FEDERAL FINANCIAL AID PROGRAMS
The Specs Howard School participates in several federal financial aid programs. Following are brief descriptions of these programs.
Financial Aid Packaging
Financial aid is available to those who qualify. Students will meet with the Financial Aid Department at the Specs Howard School and be packaged for financial aid eligibility based on the financial aid needs analysis output. At that point, a payment plan is created using the Financial Aid Eligibility Worksheet. The student and the Financial Aid Officer will discuss all grants, scholarships, and federal loans that the student is eligible for. During the next step, the Financial Aid Officer explains the loan terms and payment options available. The student is given a copy of the Eligibility Worksheet and makes a decision about whether or not to enroll.
Each year the Department of Education specifies certain required items that need to be verified prior to disbursing financial aid. Verification is specific to each financial aid award year. Data elements that need to be verified will vary from year to year, but may include items such as adjusted gross income, household size, taxes paid and untaxed income. Acceptable documentation to complete the verification may include verification worksheets, IRS tax transcripts and untaxed income documentation. If a financial aid file contains conflicting or inaccurate information, the student is notified and the file must be corrected before any financial aid funding can be disbursed. Whenever a student’s financial aid award is changed, the student is given a revised Award Letter to review and sign.
Federal Financial Aid Funds (Title IV Funds)
Below is a list of Title IV programs available at SHS:
Federal Pell Grant: The federal Pell Grant program is a type of financial aid that does not require repayment. Funds are awarded based on need, as determined by a standard formula, and are only available to students who do not already have a bachelor’s degree. To apply for a federal Pell Grant, the student must complete the Free Application for Federal Student Aid (FAFSA) and meet with the Financial Aid Department at the Specs Howard School, which will conduct a needs analysis for the student.
Federal Supplemental Educational Opportunity Grant (SEOG): The federal SEOG program is a type of financial aid that does not require repayment. This grant shall be awarded to students that demonstrate financial need and have an “automatic-zero EFC” (see the Financial Aid Department for details). The amount awarded to each student and the number of students receiving the award will be determined by the Financial Aid Department. If the funds must be returned for any reason, including but not limited to withdrawal, the award may be given to another student. If a student’s enrollment status changes prior to disbursement, his or her award may be given to another student, depending on the availability of remaining federal SEOG funds.
Federal Direct Subsidized Loan: The federal Direct Subsidized Loan is a loan made available to students to help fund their education. The federal Direct Subsidized Loan is need-based. In order to apply for this loan, the student must be in need of aid, as determined by a standard formula. Students who wish to apply for a federal Direct Subsidized Loan must complete the Free Application for Federal Student Aid (FAFSA) and meet with the Financial Aid Department at the Specs Howard School, which will conduct a needs analysis for the student. Repayment of a federal Direct Subsidized Loan begins six months after the last date of attendance.
Federal Direct Unsubsidized Loan: The federal Direct Unsubsidized Loan is a form of financial aid that is not need-based, although students who wish to apply for a federal Direct Unsubsidized Loan are still required to complete the Free Application for Federal Student Aid (FAFSA) and meet with the Financial Aid Department at the Specs Howard School. Repayment of the principal loan amount will begin six months after the student’s last date of attendance. Payment of interest on the unsubsidized portion is the responsibility of the student during school and during the six months prior to the start of repayment of the loan amount.
Federal Direct Plus Loans For Parents (FPLUS): The federal Direct Plus Loan program is a form of financial aid that is not need-based. Students whose parents wish to apply for a federal Direct Plus Loan are required to complete the Free Application for Federal Student Aid (FAFSA) and meet with the Financial Aid Department at the Specs Howard School. Repayment of the federal Direct Plus Loan begins while the student is enrolled, unless other arrangements have been made with the lender.
Information pertaining to application procedures, student eligibility requirements, the criteria for selecting recipients and determining the amount of the student’s award can be found in the SHS catalog. A description of the rights and responsibilities of students receiving financial assistance, including the criteria for continued student eligibility, measuring satisfactory academic progress, along with the policies for re-establishing satisfactory academic progress, can also be found in the SHS catalog.
Direct Loan Funding will be disbursed to the school in multiple disbursements. The first disbursement will be approximately 31 days after your program start date, the second disbursement at approximately week 17 of your program, the third disbursement at approximately week 33, and fourth disbursement at approximately week 41.
