents and graduate students). Below is helpful information on each program.
Grants are need-based financial awards that do not have to be repaid. Award amounts vary depending on the student’s enrollment status and need level. Grants are available from a variety of sources, including Federal and state governments.
Federal Pell Grant
The Federal Pell Grant is free assistance that is funded and awarded by the Federal government. The Pell Grant is based on the expected family contribution, as determined by the FAFSA and current enrollment.
Recipients must be enrolled in an undergraduate degree-seeking program leading to a first bachelor’s degree and meet all other eligibility criteria. Students are able to receive a Pell Grant for a maximum of 12 full-time semesters.
Federal Supplemental Educational Opportunity Grant
This grant is for undergraduate students who are working toward their first degree and have exceptional financial need. FSEOG awards are not guaranteed from one year to the next.
Pell Grant recipients with the lowest expected family contributions are considered first for an FSEOG. FSEOG funding is limited, therefore all eligible students may not receive this award. The FSEOG does not have to be repaid.
Federal student loans are government-backed, guaranteed loans. They are low-cost, fixed-rate loans that can be subsidized (need based) or unsubsidized (non-need based). Subsidized loans begin to accrue interest when repayment begins, generally six months after you leave school or your attendance drops below half-time, while unsubsidized loans begin to accrue interest as soon as you receive the full amount of the loan.
Award amounts are based on grade year classifications and vary each year. Students must be enrolled at least half-time to be eligible for a direct loan disbursement.
Half-time status at UMGC is defined differently depending on your program:
- Standard Undergraduate: 6 credits
- Standard Graduate: 6 credits
- Specialty Graduate: 3 credits
- Doctoral: 3 credits
Benefits of Federal Loans
Federal student loans are an investment in your future. You should not be afraid to take out Federal student loans, but you should be smart about it. Federal student loans offer many benefits compared to other options.
- The interest rate on Federal student loans is almost always lower than that on educational private loans—and much lower than that on a credit card.
- You don’t need a credit check or a cosigner to obtain most Federal student loans.
- You don’t have to begin repaying your Federal student loans until after you leave college or drop below half-time.
- If you demonstrate financial need, you can qualify to have the government pay your interest while you are in school.
- Federal student loans offer flexible repayment plans and options to postpone your loan payments if you’re having trouble making payments.
- If you work in certain jobs, you may be eligible to have a portion of your Federal student loans forgiven if you meet certain conditions.
Student Aid, Grant, & Loan Information
- William D. Ford Federal Direct Loan Program
- Federal Loans
- Interest Rates on Federal Student Loans
- Tameka L., MS in Management with Human Resource Management Specialization