Catalogue 07-08: Financial Aid

Please note that this is the March 2007 version of the 2007-2008 Catalogue. Information within is accurate as of this date. Subject to change without notice.

Participation and Authorization
Eligibility for Federal Student Aid and How to Apply
Program Specifics
Financial Aid Process
Withdrawals and Return of Title IV Funds
Responsiblities of Students Receiving Aid

Birthingway College of Midwifery is authorized to offer Federal Student Aid (FSA, also called “Title IV Funds”). The programs available include both need-based and non-need-based federal financial aid.

We recommend that those interested in financial aid pick up a free copy of The Student Guide: Financial Aid from the US Department of Education published annually by FSA. This guide is a good general introduction to Federal financial aid. Copies are available at Birthingway or online at http://studentaid.ed.gov/guide

Participation and Authorization

Birthingway currently participates in the Federal Pell Grant, Supplemental Educational Opportunity Grant (FSEOG), and Direct Loan (including subsidized and unsubsidized Stafford loans and PLUS loans) programs. We also participate in the state-run Oregon Opportunity Grant (OOG) program.

In addition, Birthingway is listed as an eligible training provider with the Oregon Department of Workforce Development. As a Title IV school, we are authorized to accept payment through Americorps as long as the student submits a valid Voucher and Payment Request Form. Our approval by the Oregon State Department of Education to train veterans is currently on hold pending an enrolled veteran – call the school for more information. Birthingway does not currently offer any institutional aid or any form of work-study.

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Eligibility for Federal Student Aid and How to Apply

Financial aid is available only to matriculated midwifery program students. Students completing prerequisites (such as A&P) or enrolled in one of our auxiliary programs (Labor Doula, Postpartum Doula, Childbirth Educator, etc.) are not eligible for student aid. All Federal Student Aid recipients must be eligible US citizens or non-citizens. Study-abroad programs are generally FSA eligible; however, Birthingway does not offer or participate in any study-abroad programs. Audited and non-credit courses are not eligible for Student Aid.

To apply for Federal Student Aid, you need to complete the FAFSA (Free Application for Federal Student Aid). This may be done online at www.fafsa.ed.gov or you may pick up a paper application at Birthingway. If you have questions about filling out or submitting your FAFSA, please do not hesitate to contact us (You do not have to be admitted to Birthingway before submitting your FAFSA. An award will only be made if you are accepted into the midwifery program.) When you fill out your FAFSA, you will need to enter Birthingway's Federal School Code of 036683. This will ensure that your application is flagged for Birthingway and we can begin to process your financial aid package. You must apply for aid annually; continuing students should submit a renewal FAFSA. Each FAFSA covers the federal award year, which runs from fall to spring. (For example, the 07-08 FAFSA covers the terms Fall 2007 through Spring 2008).

Your eligibility for aid is determined based on the information you provide on your FAFSA. Eligibility will also vary by program. All eligibility is determined by Department of Education formulas. The Department of Education automatically flags applications randomly for verification. If your application is selected for verification, you will need to submit additional documentation, including tax forms, to Birthingway before your award can be processed.

For the purposes of aid eligibility, Birthingway determines student enrollment status on the Monday following the second week of core classes for the term. No changes to eligibility will be made after this date (i.e., if a class is added after this date, the award will not be increased), with the exception that, if a student does not “begin attendance in all classes” regulations require that the Pell Grant award be re-figured. For financial aid applications completed (including verification documentation and any other information requested by Birthingway) by the first day of the term, aid will generally be credited to student accounts by the end of the 4th week of the term. Checks for any remaining funds will be available in the business office no later than 14 days after accounts have been credited. Failure to meet Birthingway's deadlines may delay disbursements.

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Program Specifics

Pell Grants

Are available only to students with significant financial need who are completing their first undergraduate program. The award amount will depend on enrollment status (full-time, half-time, etc.), the cost of attendance, and Expected Family Contribution (EFC, the amount you and your family are expected to have available to spend towards your education, determined by Department of Education formulas). The maximum award is $4050 for the 2006-2007 award year and $4310 for the 07-08 award year.

Federal Supplemental Educational Opportunity Grant (FSEOG)

Is available to students with significant financial need (priority is given to students receiving Pell Grants) completing their first undergraduate program. Funding is limited for FSEOG, so Birthingway’s awards are dependent on our federal funding level. We prioritize students whose applications were complete by the priority deadline:

For current students: May 31th of the summer prior to the award year (i.e. May 31, 2007 for the award year beginning September 2007)

For incoming students: The enrollment deadline (mid-January)

Students whose applications were complete and ready for packaging by the deadline are prioritized by EFC, and then by receipt date if there are insufficient funds to award two or more students with the same EFC. Late applicants will only be awarded FSEOG if funds remain after awarding all eligible students whose applications were complete by the deadline.