Information on terms, sample loan repayment schedules, as well as the necessity to repay your loan will be provided to you at your Financial Aid appointment and at your exit counseling.
Any federal student loan that you or your parent borrow will be submitted to the National Student Loan Data System (NSLDS) and will be accessible by guaranty agencies, lenders and institutions determined to be authorized users of the data system.
Scholarships and additional funding sources
Specs Howard School students may also qualify for other sources of funding such as Michigan Rehabilitation Services, United Auto Workers, Michigan Works!, Michigan Education Trust Fund (MET) and several other scholarship opportunities.
For more information regarding scholarships, visit
specshoward.edu/scholarships.
ENTRANCE & EXIT COUNSELING
All Direct Loan borrowers at the Specs Howard School must complete entrance and exit loan counseling. Loan counseling can be completed online by visiting https://studentloans.gov/myDirectLoan/index.action. Entrance counseling is a federal government requirement that requires students to complete a student loan entrance counseling session prior to obtaining a Federal Direct Loan. The purpose of entrance and exit counseling is to help students understand their rights and responsibilities as a student loan borrower.
DRUG RELATED CONVICTIONS
Under the Higher Education Act, a student may become ineligible for federal student aid upon conviction of any offense involving the possession or sale of illegal drugs while receiving Title IV federal financial aid. Federal aid includes federal Direct Loans, federal PLUS Loans, federal Pell Grants, federal Supplemental Education Opportunity Grants, federal ACG Grants, and federal Work Study.
Penalties for Drug Convictions
Possession of Illegal Drugs
Eligibility will be suspended for:
First offense: one year from the date of conviction
Second offense: two years from the date of conviction
Third and subsequent offenses: indefinite ineligibility from the date of conviction
Sale of Illegal Drugs
Eligibility will be suspended for:
First offense: two years from the date of conviction
Second and subsequent offenses: indefinite ineligibility from the date of conviction
How to Regain Eligibility for Federal Financial Aid After a Drug Conviction
To regain eligibility for the federal programs, a student must successfully complete an acceptable drug rehabilitation program that meets the standard set by Congress and the Department of Education. The student will regain eligibility on the date they complete the program.
Acceptable Drug Rehabilitation Program
An acceptable drug rehabilitation program must require passing two unannounced drug tests and it must be either:
- qualified to receive funds from a federal, state or local government agency or program, or from a state or federally licensed insurance company, or
- administered or recognized by a federal, state or local government agency or court, or by a state or federally licensed hospital, health clinic or medical doctor
Free Application for Federal Student Aid (FAFSA)
Question 23 on the FAFSA asks if the student has ever been convicted of a drug-related offense. Failure to answer the question will automatically disqualify the student from receiving federal aid. Falsely answering this question could result in fines of up to $20,000, imprisonment or both. For help in answering this question, call the Federal Student Aid Information Center at 1-800-4-FED-AID (1-800-433-3243).
Conviction During Enrollment
According to the United States Department of Education, if a student is convicted of a drug offense after receiving federal aid, he or she must notify the Financial Aid Department immediately, at which time the student will be ineligible for further aid and will be required to pay back all aid received after the date of conviction.
RETURN OF TITLE IV FUNDS
The federally mandated “Return of Title IV Funds” policy applies to any student receiving federal financial aid who fails to complete the semester for which he or she was charged. The formula which determines the amount of federal Title IV aid that must be returned to the federal government by the school or student is as follows:
The refund, calculated by semester, applies to any student receiving grant or loan funds who withdraws or is administratively withdrawn from the program on or before the 60% point in a payment period. The percentage of Title IV aid to be returned is equal to the number of calendar days remaining in the payment period, as determined by the student’s last date of attendance, divided by the number of calendar days in the payment period. Scheduled breaks of five or more consecutive days are excluded.
If a “Return of Title IV” calculation is required, the student may also be obligated to repay a portion of the loans and/or grants obtained for that student’s tuition. Any refund due will be returned to the lending and outside funding agencies prior to being returned to the student. Worksheets used to determine the amount of federal “Return of Title IV Funds” are available upon request from the Specs Howard School Financial AidDepartment. For further information on semester definitions, please consult your Specs Howard School Financial Aid Officer.
