College In Colorado

When you receive an award letter or notice from the college, it usually contains your cost of attendance (COA). This is not your school bill, but rather an estimate of tuition, fees, books, supplies and related living expenses for the academic year. The award letter typically identifies your expected family contribution (EFC) as well, which is a calculation (using a federal formula) of the amount that you and your family may reasonably be expected to contribute toward your cost of attending college that year. The difference between the COA and EFC is your financial need -- this amount may also be shown in your award letter.

The award letter itemizes what types and amounts of financial aid are being offered to you. Understanding the types of aid offered is very important, particularly when you are offered student loans that must be repaid.

The following examples should give you an idea of what your financial aid award may offer for full-time enrollment in a typical nine-month academic year:

Example 1: Dependent Freshman Student with Very High Financial Need

Example 2: Dependent Freshman Student with High Financial Need

*Parent could also borrow an additional amount to replace the EFC for a total of $2,615 ($1,649 + $966). Financial aid package would total $12,240.

Example 3: Dependent Freshman Student with High Financial Need at a High-Cost School

*Parent could also borrow an additional amount to replace the EFC for a total of $5,097 ($3,448 + $1,649). Financial aid package would total $29,120.

Example 4: Independent Freshman Student with Moderate Financial Need

*Student could borrow up to $4,000 in an unsubsidized Stafford Loan (the maximum amount an independent freshman can borrow annually). The additional amount would replace a portion of the student's EFC ($1,286 + $2,714). Financial aid package would total $11,725.

Example 5: Independent Freshman Student with Low Financial Need

*Student could borrow up to $4,000 in an unsubsidized Stafford Loan (the maximum amount an independent freshman can borrow annually). The additional amount would replace a portion of the student's EFC ($473 + $3,527). Financial aid package would total $8,925.

Example 6: Dependent Freshman Student with No Financial Need

*Parent can borrow an amount equal to the COA - financial aid awarded.

Example 7: Independent Freshman Student with No Financial Need

*Student can borrow the maximum of $6,625 in Federal Stafford loans as a freshman to cover a portion of the EFC.