The amount of FSEOG awarded to each student is partially dependent on our funding level. For 07-08, we currently anticipate making awards of $600 to current eligible students attending the full award year. Students attending only part of the award year (such as students planning to graduate in winter term or incoming students beginning in the spring) will receive prorated awards of $200 per term.

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Oregon Opportunity Grant (OOG)

This program involves both federal (it may include LEAP and/or SLEAP program funds) and state funds and is managed through the Oregon Student Assistance Commission. In addition to the standard financial aid requirements, to be eligible for an OOG you must:

1. Officially be an Oregon resident
2. Hold no prior baccalaureate or higher degree
3. Be enrolled at least half time
4. Meet state of Oregon definitions for financial need

The amount of the OOG will depend on state and federal funding. Awards to eligible full-time Birthingway students were $2250 for the 2006-2007 award year. Eligibility is determined annually by the state of Oregon using FAFSA data. The state informs Birthingway when students have been awarded OOG and we add it to the financial aid package automatically. Students may receive OOG for no more than 12 terms (4 years) of full-time attendance. Awards may be transferred to other participating institutions. Awards may not be used towards degrees in theology, divinity, or religious education.

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Stafford Loans

If, after all gift (non-repayable) aid has been determined, there is still financial need (as defined by federal formulas) and you are attending at least half-time, you may be eligible for Stafford subsidized loans. With a subsidized loan, interest is paid by the Federal government while you are in school at least half-time or in a deferment period. The amount of Stafford subsidized loan you are eligible for varies by Expected Family Contribution, other aid received, your year in school, your cost of attendance, and whether or not you are considered dependent or independent. There is an annual award and aggregate limit for Stafford subsidized loans.

In addition to subsidized loans, unsubsidized loans are available. Unsubsidized loans are non-need-based aid. With an unsubsidized loan, the borrower is liable for all interest on the loan. Interest will begin to accrue immediately and will continue to accrue even when not in repayment. Unsubsidized loans are limited to the difference between the cost of attendance and the amount of other aid received. There is an annual award and aggregate limit for unsubsidized loans.

In addition to Stafford loans made to the student, a dependent student's parents may borrow an unsubsidized PLUS (Parental Loan for Undergraduate Student) to fund the student's education. Parents interested in PLUS should contact Birthingway for further information.

* The annual loan limit for 1st and 2nd year students will increase for loans first disbursed after July 1, 2007.

Borrower Based Academic Year - Birthingway is required to process student loans using a system known as “Borrower Based Academic Year” (BBAY). With “Borrower-Based Academic Year,” eligibility for loans and disbursements is based on the student, and the number of weeks and credits they finish. You would receive your first loan disbursement when you begin school (as long as you meet all loan program requirements, including attending at least half-time) and then cannot receive your second disbursement until you have finished half of an academic year’s worth of both weeks and credits. To be eligible for a new loan, you must complete a full year’s worth of both weeks and credits. Under BBAY, if you attend less than full-time, or receive Incompletes/Withdrawns in some classes, you may not qualify for a new loan each year.

Under Birthingway’s academic calendar, this means you’re eligible for a new loan only when you finish 40 weeks AND 24 credits (Please see “ENROLLMENT STATUS”). Within each loan “year”, you can only get your 2nd disbursement when you’ve finished both half the weeks AND half the credits (20 weeks and 12 credits).

Special rules apply to transfer students if you received student loans at another school during an academic year that “overlaps” with Birthingway’s: You are limited to your original loan amount until you complete an entire year (40 weeks AND 24 credits) at Birthingway.

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Outside Scholarships and Other Aid

You may also apply for independent scholarships through other sources. There are a variety of free online scholarship search services and other resources available. The Oregon Student Assistance Commission coordinates a large number of scholarships, mostly for Oregon students. Information is available online at http://www.getcollegefunds.org

If you receive outside scholarships or other outside aid, you MUST inform Birthingway’s financial aid office.

Alternative Loans

Alternative loans are non-federal student loans provided privately by banks or other lenders. They may require credit checks and co-signers, and the interest rates and repayment terms are usually not as good as those of federal Stafford Loans. Although Birthingway recommends avoiding additional borrowing if at all possible, we will assist students seeking alternative loans by providing the chosen lender with enrollment and other information on student request. Students seeking alternative loans should contact the Financial Aid Officer.

