{"id":3212,"date":"2022-07-13T16:28:14","date_gmt":"2022-07-13T16:28:14","guid":{"rendered":"https:\/\/stagewp.westernu.edu\/financial\/?page_id=3212"},"modified":"2023-04-27T16:50:19","modified_gmt":"2023-04-27T16:50:19","slug":"glossary","status":"publish","type":"page","link":"https:\/\/stagewp.westernu.edu\/financial\/financial-literacy\/glossary\/","title":{"rendered":"Glossary"},"content":{"rendered":"<section class=\"hero-secondary\">\n  <div class=\"relative bg-black\">\n                <img decoding=\"async\" class=\"adhere object-cover\" src=\"\" srcset=\"\" sizes=\"100vw\" alt=\"\">\n      <div class=\"adhere gradient-overlay\"><\/div>\n        <div class=\"relative container pt-56 md:pt-112 pb-144 md:pb-192\">\n      <div class=\"md:flex md:justify-between px-12\">\n        <div class=\"sm:w-8\/12 md:w-6\/12 xl:w-5\/12 px-12\">\n                      <div class=\"mb-20\">\n              <div class=\"block font-sans font-bold text-14 text-white leading-130\">\n  <span class=\"inline-block\">\n    <a href=\"\/\" class=\"block hover:underline\">WesternU<\/a>\n  <\/span>\n      <span class=\"inline-block mx-6\">\/<\/span>\n          <a href=\"https:\/\/stagewp.westernu.edu\/financial\" class=\"inline-block hover:underline\">Financial Aid<\/a>\n          <span class=\"inline-block mx-6\">\/<\/span>\n      <a href=\"https:\/\/stagewp.westernu.edu\/financial\/financial-literacy\/\" class=\"inline-block hover:underline\">Financial Literacy<\/a>\n    <span class=\"inline-block mx-6\">\/<\/span>\n    <span class=\"inline-block\">Heading Text<\/span>\n  <\/div>            <\/div>\n                                        <h1 class=\"t-h1-sans  text-white\">Heading Text<\/h1>\n        <\/div>\n              <\/div>\n    <\/div>\n  <\/div>\n<\/section>\n\n\n<section class=\"relative my-48 md:my-72\">\n  <div class=\"container\">\n    <div class=\"lg:flex px-12 lg:justify-start\">\n              <div class=\"w-full lg:w-5\/12 2xl:w-4\/12 -mt-80 md:-mt-112 mb-48 px-12 lg:pr-32\">\n                              <nav class=\"py-28 px-40 2xl:px-64 rounded-5 md:rounded-8 bg-gray-darker text-white mb-40\">\n            <ul>\n                                              <li class=\"block my-8\">\n                  <a class=\"text-22 font-normal leading-130 tracking-20 text-white hover:text-yellow transition-default\" href=\"https:\/\/stagewp.westernu.edu\/financial\/financial-literacy\/\" target=\"_self\" rel=\"noopener\">Financial Literacy<\/a>\n                <\/li>\n                                              <li class=\"block my-8\">\n                  <a class=\"text-22 font-normal leading-130 tracking-20 text-white hover:text-yellow transition-default\" href=\"https:\/\/stagewp.westernu.edu\/financial\/financial-literacy\/whats-new\/\" target=\"_self\" rel=\"noopener\">What\u2019s New<\/a>\n                <\/li>\n                                              <li class=\"block my-8\">\n                  <a class=\"text-22 font-normal leading-130 tracking-20 text-white hover:text-yellow transition-default\" href=\"https:\/\/stagewp.westernu.edu\/financial\/financial-literacy\/resources-links\/\" target=\"_self\" rel=\"noopener\">Resources &amp; Links<\/a>\n                <\/li>\n                                              <li class=\"block my-8\">\n                  <a class=\"text-22 font-normal leading-130 tracking-20 text-white hover:text-yellow transition-default\" href=\"https:\/\/stagewp.westernu.edu\/financial\/financial-literacy\/glossary\/\" target=\"_self\" rel=\"noopener\">Glossary<\/a>\n                <\/li>\n                          <\/ul>\n          <\/nav>\n                            <\/div>\n      \n      \n                  \n                  \n      <div class=\"w-full px-24 wysiwyg-content lg:w-7\/12 2xl:w-7\/12\">\n        <h3>Glossary of Common Loan Terms<\/h3>\n<p>Financial aid has its own language\/vocabulary. This list will help you with some of the most commonly used terms and acronyms and definitions.<\/p>\n<ul>\n<li><strong>AGI<\/strong>\u00a0\u2013 Adjusted Gross Income<\/li>\n<li><strong>APR<\/strong>\u00a0\u2013 Annual Percentage rate<\/li>\n<li><strong>Accrued Interest<\/strong>\u00a0\u2013 Interest that accumulates on the unpaid principal of a loan.<\/li>\n<li><strong>Amortization<\/strong>\u00a0\u2013 The process of gradually repaying a loan over an extended period of time through periodic installments of principal and interest.