FINANCIAL AID PUBLICATIONS
STUDENT FINANCIAL AID HANDBOOK 2002 – 2003
Chapter One
WHAT IS FINANCIAL AID?
Financial aid consists of three basic types: loans‚ scholarships/grants
and work.
Loans are any form of aid which must be repaid.
Scholarships and grants are gift aid which do not have to be
repaid.
Work consists of part–time jobs for which you will be
paid on an hourly basis.
At UMDNJ‚ these three basic types of financial aid come
from a variety of sources: the federal government‚ the State
of New Jersey‚ UMDNJ itself‚ or outside agencies‚
organizations‚ and donors.
The following is a list of major programs administered by UMDNJ
for students in the New Jersey Medical School‚ Robert Wood
Johnson Medical School‚ School of Osteopathic Medicine‚
New Jersey Dental School‚ Graduate School of Biomedical Sciences‚
School of Public Health‚ School of Health Related Professions
(Graduate level programs only) and School of Nursing.
Please Note:
Dental Post Graduate students are only eligible for the Federal
Stafford Loan (subsidized and/or unsubsidized)‚ Federal Work–Study‚
Disadvantaged Student Fund‚ Dental Education Assistance Loan
and NJCLASS.
Graduate School of Biomedical Sciences‚ School of Public
Health and School of Health Related Professions’ graduate
students are eligible for the Federal Stafford Loan (subsidized
and/or unsubsidized)‚ Federal Work–Study‚ Federal
Perkins Loan‚ Disadvantaged Student Fund‚ and NJCLASS.
School of Nursing students are only eligible for the Federal
Stafford Loan (subsidized and/or unsubsidized)‚ Federal Perkins
Loan‚ Disadvantaged Student Fund and NJCLASS.
FEDERAL PROGRAMS
ARMED FORCES HEALTH PROFESSIONALS SCHOLARSHIPS (AFHPS)
Scholarships are available to U.S. citizens enrolled or accepted
in Medical‚ Dental or Osteopathic schools. In return for
the financial assistance‚ the student must serve in the Armed
Forces.
For additional information and/or an application‚ call or
write any of the following branches:
N.J. NATIONAL GUARD
Medical Service Corps
Recruiting and Retention Office
3650 Saylors Pond Road‚ Room b–212
Fort Dix‚ N.J. 08640–7600(609) 562–0712 or 0719
or (800)792–8396 (in State)
http:\\www.1800goguard.com
US AIR FORCE
Health Professions Program Managers
USAF Recruiting Services
550 D Street West‚ Suite 1
Randolph AFB‚ Texas 78150–4527
Toll–free (800)423–USAF
(732) 843–6125
http:\\www.airforce.com
US ARMY (SOM only)
The Curtis Center
601 Walnut Street‚ Suite 460 West
Philadelphia‚ PA 19106
(215) 597–6002
US ARMY (NJMS/NJDS/RWJMS)
Health Care Recruiting Team Office
Building 114‚ Room 2–39
Fort Hamilton‚ NY 11252
(718) 630–630–4081
US NAVY
Navy Recruiting District New York
DET – Iselin
Woodbridge Corporate Plaza
485 U.S. Route 1‚ Building A‚ 4th Floor
Iselin‚ NJ 08830–3012
732–602–3043
www.navyjobs.com
FEDERAL PERKINS LOAN
A low–interest‚ long–term loan program for which
the maximum amount you may borrow cumulatively is $40‚000
for undergraduate and professional or graduate studies. This is
a need–based program for which eligibility is determined
from information provided on the FAFSA.
Eligibility Criteria
Student must not be in default on a student loan or owe a
refund of any Title IV grant or loan.
To be eligible for a Federal Perkins Loan‚ student must
be enrolled‚ or be accepted for enrollment at least half–time‚
and be a citizen or permanent resident of the U.S.
Terms and Conditions
Interest rate on the Federal Perkins Loan is 5%. Borrowers
do not pay interest while in school and during authorized
deferment periods. Entrance and Exit Interviews are mandatory.
A Promissory note must be completed and returned to the Student
Loan Office before loans are disbursed.
FEDERAL STAFFORD LOAN (FSL) (Subsidized version)
A low–interest loan available through a lender such as a
bank‚ credit union‚ or savings and loan association.
FSL loans are insured by a guarantee agency‚ and reinsured
by the Federal Government.
FSL is a need–based program for which eligibility is determined
from information provided on the FAFSA or Renewal FAFSA. The student
must demonstrate financial need.
