State Programs
PENNSYLVANIA HIGHER EDUCATION ASSISTANCE AGENCY GRANT (PHEAA)
The PHEAA State Grant is awarded to students based on enrollment and academic
progress. Community College of Philadelphia is required to insure that
a student receiving a Pennsylvania State Grant is making "Satisfactory
Academic Progress". This process is similar to, but slightly different
from the federal process. Before the PA State Grant is credited to an
account, the Financial Aid office must check to see if the student received
any prior State Grants. This is done using a "Cumulative Grant Counter"
supplied by PHEAA. The Cumulative Grant Counter for part-time is assigned
to a recipient based on prior grants received. A student is assigned a
.25 Grant Counter for a part-time grant received and .50 grant counter
for a full-time grant received during any prior semester. For more information
regarding PHEAA State Grants visit their website at www.pheaa.org.
LOANS
In addition to completing the Free Application for Federal Student Aid
as required, students applying for the Federal
Stafford Loan must also complete a Federal Stafford Loan Application.
You may complete a student loan application online at www.aessuccess.org.
Applications are also available at participating lending institutions
or the Financial Aid office. First-time student loan borrowers at the
College must complete an entrance
interview form before their loan application can be certified. Students
may complete an entrance interview online at www.aessuccess.org.
First time borrowers at Community College of Philadelphia, please note
that your loans will not be disbursed until 30 days after the start of
the semester.
SUBSIDIZED STAFFORD LOANS
A need based loan on which the interest is paid by the government while
you are in school at least half-time (6 credits) during the grace period
and during periods of deferment.
UNSUBSIDIZED STAFFORD LOANS
You are responsible for paying the interest on an unsubsidized loan while
you are in school, during the grace period, during deferment periods and
during repayment. Interest can either be paid while you are attending
school, or it can be postponed until graduation or withdrawal from school.
If you have postponed paying interest, it will be capitalized once you
enter repayment (for example, after your grade period). Both the subsidized
and unsubsidized Stafford loans have a variable interest rate that adjusts
every July 1 and cannot exceed 8.25%.
Capitalizing Interest
The process in which the lender adds any unpaid interest on a loan to
the principal balance, which increases the outstanding balance on which
interest accrues (builds) daily.
Parent
Loan for Undergraduate Students (PLUS)
A low cost federal loan taken out by the parent, in the parent's name
to cover the cost of education that is not covered by other aid, for example
Stafford Loans. It has a variable interest rate that is adjusted every
July 1 and cannot exceed 9%. Parents are eligible based on their credit
history not income.