Federal Programs

There are five major financial aid programs which are funded by the federal government and are made available to UMHB students. All are based upon the student’s need:

1. Federal Pell Grant

   This grant can be applied for when a student completes the Free Application For Federal Student Aid (FAFSA). The Pell Grant Program processes the information reported, then the student’s Expected Family Contribution (EFC) is determined and reported back to the student on an Institutional Student Information Report (ISIR). The amount of the grant is based upon the EFC, enrollment status, and cost of attendance. Funds awarded are directly credited to the student’s UMHB account.

2. Federal Supplemental Education Opportunity Grant (FSEOG)

   Eligibility for this grant is determined after Pell Grant eligibility has been established. SEOG recipients will also be Pell recipients and will show the smallest of family contributions. This program is funded only in a limited manner. Funds awarded are directly credited to the student’s UMHB account.

3. Federal Direct Subsidized Student Loan

   This is a federally insured loan. Amounts range from $3,500 per academic year for the first year (0-29 hrs), $4,500 for the second year (30-59 hrs), and $5,500 for subsequent years (60+ hrs), not to exceed a total of $23,000. No interest is charged on the loan until the student falls below half-time status. After being awarded this loan, students must complete online entrance counseling and a master promissory note.

4. Federal Direct Unsubsidized Student Loan

   Same terms and conditions as Subsidized Stafford loans, except that the borrower is responsible for interest that accrues during deferment periods (including in-school) and during the six-month grace period.

5. Federal Direct Parent Loan for Undergraduate Students (PLUS)
   
   Parental based loans that an undergraduate student may qualify for based on their parents credit history. The U.S. Department of Education is the lender. The maximum loan amount is the student’s cost of attendance minus any other financial aid receive

6. Federal Work-Study
   
   This college work program (need based) allows a student to work on campus at the prevailing minimum wage. Students on Federal Work-Study are also eligible to apply for community service positions within the Belton area. Work awards are calculated on 13 hours per week for each 15-week semester. The maximum work award will be indicated on the student’s award letter. Time sheets are completed online daily and require the student's supervisor's approval. Checks are issued bi-monthly through the Bursar’s Office and will be used to pay any outstanding balance on the student’s account. If the student does not have an outstanding balance, the check will be issued directly to the student.