Skip to main content

random FA and university terminology and students

Financial Aid Terms

Applying for financial aid can feel overwhelming, especially with so many unfamiliar terms and processes to navigate. To help, we’ve created a guide to common financial aid terminology. You’ll find key terms related to funding your education, including those commonly used across higher education as well as those specific to UHD.

F G H I L M R S U W
 
F

Federal Aid
Financial assistance provided by the federal government, such as Pell Grants and federal student loans.

Financial Aid
Financial aid refers to funds provided to help students pay for college expenses such as tuition, fees, books, housing, and other educational costs.

Financial Aid Disbursement
The process of applying your awarded financial aid directly to your student account to cover tuition, fees, and other school-related charges.

[Back to Top]

G

Grants
Money that does not need to be repaid.

[Back to Top]

I

Institutional Aid
Scholarships or grants offered directly by the university.

[Back to Top]

L

Loan Aggregate Limit
The maximum total amount a student can borrow in federal student loans over their academic career.

Loan Entrance
A required online session that explains student loan responsibilities before borrowing federal loans.

Loans
Borrowed money that must be repaid with interest.

[Back to Top]

M

Master Promissory Note (MPN)
The legal agreement a student signs promising to repay their federal student loan and outlining the loan terms.

[Back to Top]

R

R2T4 (Return of Title IV Funds)

The calculation of how much the student earned and how much must be returned to the Federal Government when a student completely withdraws from the semester.

[Back to Top]

S

Scholarships
Merit or need-based awards that do not require repayment.

Special Circumstance Form
A form students may submit if their financial situation has changed and is not reflected on their FAFSA.

State Aid
Financial aid funded by the state government, often based on residency or financial need.

Subsidized Loan
A need-based federal student loan where the government pays the interest while you are enrolled at least half-time, during your grace period, and during deferment.

[Back to Top]

U

Unsubsidized Loan
A federal student loan that is not based on financial need, and interest begins accruing immediately, meaning you are responsible for paying all interest from the time the loan is disbursed.

[Back to Top]

W

Work-Study
Part-time employment opportunities for students.

[Back to Top]