Northern California Institute of Cosmetology, Inc.

Free Application for Federal Student Aid or FAFSA.
A completed FAFSA is needed to start your application for financial aid.  The FAFSA is required of all U.S. citizens and permanent residents seeking financial aid from the College. The easiest way to complete the FAFSA is on-line at www.fafsa.ed.gov.   We encourage students to fill-out the FAFSA electronically online which could be done in the school or in the convenience of your home.  In order to sign the FAFSA if accomplished electronically, the student and at least one parent will need to request a PIN from www.pin.ed.gov.  The FAFSA can also be completed using a paper version of the form, but the processing time is much slower. Paper FAFSAs can be obtained in the Administrative office.

A student applying for financial aid is responsible for completing the forms required by the programs and the school.  A financial aid staff can assist you in completing these forms.  As a guideline, the procedures required are outlined as:

All students that are applying for any kind of financial aid must complete

a)     Enrollment Agreement (Contract)

b)     Student Acknowledgement received and signed – Information about outcome rates, compensation/job demand information, Catalog, Policies and Procedures, Disclosure Statements. (Receipt signature as part of Admissions)

c)      H.S. diploma/transcript or GED, ATB test result

d)     FAFSA

If you are applying for Direct Loans, in addition to the above forms, you must complete a Promissory Note along with Entrance and Exit Counseling forms. These forms are obtained in the financial aid office.

NEED BASE AID

Federal Pell Grant - The maximum amount for the Federal Pell Grant is $5,550.00 for 2010 - 2011.  Available almost exclusively to undergraduates; students may receive up to 2 consecutive maximum awards in a year if attending school year-round. 

Direct Subsidized Stafford Loans - (must demonstrate financial need) Award amounts $3500 - $8,500, depending on year in school.  Eligible for Undergraduates and graduate students enrolled at least half-time.  The U.S. Department of Education is the lender and pays interest on the loan while you are in school at least half-time and during grace periods.  Between 10 and 25 years to repay, depending on amount owed and type of repayment plan selected.

NON-NEED BASE (Financial need is not required)

Direct Unsubsidized Stafford Loans - Award amounts $5,500 - $20,500 (less any subsidized amount received for the same period), depending on year in school and dependency status.  Eligible for Undergraduate and graduate students enrolled at least half-time.  The U.S. Department of Education is the lender.  The borrower is responsible for paying all interest on the loan starting on the date the loan is first disbursed.  Between 10 and 25 years to repay, depending on amount owed and type of repayment plan selected.

Direct PLUS Loans - Cost of attendance (determined by the school) minus any other financial aid received; there is no minimum amount.  Eligible for graduate students enrolled at least half-time and Parents of dependent undergraduate students to help pay the cost of their child’s education.  Must not have adverse credit history.  The U.S. Department of Education is the lender.  Loan is unsubsidized (you are responsible for paying all interest).

Students that do not qualify for need-based aid, or students that require assistance in financing their payment, may qualify for various other loans. These include the Federal Parent Loan for Undergraduate Students (PLUS) Loan Program and various alternative loan programs available through many banks.  PLUS is a government sponsored loan program

The student may also choose to apply for an In-House Loan (Personal Loan) from the school or combine federal loan package with the loan from the school if the student decides in doing so.

Once a student’s financial aid application has been processed and approved by the Department of Education (the student will be required to give the Department of Education permission to send electronic information to the financial agencies in the State).  After the Central Processing Service or CPS has made the calculations, an ISIR (Institutional Student Information Report) is sent electronically to the school – Northern California Institute of Cosmetology.  The school, after verifying information in the student’s financial aid file will package and finalize the student’s paperwork.  An Award Letter is generated that Northern California Institute of Cosmetology will present to the student.  After the student accepts and signs the aid, the funds will be disbursed (as long the student meets satisfactory progress) accorded to the student will be disbursed.  The disbursement will go directly to the school in the student’s account.

Any In-House Loan (Personal Loan) taken from the school, once approved, will require that the student sign a promissory note that will indicate the interest, amounts and dates of tuition fee payments the student is committing to pay.

A Northern California Institute of Cosmetology financial aid counselor will conduct entrance counseling with the student regarding the financial aid funds to be received by the student.  An exit counseling will also be conducted once the student has completed all the educational requirements or upon graduation.

Students must review the information for accuracy and if a correction needs to be made, corrections can be made online.  The Northern California Institute of Cosmetology Financial Aid Director/Office can also assist in making corrections if the student brings a copy of their Student Aid Report (SAR).