<\/li>\n<li><strong>Award Offer Letter<\/strong> \u2013 An official document issued by a school\u2019s financial aid office that lists all of the financial aid offered to the student.<\/li>\n<li><strong>Campus-based Aid<\/strong>\u00a0\u2013 Financial aid programs that are administered by the university.<\/li>\n<li><strong>Capitalization<\/strong>\u00a0\u2013 Adding interest to the principal balance of a loan rather than paying it as it accrues; future interest is than based on the higher loan amount.<\/li>\n<li><strong>COA<\/strong>\u00a0\u2013 Cost of attendance \u2013 also known as cost or education or budget.<\/li>\n<li><strong>Consolidation Loan<\/strong>\u00a0\u2013 A loan that combines several student loans into one bigger loan from a single lender. The consolidation loan is used to pay off the balances on the other loans.<\/li>\n<li><strong>DL<\/strong>\u00a0\u2013 Direct Loan \u2013 A federal program where the school becomes the lending agency and manages the funds directly with the federal government providing the loan funds.<\/li>\n<li><strong>Default<\/strong>\u00a0\u2013 Failure to make loan payments or otherwise honor a loan\u2019s terms; because default is reported to credit bureaus, it can influence future credit and the ability to receive financial aid.<\/li>\n<li><strong>Deferment<\/strong>\u00a0\u2013 A temporary postponement of the loan payments that must be approved by the lender.<\/li>\n<li><strong>Disbursement<\/strong>\u00a0\u2013 The release of loan funds to the school for delivery to the borrower.<\/li>\n<li><strong>Delinquency<\/strong>\u00a0\u2013 Failure to make an installment payment when it is due, or failure to meet other terms of the promissory note; may lead to default.<\/li>\n<li><strong>Disclosure Statement<\/strong>\u00a0\u2013 A statement that reflects the actual costs of the loan-including interest and finance charges-to the borrower.<\/li>\n<li><strong>EFT<\/strong>\u00a0\u2013 Electronic funds transfer<\/li>\n<li><strong>EFC<\/strong>-Expected Family Contribution \u2013 Based on a federal formula, the portion of your and your family\u2019s financial resources that should be available to help pay education costs.<\/li>\n<li><strong>FAFSA<\/strong>\u00a0\u2013 Free Application for Federal Student Aid<\/li>\n<li><strong>FAO<\/strong>\u00a0\u2013 Financial Aid Office<\/li>\n<li><strong>Federal Work-Study (FWS)<\/strong>\u00a0\u2013 Program providing undergraduate and graduate students with part-time employment during the school year.<\/li>\n<li><strong>FFELP<\/strong>\u00a0\u2013 Federal Family Education Loan Program<\/li>\n<li><strong>FICO<\/strong>\u00a0\u2013 The version of your credit score developed by and named after the Fair Isaac Corporation. The FICO score is calculated using information from all three major credit bureaus, based on payment history, amounts owed, length of credit history, new credit, types of credit used.<\/li>\n<li><strong>Forbearance<\/strong>\u00a0\u2013 Permission from a lender to temporarily postpone repaying the loan principal; interest continues to accrue, even on subsidized loans, not an option for loans in default.<\/li>\n<li><strong>Grace Period<\/strong>\u00a0\u2013 The short time period after graduation during which the borrower is not required to begin repaying a student loan; six months Stafford\u2019s loans and nine months on Perkins loans; no grace period on Grad Plus loans prior to July 1, 2009.<\/li>\n<li><strong>Grad Plus<\/strong>\u00a0\u2013 Graduate Plus loan for graduate\/professional students.<\/li>\n<li><strong>Guarantee Fee<\/strong>\u00a0\u2013 A 1 percent fee that may be charged on student loans; deducted from the loan to help defray the cost of the student loan program.<\/li>\n<li><strong>Guaranty Agency<\/strong>\u00a0\u2013 The agency that insures against defaulted loans made under the Federal Family Education Loan Program (FFELP).<\/li>\n<li><strong>IBR<\/strong>\u00a0\u2013 Income Based Repayment \u2013 repayment option to help borrowers keep their loan payments affordable with payment caps based on income and family size.<\/li>\n<li><strong>Interest<\/strong>\u00a0\u2013 The fee charged to borrowers by lenders for using loan money.<\/li>\n<li><strong>IRA<\/strong>\u00a0\u2013 Individual Retirement Account<\/li>\n<li><strong>ICR<\/strong>\u00a0\u2013 Income contingent repayment<\/li>\n<li><strong>ISIR<\/strong>\u00a0\u2013 Institutional Student Information Report<\/li>\n<li><strong>LDS<\/strong>\u00a0\u2013 Loans for Disadvantage Students \u2013 A health Professions loan for Osteopathic students.