Federal Pell Grant
The Federal Pell Grant is a need-based program provided by the federal government. Not all students are eligible for this program. In order to be considered for a Federal Pell Grant, the student must be a United States citizen or permanent resident alien and demonstrate financial need.
To apply, the student must complete and submit the Free Application for Federal Student Aid (FAFSA). A calculated Institutional Student Information Record (ISIR) report will be sent electronically to the College. This report is necessary for determining the student’s eligibility for any federal aid program.

The Federal Pell Grant is an entitlement program. The applicant must be enrolled as a matriculated undergraduate student taking a minimum of 3 credits at an approved postsecondary institution. Financial need is determined by a national formula applied to all applications.
Furthermore, the student (1) must continue to make satisfactory academic progress in the program in which he or she is enrolled; (2) cannot be in default on repayment of any Title IV (Federal) student loan or owe a refund on any Title IV grants; (3) show compliance with applicable Selective Service requirements.

Currently, awards range $692 from $ to $6895 per academic year for full-time study*. The amount of the award will be affected by enrollment status, cost of attendance, and financial need.

* Amount submit to change based on approval from the Federal Government.

Federal Supplemental Educational Opportunity Grant (SEOG)
Students who are eligible for a Federal Pell Grant and show the highest need are first considered for Federal SEOG. Applicants must be (1) United States citizens or permanent resident aliens; (2) enrolled at least half-time as undergraduate students; and (3) receiving additional financial assistance at least equal to the amount of the Federal SEOG award. The average award at Cazenovia College is currently $200-300 per academic year. A Federal SEOG recipient must continue to make satisfactory academic progress.

The student must complete and submit the Free Application for Federal Student Aid (FAFSA) to be considered.

Federal College Work-Study Program
Federal College Work Study awards average $1,500 per academic year and are awarded based on demonstrated financial need and time of application. Students work an average of seven hours per week and are placed at approved workplaces throughout campus. Student performance will be monitored by the Human Resources Office for a determination of continued employment. Students are paid bi-weekly only for actual hours worked. Students may use these funds to help pay personal expenses or apply the earnings to their student billing account.

The student must complete and submit the Free Application for Federal Student Aid (FAFSA) by February 1 of each year to be considered.

William D. Ford Direct Loan Program – For Students
A Free Application for Federal Student Aid (FAFSA) must be filed in order for a student to receive loan funds from the Federal Direct Loan Program. Eligible students will receive a Financial Aid Award letter indicating loan amounts and instructions on how to apply.

To be eligible for a Federal Direct Loan, a student must (1) be a United States citizen or permanent resident alien; (2) be enrolled at least as a half-time student; (3) show compliance with applicable Selective Service requirements; (4) not be in default on a Title IV (federal) loan or owe a refund on any Title IV grants; and (5) make satisfactory academic progress.

An undergraduate student may borrow up to $3,500 as a freshman, $4,500 as a sophomore, and $5,500 as a junior and senior. In addition, the Department of Education allows a student to borrow $2,000 in an unsubsidized loan each year, in addition to the base amount. The Department of Education will deduct approximately a 1.1% origination fee from the total amount received by the student.

There are two types of Federal Direct Loans for undergraduate students. If the student has a need-based Federal Direct Subsidized Loan, the Federal government pays the loan interest while the student is in college. If the student has a non-need based Federal Direct Unsubsidized Loan, the student is responsible for paying the interest while in college.

For the 2022-23 academic year, a student may borrow at a relatively low interest rate of 4.99% percent with no repayment of principal while enrolled at least half-time, and for six months after program completion or departure. Payment of principal may further be deferred (1) serving on active duty during a war or other military operation or national emergency or performing qualifying National Guard duty during a war or other military operation or national security (this deferment is available only for Direct Loans first disbursed on or after July 1, 2011.); or (2) a period of up to three years when the student is unemployed or experiencing economic hardship. After ceasing to be at least a half-time student, the borrower must make formal arrangements with their loan servicer to begin repayment.

The following regulations apply: 

  1. Depending on the amount of the loan, the minimum monthly payment will be $50 plus interest. Under unusual and extenuating circumstances, the loan servicer may be able to offer an alternative plan.
  2. Repayment periods are typically 10 years.
  3. Repayment in whole or part may be made at any time without penalty.

The amount of each payment depends upon the size of the student’s debt. The student should ask the Enrollment Services Center what the approximate monthly payments will be prior to processing the Federal Direct Loan promissory note. Monthly payments can also be calculated using the Repayment Estimator at  https://studentaid.gov/loan-simulator/.

A graduate student may borrow up to $20,500 per year in a Federal Direct Unsubsidized Loan at an interest rate of 6.54% and origination fee of 1.057% for the 2022-23 academic year.  The loan amount offered to a graduate student is subject to the cost of attendance as the total amount of all aid offered cannot exceed the cost of attendance.  

If the student fails to repay a loan, it will go into default. If a student defaults, the Federal government can sue the student to collect the loan, and the student may be required to repay the entire amount immediately.

Credit bureaus will be notified of the student’s default, and this will affect his or her future credit rating. Also, the Internal Revenue Service may withhold the student's federal income tax refund and apply it toward the loan. The Federal Government may also garnish the student's wages.

The student will be required to complete an electronic Master Promissory Note and Entrance Counseling session at www.studentaid.gov prior to their Direct Loan funds being disbursed to the College. When the student ceases to be enrolled at least half time at the College, he/she will be required to complete an Exit Counseling session at www.studentaid.gov to review rights and responsibilities and repayment information.

Borrowers may be eligible for partial or complete loan cancelation under certain circumstances. If you are a "new" borrower (did not have an outstanding balance on a Federal loan on October 1, 1998) and teach full-time in a low-income elementary or secondary school, or in a low-income education service agency, for five consecutive years and meet certain other obligations, as much as $17,500 of Federal Direct Subsidized and Unsubsidized Loans may be forgiven. In addition, borrowers who are employed in certain public service jobs may be eligible for partial loan forgiveness. Further information is available at www.studentaid.gov.

William D. Ford Direct Parent Loan for Undergraduate Students (PLUS)
The Direct PLUS Loan Program is for parents of dependent undergraduate students who wish to borrow funds to meet the student’s postsecondary educational costs. Parents may borrow up to the full cost, less any financial aid, per year. The 2022-23 interest rate is 7.54 percent. Repayment begins 60 days after the last disbursement of the loan proceeds for that year or may be deferred until the student leaves school. All Federal Direct PLUS Loan applications are subject to a credit check by the Federal Direct Loan Servicing Center for approval.

The application and Master Promissory Note are available at www.studentloans.gov. If approved, loan funds, less an approximately 4% origination fee, will be disbursed to the College electronically and applied to the student’s account.