INSTITUTIONAL REFUND POLICY
Three Business Day Cancellation
All applicants are charged a $50.00 application fee. As stated above, a full refund of all monies paid by the student (applicant), including the $50.00 application fee, will be made by the school if cancellation is made by midnight of the third business day following the signing of the enrollment agreement. If the student has enrolled by mail or will be taking training at a site other than where they enrolled, without first seeing the school, the student has three business days from the date he or she first visits the school in which to cancel the enrollment agreement and receive a full refund. A signed letter requesting cancellation must be delivered to the school either in person or by registered or certified mail. If cancellation occurs after midnight of the third business day following the signing of the enrollment agreement, but before the start of class, SHS will refund all tuition monies paid by the student (but not the $50.00 application fee).
GENERAL FINANCIAL POLICIES
- Any portion of an academic week attended shall be considered as a full week, for the purposes of the refund policy.
- If a student in any program misses 14 consecutive calendar days without notifying the Specs Howard School of illness or extraordinary circumstances, the student may be administratively withdrawn from the program. Refunds, if any, will be computed from the date of determination of withdrawal. The student will be notified by mail of the administrative withdrawal.
- The Specs Howard School reserves the right to administratively withdraw a student at any time for good and sufficient cause, including, but not limited to, violation of policies noted in the Specs Howard School catalog. Refunds, if any, will be computed from the last day of attendance.
- If a student has been administratively withdrawn and the student has repeated any part or parts of the program, any refund will be computed according to the total number of weeks within the semester the student attended class. This policy remains in effect regardless of whether enrollment was ended by the student or by the Specs Howard School.
- Students must exhibit competency in all areas of their program of study, and must maintain Satisfactory Academic Progress. In the event that the student’s enrollment is reinstated following a voluntary or administrative withdrawal, additional tuition may be charged to reflect the length of the period of retraining. The Chief Operating Officer, under special circumstances, may waive certain fees. These additional fees may affect the payment schedule of the student, as well. In addition, all students must pay tuition and any other charges in full to the institution by two weeks before the last day of class. Any student who still has financial obligations to the school will not be issued a diploma, will not be eligible for any job leads through the Career Services Department, nor will they be allowed to participate in the graduation ceremony. In cases of emergency, extreme hardship or extenuating circumstances, consideration may be granted at the discretion of the Specs Howard School. (For more information, see Satisfactory Academic Progress; Administrative Withdrawal; and Reinstatement after Administrative or Voluntary Withdrawal.)
- A non-refundable transfer/ reinstatement fee in the amount of $150 will be assessed to the account of any student who transfers from one class to another. This fee (which may be waived by the Chief Operating Officer under special or extraordinary circumstances) does not apply to students who have not yet attended class. The transfer fee cannot be covered by financial aid, per federal regulation.
- In the event of a prolonged illness, accident, death in the family, or other circumstances that make it impractical for a student to complete his or her program of study, the Specs Howard School will consider a settlement that is reasonable and fair to both parties. The student must furnish official or legal written documentation to support such a request.
- Any student who is experiencing financial difficulties should arrange a meeting with the Business Office to discuss his of her payment schedule. If a student defaults on the payment schedule agreed to in the Retail Installment Contract, the Specs Howard School reserves the right to suspend or administratively withdraw that student, withhold all tests, critiques, audition materials and other materials, and revoke all internships, until the account is made current or is paid in full. Any student whose balance is unpaid two weeks prior to completion of his or her program of study may be suspended. The student will be readmitted to class only if an acceptable payment agreement is made with the Business Office.
- All federal loans, Pell, SEOG and student refunds will be made within 45 days of the date of determination of withdrawal. (See Financial Aid Refund Priorities, below.)
- The Specs Howard School reserves the right to notify any funding agency of changes in a student’s status.
- A waiver must be signed by the student in order to divulge any information to persons other than auditors and funding agencies. The school reserves the right to cancel any class start. In such a case, students may request a full refund of all monies paid, or apply all monies to the next available class start.
- The school reserves the right to change or modify the program content, equipment, staff or materials, as it deems necessary. Such changes may be necessary to keep pace with technological advances, and to improve teaching methods or procedures. In no event will any such changes diminish the educational standard or content of any program or result in additional charges to the student.