You may borrow up to $8‚500 a year as a graduate or professional
student.
The total cumulative FSL you may borrow as a graduate or professional
student is $65‚500 including any FSL loans borrowed at the
undergraduate level.
A Master Promissory Note for this loan must be completed. Master
Promissory Notes must be completed and processed according to
specific campus Student Financial Aid Office directions.
Eligibility Criteria
Student must not be in default on a student loan or owe a
refund on any Title IV grant or loan.
Student must be enrolled‚ or accepted for enrollment
at least half time‚ and be a citizen or permanent resident
of the United States.
Terms and Conditions
Federal Government will pay interest on the loan while in
school.
Loans will have a variable interest rate capped at 8.25%.
Variable interest rates are set each July 1st.
An origination fee and guarantee fee may be deducted by the
lender. All proceeds must be paid in at least two disbursements.
An Entrance Interview is required for first time borrowers.
An Exit Interview is required for all borrowers.
FEDERAL WORK–STUDY PROGRAM (FWS)
Provides part–time employment for students who demonstrate
financial need and express an interest in working. On the UMDNJ
Application for Financial Aid students must indicate their interest
in the program to be considered for FWS funds.
Upon being awarded FWS‚ the recipient must review job opportunities
and select the job that suits his or her background and academic
schedule. Placement is handled by the Student Financial Aid Office
for the Newark and Stratford campuses and by Human Resources for
the Piscataway campus.
This is a need–based program. Eligibility is determined
from the information provided on the FAFSA or Renewal FAFSA.
Community Service Component
A portion of FWS funds allocated to the University must be used
for students employed in community service positions. Eligible
students will be made aware of these special employment opportunities.
A portion of funds allocated must be used for programs focusing
on Reading/Mathematics and/or Family Literacy Projects. Eligible
students will be made aware of these special employment opportunities.
Eligibility Criteria
Student must not be in default on a student loan or owe a
refund on any Title IV loan or grant.
Student must be enrolled at least half time.
Terms and Conditions
Student is awarded a particular amount of FWS funds and is
not allowed to exceed total working hours dictated by this
allocation. At UMDNJ‚ students are not permitted to work
more than 20 hours per week while classes are in session.
During periods such as vacation or semester breaks‚ students
may work up to 35 hours per week with the approval of their
supervisor.
HEALTH PROFESSIONS STUDENT LOAN (HPSL) – NJDS only
This loan program is available to students demonstrating financial
need. Award amounts are determined by the school based upon both
financial need and availability of funds.
This is a need–based program. Eligibility is determined
from the information provided on the FAFSA and Renewal FAFSA.
Eligibility Criteria
Student must demonstrate financial need as defined by the
federal government. Students must be enrolled or accepted
as a full–time student.
Parental information on the FAFSA must be provided in all
cases regardless of dependency status.
Terms and Conditions
The interest rate is 5%. Interest is paid by the federal
government while the borrower is in school and during authorized
deferment periods.
Entrance and exit interviews are mandatory.
Promissory notes must be completed and returned to the Student
Loan Office before loans are disbursed.
LOANS FOR DISADVANTAGED STUDENTS (LDS)
This loan is available to students from disadvantaged backgrounds
as defined by the Department of Health and Human Services. The
amount awarded is determined by the school based upon both financial
need and availability of funds.
This is a need–based program. Eligibility is determined
from the information provided on the FAFSA or Renewal FAFSA.
Eligibility Criteria
Student must come from a disadvantaged background or from
a family with an annual income below a level based on low–income
thresholds and family size. Student must be enrolled or accepted
as a full–time student and demonstrate financial need.
Parental information on the FAFSA must be provided in all
cases regardless of dependency status.
Terms and Conditions
The interest rate 5%. Interest is paid by the federal government
while the borrower is enrolled in school and during authorized
deferment periods.
Entrance and exit interviews are mandatory.
Promissory notes must be completed and returned to the Student
Loan Office before loans are disbursed.
NATIONAL HEALTH SERVICE CORPS (NHSC) The program
is designed to recruit allopathic and osteopathic physicians‚
certified nurse midwives‚ family nurse practitioners and
physician assistants to serve in shortage areas as defined by
NHSC.
Eligibility Criteria
Priority is given to former EFN‚ SDS‚ LDS and FADHPS
recipients. Applications are available in the Financial Aid
and Student Affairs Office.
Terms and Conditions
Government pays tuition and fees. Students chosen for the
scholarship must agree to one year of service commitment in
a Health Professional Shortage Area (HPSA) for each year of
scholarship support‚ with a required minimum commitment
of two years and maximum of four years.
