Financial aid basics

At the University of Minnesota, we are committed to helping you discover and understand all of the resources available to cover the costs of college. We understand that many students and their families cannot meet all the costs of college, so we strive to meet the financial needs of all our students. Here are answers to some frequently asked questions about financial aid.

Or, you can download a financial aid flier:

Facts about financial aid for Minnesota residents

Facts about financial aid for North Dakota, South Dakota, and Wisconsin residents

Facts about financial aid for residents of other states

Or, you can speak with a financial aid counselor through the U of M student services center, One Stop:

One Stop Student Services
helpingu@umn.edu
(612) 624-1111 or 1-800-400-8636
TTY 612-626-0701 (for hearing impaired)
For alternative formats, call Disability Services at 612-625-9578.

What types of financial assistance are available?

We are here to provide you with great academics, great opportunities, and great value to support you and help you achieve your academic, personal, and professional goals. There are a number of things we do to help make the U of M affordable for you and your family:

• Each semester, every credit after 13 is free of charge, keeping costs down for families and helping students achieve graduation in four years.
• We offer a Four-Year Graduation Guarantee, helping students graduate sooner and save money on tuition.
• An installment payment plan allows you and your family to pay expenses in three equal payments throughout the semester. (A $35 service fee is charged.)
• Loans enable you or your parents to borrow money to pay for school. You must repay the money over time. If you qualify for subsidized loans, you do not have to pay interest on those loans during college. If you qualify for unsubsidized loans, you do have to pay interest during college.
• Merit scholarships are gifts of money that do not need to be repaid. Scholarships typically recognize special achievements in academics and leadership, and they can come from a variety of sources. The University of Minnesota sponsors a variety of highly competitive scholarships.
• Need-based grants are funds that do not need to be repaid. They are generally awarded to students with the greatest financial need. For example, if you are a Minnesota resident with a family income up to $50,000, you may be eligible for a Minnesota State Grant.
• Student employment is not based on financial need. Every year, the University Job Center posts thousands of part-time jobs, both on campus and off.
• Work-study--a form of need-based financial aid--is money you can earn while working. Work-study earnings are not included as income when calculating your eligibility for financial aid the following year.
• Some financial aid programs combine funds from a number of sources so that the cost of tuition and fees are free to eligible students. One example is the Founders Free Tuition Program for Minnesota residents. These funds do not need to be repaid.

How do I apply for financial aid?

To apply for grants, scholarships, loans, and work-study, fill out the Free Application for Federal Student Aid (FAFSA). We strongly encourage every family to submit the FAFSA, even if they think they may not be eligible for aid. Regardless of your income level, the best resources for financial aid (University, state and federal aid) are only available through the FAFSA.

We use the FAFSA to determine your eligibility for federal, state, and University aid programs. A financial aid package might include grants, loans, scholarships, and/or work study. We encourage you to submit the FAFSA as soon as possible after January 1^st of your senior year.

The FAFSA, available in both English and Spanish, is available online. Be sure to release your information to the University of Minnesota-Twin Cities by including the U of M Federal School Code of 003969.

You may apply for aid before you receive an admission decision from the University of Minnesota. However, you won't learn what aid you've been awarded until you have been admitted.

When can I apply for financial aid?

The FAFSA will be available on January 1, the winter before you enroll, and we encourage you to apply as soon as possible. The sooner you apply, the sooner you will receive notification of your financial aid eligibility. The U of M's priority deadline to submit the FAFSA is March 1, the spring before you enroll.

What happens after I have submitted my FAFSA?

When we receive your FAFSA information, we will customize a financial aid package based on your eligibility and needs. We encourage you to submit the FAFSA by the March 1 priority deadline, so we can send your estimated financial aid awards beginning in April.

Where does financial aid money come from?

When your application is complete, you will be considered for federal and state aid programs, as well as for those funded by the University.

Throughout high school and especially in the fall of your senior year, you should also check with your high school, public library, local businesses, and community organizations for scholarships. You may also search the U of M's One Stop Student Services Grant and Scholarship Resources site.

I have heard that the University of Minnesota is a "direct-lending" school. What does that mean?

A "direct-lending" school such as the University of Minnesota offers loans directly through the U.S. Department of Education. This type of loan offers low interest rates and the best repayment plans. That means you will get an excellent education at a world-renowned research university, all for a great value.

How is eligibility determined?

The amount of financial aid you are eligible to receive will be based on:

• your FAFSA results
• the number of credits you are registered for
• the amount of financial aid money available
• the criteria for individual aid programs.

Nearly all aid programs require that you be registered for at least 6 credits per term, and many require a minimum of 12 credits.

How is financial need calculated?

Your financial need is the difference between our estimates of your cost of attending the University and the amount the federal and state governments expect you and your family to contribute to those costs.

Cost of attendance - Family resources = Financial need

Your total expected family contribution is calculated using a federal needs analysis formula and is based on income and other data you report on the FAFSA, including your own savings and employment income.

If you are found to have financial need, we will offer you financial aid to meet that need. The aid offered may be any combination of grants, loans, scholarships, or work-study jobs.

FinAid is a free public resource with information about financial aid, and it offers a Financial Aid Calculator at http://www.finaid.com/calculators/finaidestimate.phtml.

Is my family required to contribute toward my education?

Yes. Your parents are expected to contribute unless you are considered "independent" for financial aid purposes. Financial aid independence requires that you meet at least one of the following criteria:

• at least 24 years old
• a veteran of the U.S. Armed Forces
• in graduate or professional school
• married
• an orphan or ward of the court or have legal dependents for whom you provide at least half of their support

How can I use my financial aid?

Financial aid money can be used to cover many educational expenses, such as tuition, housing, books, and transportation.

What is the average financial aid package?

Of the full-time U of M freshmen who qualified for financial aid in 2008-09, the average package (including grants, loans, scholarships, and/or work study) was $13,272.

Where can I get more information about financial aid?

If you have questions about financial aid, contact One Stop, the U of M student services center. Our One Stop counselors are happy to answer your questions:

One Stop Student Services
helpingu@umn.edu
(612) 624-1111 or 1-800-400-8636
TTY 612-626-0701 (for hearing impaired)
For alternative formats, call Disability Services at 612-625-9578.

For further information, you may also wish to visit these sites:

• US Department of Education, for information on the FAFSA and federal student aid
• MN Higher Education Services Office, for information on state grants and other aid
• FINAID, a general resource on financial aid
• FastWeb-a free scholarship search service

Is financial aid available for international students?

The University of Minnesota cannot offer financial aid or scholarships to international undergraduate students. However, the University does offer thousands of on- and off-campus student employment options. Students are eligible to use employment services after they enroll for classes.