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Financial Aid Process

When packaging your aid, Birthingway will assign Pell Grant aid first, followed by OOG and FSEOG, in addition to any outside scholarships or other non-loan aid you may be receiving. Subsidized loans will then be assigned (as need allows), up to the applicable loan limits, followed by unsubsidized loans up to the loan limit or the cost of attendance, whichever is lower. Once we have created a student aid package, an award letter will be provided to you. You must then confirm your acceptance of the award by signing and returning the award letter. If the award is not confirmed, no aid will be distributed. You may choose to accept all or only part of an award. For example, if you don’t want loans, you can refuse only the loan portion of the award.

All student aid is first credited to your student account to pay outstanding current year tuition and educational fees. A check containing any remaining funds will then be released to you (This amount is intended to help cover living expenses.) You will be notified of the availability of the check for pick-up in the college office. Note that federal student aid can be applied to current year educational charges only. We cannot apply them to past-due amounts, library fines, textbook costs, et cetera without your written authorization. You may still be accountable for charges at Birthingway even after your check has been released to you. If you do not cash your remainder check within 180 days, the check becomes non-negotiable. These unclaimed funds will be returned to the Department of Education. If a stop-payment must be placed on the check, the student will be charged any expense to Birthingway.

Pell Grant disbursements are made each term; this is a proportional amount based on the length of the term. FSEOG and OOG disbursements are made in three equal parts, one each term. Loan disbursements are made in two equal payments, one at the beginning of the loan period and one when the loan period is at least half completed (See “Borrower Based Academic Year” below). In addition, federal regulations require that we not disburse loan funds to first year students who have not previously borrower a student loan until after 30 days into their first term.

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Withdrawals and Return of Title IV Funds

If you receive an “Incomplete” or “Withdrawn” in all classes or withdraw from Birthingway's midwifery program during a term, you may be required to return some or all of your award to the Department of Education. If you stop attending classes prior to completing 60% of the term, you have not “earned” your entire award. The amount “unearned” is equivalent to the amount of the term not completed. (For example, if you have completed 30% of the term, 70% of your aid is “unearned” and must be returned to the Department of Education.) Once you have completed 60% of the term, all of your aid is considered earned and no funds must be returned to the Department of Education.

Birthingway will automatically return “unearned” funds credited to your account and then bill you for any additional amount due to the Department of Education. Note that the FSA return schedule and Birthingway refund schedule do not coincide. The amount you are required to return to the Department of Education may be more or less than your refund as stated in Birthingway's standard refund policy. It is possible that after returning the required amount of FSA funds, you will still owe additional money to Birthingway.

Example: Student receives $1200 in financial aid in spring term - $100 in Pell Grant, $400 in subsidized loan, and $700 in unsubsidized loan. Of this money, $750 was paid towards tuition and $450 was released by check to the student. She completes 34 out of the 96 days in the term before withdrawing, which is 35.4%. To figure how much of the money she has earned, multiply $1200 by 35.4%. This is $424.80. $1200 minus $424.80 is $775.20, the amount of aid which is unearned by the student. $775.20 must be returned to the Department of Education. Money is returned to the programs in a specific order, beginning with unsubsidized loans. First, Birthingway returns aid credited to the student’s account. Birthingway returns $700 to the unsubsidized loan program and $50 to the subsidized loan program. The student must still repay $25.20 to the subsidized loan program, generally by returning this money to Birthingway for forwarding to the Department of Education.

Please see WITHDRAWAL FROM PROGRAM and REFUND POLICY.

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Responsibilities of Students Receiving Aid

You are responsible for completing all forms accurately and by the published deadlines. You must submit information requested by financial aid staff in a timely manner and inform Birthingway of any change in address, name, marital status, financial situation, or other changes in status. Also, any additional assistance from outside sources (scholarships, loans, other educational benefits) must be reported to the financial aid staff. You are responsible for reapplying for aid each award year.

Students receiving aid must maintain the minimum enrollment status (full-time, half-time, etc.) or their award will be decreased or eliminated. You are responsible for maintaining your own class schedule to meet your requirements. You are also responsible for maintaining Satisfactory Academic Progress. Students who fail to maintain Satisfactory Academic Progress will not be eligible for aid. Please see SATISFACTORY ACADEMIC PROGRESS.

Students receiving loans MUST complete entrance and exit counseling. Failure to comply with this requirement will affect your award and your ability to graduate from Birthingway.

A student loan is a binding contract. If you take out a loan, you are legally and morally bound to repay it. Defaulting on a student loan affects not only yourself, but your fellow students: If the default rate on loans to Birthingway students is too high, Birthingway will no longer be permitted to participate in the FSA program.

Under some circumstances, students may be eligible for education loan deferments while serving in the Peace Corps, under the Domestic Volunteer Service Act, or as a volunteer at a tax-exempt organization. For more information, check with Birthingway financial aid staff or with the Department of Education Direct Loan program.