PRIMARY CARE LOAN (PCL) – NJMS‚ RWJMS and SOM
only
This program is available to students demonstrating financial
need. Amount awarded is based upon financial need and availability
of funds.
Eligibility Criteria
Student must demonstrate financial need as defined by the
federal government. Student must be enrolled or accepted as
a full–time student.
Parental information on the FAFSA must be provided in all
cases regardless of dependency status.
Terms and Conditions
The interest rate is 5%. Interest is paid by the federal
government while the borrower is in school and during authorized
deferment periods.
Entrance and exit interviews are mandatory.
Students awarded Primary Care Loans must commit to a career
in primary health care. He/she is required to practice in
a primary care field up to the date on which the loan is paid
in full. If borrower fails to meet this obligation‚ the
loan balance is to be recomputed from the date of issuance
of the loan at an interest rate of 12% per year‚ compounded
annually. For loans made on or after November 13‚ 1998‚
an interest rate of 18% beginning on the date of noncompliance
will be used.
A definition of primary health care may be obtained in the
Student Financial Aid Office. Primary health care requirements
do not apply to students who borrowed from the HPSL program
prior to July 1‚ 1993.
SCHOLARSHIPS FOR DISADVANTAGED STUDENTS (SDS) This
scholarship is available to students from disadvantaged backgrounds.
The amount awarded is determined by the school based upon financial
need and availability of funds.
Parental information on the FAFSA must be provided in all cases
regardless of dependency status.
Eligibility Criteria
Same as Loans for Disadvantaged Students (LDS)
UNSUBSIDIZED FEDERAL STAFFORD LOAN (UFSL)
A low interest unsubsidized non–need based loan available
through a lender such as a bank‚ credit union‚ or savings
and loan association. The interest rate is variable‚ set
annually July 1st and is capped at 8.25%
The combined subsidized/unsubsidized aggregate loan limit for
graduate and professional health professions students is $189‚125.
Students must complete FAFSA or Renewal FAFSA.
Eligibility Criteria
Student must not be in default on a student loan or owe a
refund on any Title IV grant or loan.
Student must be enrolled‚ or accepted for enrollment
at least half time‚ and be a citizen or permanent resident
of the United States.
Terms and Conditions
Interest accrues from the date of disbursement.
An origination fee and guarantee fee may be deducted by the
lender. All proceeds must be sent in at least two disbursements.
An Entrance Interview is required for first time borrowers
and Exit Interviews are mandatory.
STATE PROGRAMS
EDUCATIONAL OPPORTUNITY FUND (EOF)
A State of New Jersey grant program for full–time medical
and dental students from disadvantaged backgrounds.
Maximum grant is $4‚150 per academic year.
Eligibility Criteria
Must be a legal resident of the State of New Jersey for at
least 12 consecutive months prior to receiving the grant‚
and come from an economic background that reflects a history
of poverty as determined by information supplied on the FAFSA
or Renewal FAFSA and other financial documents. Student must
be enrolled full–time.
Terms and Conditions
Priority will be given to those students who received EOF
grants as undergraduates. Graduate students who did not receive
an undergraduate grant must supply documentation of historical
poverty using the financial criteria established by EOF and
the UMDNJ Financial Aid Offices.
MARTIN LUTHER KING PHYSICIAN/DENTAL SCHOLARSHIP (MLK)
A State of New Jersey grant program for full–time medical
and dental students from disadvantaged backgrounds.
Maximum grant cannot exceed maximum tuition charged at UMDNJ.
Eligibility Criteria
Must be a legal resident of the State of New Jersey for at
least two years immediately prior to receiving the scholarship‚
and;
A minority student included in one of the ethnic groups recognized
by the Association of American Medical Colleges‚ American
Association of Colleges of Osteopathic Medicine or the American
Dental Education Association as underrepresented in the medical
or dental professions‚ or;
A former or current recipient of the New Jersey EOF undergraduate
or graduate grant‚ or;
A student who would have been eligible as an undergraduate
for a New Jersey EOF grant.
NEW JERSEY COLLEGE LOAN TO ASSIST STATE STUDENTS (NJCLASS)
Loan program designed to assist New Jersey families with financing
higher education.
Student must complete FAFSA or Renewal FAFSA.
Eligibility Criteria
Be a permanent resident of New Jersey for at least six months
prior to filing a NJCLASS application or be an out–of–state
student attending an approved New Jersey educational institution.
