Student
Financial
Services
Summer Orientation
2005
Financing Your
Education
Student Financial Services—
The Details
• Where are we?
– In the Centennial Student Union…
Campus Hub/MavCard Offices
• When are we open?
– Monday-Thurs 8am to 6pm
Friday 9:30am to 5pm
– Summer hours: Monday-Friday
8:30am to 4pm
• How to reach us
– 1-800-722-0544
– (507)389-1866 (Campus Hub)
– www.mnsu.edu/campushub
– campushub@mnsu.edu
The Financial Aid Process
Determining Cost of Attendance (COA)
• Each year, Student Financial Services
determines average costs for living expenses
and tuition
• It is NOT the amount you will be billed from MSU
• 2005-2006 COA for a MN Resident = $13,676
2005-2006 COA for a non Resident = $18,782
Cost of Attendance Cont’d
COA= Direct Costs + Indirect Costs
• Direct Costs
• Indirect Costs
• Expenses resulting
from enrollment in an
educational institution
• Expenses not directly
a result of enrollment
in an educational
institution
– Tuition
– Fees
– Books
–
–
–
–
Rent
Laundry
Parking
Entertainment
Your Award Letter
• Review your award letter carefully and
decide which loans you would like to
accept and/or decline
• Make sure to turn in all requested
paperwork promptly
• Minnesota Grant considers 15 credits fulltime
Stafford Borrowers
• Must complete Entrance Counseling and
fill out a Master Promissory Note
• All first-year, first-time borrowers will get
their Stafford money disbursed 30 days
into the term
Keeping Track of Your Loan
Amounts
■ Start a file for all your
financial aid paperwork
■ File your FAFSA each year
as soon as possible after
January 1st
■ New school year=
new financial aid file
■ Borrow smart…stay
within your means
■ Use your PIN to check your
loan amounts-go to:
www.nslds.ed.gov
and click on “financial
aid review”
Budget setting and making your
money work for you
• Look at your income (savings, financial aid,
paychecks)
• Plot your expenses…Fixed and variable
• Do the math and live within your means
Budget Busters...No Matter
How Well You Plan
• The late night snack
favorite…
• The 8:00 class rush
• Clubs and
organizations at MSU
• Going out---and the
mall
• Things you can’t live
without…
Credit Cards 101: A Lesson in
Plastic
Credit Cards and the College
Student
• 76% of undergraduate
students have at least one
credit card
• Average credit card debt
$2,169
• Two-thirds of undergraduates
make only the minimum
payments
• Students double their
average credit card debt and
triple the number of cards in
their wallet from the time they
arrive on-campus until
graduation
Source: Nellie Mae, April 2005
College Students: Why and
How You are the Target
• You are a large group of
consumers
• To establish relationships
with you at a younger age
• Look where they set up
their tables: Sporting
events, stores and even
in the Student Union…
• FREE STUFF: T-shirts,
CD holders, bags of
candy, coupon books
How Credit Cards Can Get You in
Trouble…Without Realizing it!
Throughout college, Jill decided to put certain education
expenses on her credit card. Here is what is what it would
cost Jill to payoff her credit card balance IF she makes no
further credit purchases and makes only the minimum
required monthly payment (which decreases over time as
the outstanding balance decreases):
Principal
Loan
Amount
Borrowed
$5,000
Interest Rate
Monthly
Payment
# of Monthly
payments
Total Amount
Repaid
19%
3% of
balance
238 (20 years)
$10,360
(Initially $150)
What about Educational
Financial Aid Loans?
Sam decides to take out a student loan for his educational
expenses. Keep in mind that most students like Sam will
borrow loans for each school year. If he made the minimum
monthly payment on his loan for the next 10 years, he would
end up paying $950 in interest. Additionally, he would not be
required to make any payments on the loan until 6 months
after he graduates.
Principal
Loan
Amount
Borrowed
Interest Rate
Monthly
Payment
# of Monthly
Payments
Total Amount
Repaid
119 (approx.
$5,000
3.5%
$50
10 years)
$5,920
Do Your Research Before You
Charge
• Look for low interest rates
(Aim for 15% APR)
• Watch your finance
charges (late fee no
higher than $29)
• Low or no annual fee
• Make sure your credit
card has a grace period
before finance charges
are incurred (at least 25
days)
Once You Have a Credit Card…
• Pay off your balance in
FULL, every month
• Set your own credit limit
• READ all fine print
• Keep your wallet trim…
• Limit the number of direct
mail credit card offers you
get…Call1-8885OPTOUT to have your
name removed
• BE SMART WITH YOUR
CREDIT…IT WILL
AFFECT YOU FOR THE
REST OF YOUR LIFE!!
Money Management
Tips
•
•
•
•
•
•
•
Be clear of your needs and wants
Use your credit card wisely
Watch your checkbook
Buy used books
Buy supplies at discount stores
Find a roommate (or two) to share costs
Determine a food budget, plan your meals
and USE COUPONS
• Borrow only what you need in student
loans
Don’t Get Phished
• Internet “Phishing” scams are
one of the fastest-growing frauds
today
• Involves a bogus e-mail
message using legitimate
material (company’s logo) in an
attempt to get a person’s
personal financial information
• Never give out personal
information (SSN, credit card
number, etc.) in an unsolicited email
• If you’ve been Phished,
immediately contact your
financial institution
FERPA and MSU
• Parents are not permitted under the Family Educational
Rights and Privacy Act to access their son or daughter’s
education record at the post-secondary level.
• However, with written permission from the student, the
University can release information to the student’s
parent, guardian or other individuals acting in a parental
role in the absence of a parent or guardian. Authorization
for Release of Information is available at The Campus
Hub or on the web at: www.mnsu.edu/campushub/.
• Only public information will be released to a parent
without written authorization from the student unless it is
an emergency situation.
Questions?
Stop by the Campus Hub if you
have financial aid questions or
want to talk to someone about
money management.
• Call us from home
1-800-722-0544
(507) 389-1866 (Campus Hub)
• Check out our web site
www.mnsu.edu/campushub/
• Email us at:
campushub@mnsu.edu