<\/li>\n<li><strong>MPN<\/strong>\u00a0\u2013 Master Promissory Note<\/li>\n<li><strong>NHSC<\/strong>\u00a0\u2013 National Health Service Corps \u2013 Scholarship for primary care students enrolled in Osteopathic, Dental, Nursing or Physician Assistant programs.<\/li>\n<li><strong>NSLDS<\/strong>\u00a0\u2013 National Student Loan Data Service\/where federal loan history is kept.<\/li>\n<li><strong>Origination Fee<\/strong>\u00a0\u2013 Fee collected by the federal government to partially offset the cost of a loan program; deducted from the loan amount before the borrower receives the money.<\/li>\n<li><strong>PAYE<\/strong>\u00a0\u2013 Pay As You Earn \u2013 a repayment plan<\/li>\n<li><strong>PSLF<\/strong>\u00a0\u2013\u00a0 Public Service Loan Foriveness<\/li>\n<li><strong>PCL<\/strong>\u00a0\u2013 Primary Care Loan \u2013 A Health professions loan for Osteopathic students.<\/li>\n<li><strong>Perkins Loan<\/strong>\u00a0\u2013 Low interest, subsidized loan for students with exceptional financial need.<\/li>\n<li><strong>Prepayment<\/strong>\u00a0\u2013 Payment on a loan by the borrower sooner than it is due under the terms of the promissory note.<\/li>\n<li><strong>Principal<\/strong>\u00a0\u2013 The original or remaining amount of a loan before interest is added.<\/li>\n<li><strong>Promissory Note<\/strong>\u00a0\u2013 A written promise to repay a sum of money to the holder of the loan within a specified time period.<\/li>\n<li><strong>REPAYE or PAYE plan<\/strong>\u00a0\u2013 Pay as you earn<\/li>\n<li><strong>Secondary Market<\/strong>\u00a0\u2013 A private lending agency that buys loans from lenders.<\/li>\n<li><strong>Servicer<\/strong>\u00a0\u2013 The company hired by a lender or secondary market to manage the day-to-day details of loan tracking and collection.<\/li>\n<li><strong>Student Aid Report (SAR)<\/strong>\u00a0\u2013 Report that summarizes the information included in the FAFSA.<\/li>\n<li><strong>Subsidized Stafford loan<\/strong>\u00a0\u2013 Need based federal loan.<\/li>\n<li><strong>Subsidized Interest<\/strong>\u00a0\u2013 Interest paid by the federal government while the borrower is in school, or during grace and deferment periods.<\/li>\n<li><strong>Unsubsidized Stafford loan<\/strong>\u00a0\u2013 Not need based federal Stafford loan.<\/li>\n<li><strong>Unsubsidized Interest<\/strong>\u00a0\u2013 Interest paid by the borrower rather than the federal government.<\/li>\n<li><strong>Untaxed Income<\/strong>\u00a0\u2013 contributions to IRA\u2019s, Keoghs, tax-sheltered annuities and 401k plans, as well as worker\u2019s compensation and welfare benefits.<\/li>\n<li><strong>Verification<\/strong>\u00a0\u2013 is a review process in which the financial aid office determines the accuracy of the information provided on the student\u2019s financial aid application.<\/li>\n<\/ul>\n\n      <\/div>\n    <\/div>\n  <\/div>\n<\/section>\n","protected":false},"excerpt":{"rendered":"","protected":false},"author":80,"featured_media":0,"parent":5,"menu_order":0,"comment_status":"closed","ping_status":"closed","template":"","meta":{"_acf_changed":false,"footnotes":"","_links_to":"","_links_to_target":""},"class_list":["post-3212","page","type-page","status-publish","hentry"],"acf":[],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/stagewp.westernu.edu\/financial\/wp-json\/wp\/v2\/pages\/3212","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/stagewp.westernu.edu\/financial\/wp-json\/wp\/v2\/pages"}],"about":[{"href":"https:\/\/stagewp.westernu.edu\/financial\/wp-json\/wp\/v2\/types\/page"}],"author":[{"embeddable":true,"href":"https:\/\/stagewp.westernu.edu\/financial\/wp-json\/wp\/v2\/users\/80"}],"replies":[{"embeddable":true,"href":"https:\/\/stagewp.westernu.edu\/financial\/wp-json\/wp\/v2\/comments?post=3212"}],"version-history":[{"count":14,"href":"https:\/\/stagewp.westernu.edu\/financial\/wp-json\/wp\/v2\/pages\/3212\/revisions"}],"predecessor-version":[{"id":5541,"href":"https:\/\/stagewp.westernu.edu\/financial\/wp-json\/wp\/v2\/pages\/3212\/revisions\/5541"}],"up":[{"embeddable":true,"href":"https:\/\/stagewp.westernu.edu\/financial\/wp-json\/wp\/v2\/pages\/5"}],"wp:attachment":[{"href":"https:\/\/stagewp.westernu.edu\/financial\/wp-json\/wp\/v2\/media?parent=3212"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}