Not be in default on any student loan or have had any prior
student loan discharged due to disability or bankruptcy.
Terms and Conditions
The interest rate is variable. Annual borrowing may not exceed
cost of attendance minus all other financial assistance received
by student.
UNIVERSITY PROGRAMS
DISADVANTAGED STUDENT FUND (DSF)
Grant program for target group minority students who demonstrate
financial need using the FAFSA or Renewal FAFSA. Target groups
at UMDNJ are defined as Native American‚ African American‚
Puerto Rican‚ and Mexican American.
Grant award are based on the overall funding level at the University.
UMDNJ INTERNAL LOANS
UMDNJ administers low interest loan programs with unmet financial
need as the main criteria of eligibility. Recipients are notified
by award letter. Funds are extremely limited.
UMDNJ INTERNAL SCHOLARSHIPS
UMDNJ administers several privately endowed scholarships. Recipients
are chosen based on their financial need and academic performance
after completing the first year at UMDNJ. All students with completed
financial aid files will be considered. Recipients are notified
by award letter.
UMDNJ FOUNDATION PROGRAMS
Scholarships are awarded through the Foundation of UMDNJ to students
attending or accepted for admission to UMDNJ.
UMDNJ–EMERGENCY LOANS
Short–term no interest loans are limited and based upon
availability of funds. Financial aid must be pending with the
Student Financial Aid Office to be approved for a loan.
Emergency loans must be repaid as soon as financial aid becomes
available so other students have access to these funds. Applications
are available in the Student Financial Aid Office. Checks are
disbursed through the campus Cashier’s Office.
ALTERNATIVE/PRIVATE LOANS
DENTAL EDUCATION ASSISTANCE LOAN (DEAL)
The annual loan limit is determined by the total cost of the
student’s program less all other financial aid funds received
or the school’s "recommended" amount.
The aggregate limit is $195‚000 for pre–doctoral student
and $230‚000 for post–doctoral students.
Eligibility Criteria
Attend a U.S. college that is a member of the American Dental
Education Association.
Be a member of the American Student Dental Association.
Enrolled or accepted for enrollment on at least a half–time
basis and be making satisfactory progress toward a degree.
Not have an adverse credit history.
MEDCAP ALLIED HEALTH LOAN
The annual loan limit is determined by the total cost of education
less financial aid funds received.
The annual loan maximum is $25‚000. The aggregated limit
is $80‚000 and $100‚000 for Physician Assistants.
Eligibility Criteria
Enrolled in an approved health professions school.
Satisfy credit criteria.
Be a United States citizen or permanent resident.
MEDLOANS ALTERNATIVE LOAN PROGRAM (ALP)
The annual loan limit is determined by the total cost of the
student’s program less all other financial aid funds received
or the school’s "recommended" amount.
The aggregate limit is $200‚000 total educational indebtedness
from all loan sources.
Eligibility Criteria
In order to borrow from this program‚ a student must
be:
Attending U.S. Medical School that is a member of the Association
of American Medical Colleges.
Enrolled or accepted as enrolled on at least a half–time
basis and be making satisfactory progress toward a degree.
A U.S. citizen‚ permanent resident‚ or other category
which would enable the student to participate in federal aid
programs.
Making satisfactory repayment if the student has previously
defaulted on any student loan programs. Satisfactory repayment
will be reviewed by the loan guarantor.
Free from excessive consumer debts as determined by the lender.
OUTSIDE PROGRAMS
NATIONAL MEDICAL FELLOWSHIPS (NMF)
NMF offers general scholarship awards to African Americans‚
Mainland Puerto Ricans‚ Mexican–Americans‚ and
Native Americans who are enrolled in the first or second year
in accredited schools of allopathic or osteopathic medicine in
the U.S.
Student must be a U.S. citizen.
Awards are granted on the basis of financial need.
Applications are available in March. The deadline for NMF to
receive applications from entering medical students is June. The
deadline for currently enrolled students is June. Initial and
renewal applications should be requested from the Student Affairs/Minority
Affairs offices or directly from the NMF Scholarship Program.
National Medical Fellowship‚ Inc.
Programs and Scholarship Department
5Hanover Square‚ 15th Floor
New York‚ N.Y. 10004–8880
or
www.nmfonline.org
First year students are urged to submit their completed application
to NMF as soon as they have received acceptance from at least
one medical school‚ even if they are awaiting responses from
other medical schools. Second year students who did not apply
previously are urged to submit an application.
