WHAT DOES THE SCHOLARSHIP FOUNDATION DO?
The Scholarship Foundation provides interest-free student loans to help financially needy students pay for college. Since 1920, The Scholarship Foundation has provided financial assistance to local students. Students are selected on the basis of need, satisfactory academic progress, and character. We are supported by loan repayments, receipts from our two ScholarShop resale stores, and financial contributions. 1 in 6 donors is a former recipient.
CAN I SUBMIT AN APPLICATION AT ANY TIME?
The Interest-Free Student Loan Program is offered *twice per year.
Application cycles:
HOW MUCH MONEY CAN I RECEIVE?
Currently, eligible students can borrow up to $7,000 per academic year. The lifetime maximum loan level is $40,000. The average annual loan award is $4,400.
WHAT IS "NEED-BASED" AID?
Any funding source that considers a familys income or ability to pay as criteria for receiving financial aid is considered need-based. The Scholarship Foundations Interest-Free Student Loan Program and grants are need based.
HOW IS FINANCIAL NEED EVALUATED?
The single most important criterion for receiving financial assistance from The Scholarship Foundation is financial need.
- First we look at the total cost of education, including tuition, fees, room and board, and miscellaneous personal expenses such as transportation and clothing.
- Next we subtract any grant or scholarship dollars the student is receiving.
- Lastly, we subtract the Expected Family Contribution (EFC). This figure is calculated by a formula established by Congress using income and asset information you entered on the Free Application for Federal Student Aid (FAFSA). The EFC is reported on the Student Aid Report (SAR).
Special circumstances may exist, but the majority of individuals who qualify for funding from The Scholarship Foundation have an EFC of less than $4,000. Occasionally a candidate with an EFC of as much as $12,000 has qualified for an interest-free loan. We wish we could assist all students with need; unfortunately, our limited resources result in choosing those with the greatest degree of financial need. If you have questions about the process of determining financial need or to discuss a special circumstance that might affect eligibility, please call us at 314-725-7990.
DO I NEED A CO-SIGNER?
NO. Interest-Free Loans from The Scholarship Foundation are based on the strong character, financial need and academic progress of the student applicant only. Additionally, The Foundation does not hold parents responsible for repayment of the loan, nor may a parent borrow on behalf of the student.
WHAT DOES "INTEREST-FREE" MEAN?
Interest-free means that only what is borrowed has to be repaid. There are no interest charges, fees or costs associated with borrowing or repaying interest-free dollars from The Scholarship Foundation. Federal and other loan programs require that borrowed dollars are repaid at varying interest rates and likely have fees associated.
ARE THERE ADDITIONAL PROGRAMS AVAILABLE?
Yes. With one application students are automatically considered for all of the funding programs offered by The Scholarship Foundation. There are special loans and grant programs for which students may receive recognition or even additional money. The Scholarship Foundation will loan over $3 million to about 600 students. There is about $300,000 available in the form of grants and 175 special loan programs. All awards through The Foundation are need-based.
WHAT IS "EXPECTED FAMILY
CONTRIBUTION" (EFC)?
The Expected Family Contribution (EFC) is
the amount of money that the federal
program has determined a family can
contribute toward one year of the students
education. The EFC is calculated by
applying a formula to the income and asset
information provided on the FAFSA. The
EFC is found on the SAR, typically on the
first page. If the EFC is not provided, the
SAR must be updated or corrected so that
the EFC can be calculated. The EFC is not
the amount to be paid to the school but is
critical in determining financial need.
WHAT IS FAFSA?
The Free Application for Federal Student Aid (FAFSA) is the general application students must submit to be considered for any federal funding such as Pell Grant, Federal Supplemental Educational Opportunity Grant, Stafford Loan, etc. The FAFSA must be submitted as soon after January 1 as possible. It may be submitted by mail or online at www.fafsa.ed.gov. The FAFSA must be submitted each year a student wishes to be considered for federal funding. All financially needy students should submit the FAFSA.
WHAT IS SAR?
The Student Aid Report (SAR) is the analysis of the information submitted on the Free Application for Federal Student Aid (FAFSA). The SAR is a critical piece of any financially needy student’s application for assistance. The information on the SAR tells financial aid professionals about your/your parent’s financial situation. It is required with the application for an interest-free loan.
DO I NEED TO SUBMIT MY PARENTS TAX INFORMATION?
If a student is independent, they do not need to submit income tax information for parents. INDEPENDENT students will have reached the age of 24 by December 31 of the application year or are: an orphan or ward of the court, a veteran of the Armed Forces of the United States; a parent with legal dependents; married; or, have already attained a bachelors degree.
HOW WILL I LEARN IF I
AM APPROVED OR NOT?
Decision letters are mailed to the applicants permanent home address.
DO I REPAY MY STUDENT LOAN WHILE ATTENDING SCHOOL?
Students are eligible for educational deferment if they are enrolled and taking a minimum of six credit hours of course work. The student must submit proof of enrollment at the end of each semester in the form of either:
- a paid tuition receipt for current semester; or,
- a letter from the Registrars office detailing number of hours enrolled; or, an official or unoffical academic transcript.
HOW IS THE LOAN PAYMENT AMOUNT DETERMINED?
We take the total amount that the student has borrowed from The Foundation over the course of their education and divide it equally over a 5-year repayment period.
If a student successfully graduated, they receive a one-year grace period before beginning repayment.
If a student quits school, there is no grace period. Repayment begins immediately.
HOW DO I UPDATE CHANGES TO NAME, ADDRESS, OR OTHER CONTACT INFORMATION?
You can print the "Change Card" and either mail to our office or send by email.
CAN LOAN REPAYMENTS BE AUTOMATICALLY DEDUCTED FROM MY CHECKING ACCOUNT?
Yes. You may complete the 
"Authorization Form for Direct Payments (ACH/Debit)" so that payments may be made automatically each month. Your payment will be deducted from your account on the 15th of each month. (In the event that the 15th falls on a weekend, the deduction will occur on the following business day.) Mail your completed form with a voided check to The Scholarship Foundation, 8215 Clayton Rd., St. Louis, MO 63117.
CAN LOAN REPAYMENTS BE TEMPORARILY REDUCED OR DEFERRED SHOULD AN UNFORESEEN FINANCIAL CIRCUMSTANCE ARISE?
A complete "Repayment Assessment Form" must be submitted for consideration of reduced or deferred payments. A reduced payment option is offered to help you maintain a good pay history while you work through a temporary financial difficulty. Deferments are granted in cases of extreme financial hardship and are approved at the discretion of The Scholarship Foundation. Mail your completed form to The Scholarship Foundation, 8215 Clayton Rd., St. Louis, MO 63117.
HOW DOES THE SCHOLARSHIP FOUNDATION GET MONEY?
The Scholarship Foundation is a non-profit organization supported in part by private contributions. Donated clothing and accessories sold in the ScholarShop also generate a large portion of the funding. Additionally, payments received from students in repayment are recycled to new students. The repayment rate of interest-free loans is 96%. The Foundation does not receive any federal dollars.
WHAT IS SCHOLARSHOP?
www.scholarshopstl.org
ScholarShop is The Scholarship Foundations upscale resale retail store. Annual sales from ScholarShop are in excess of $2.2 million and are the major source of funding for the interest-free student loan program administered by The Foundation.
There are two ScholarShop locations:
8211 Clayton Road in Clayton
314-725-3456
7930 Big Bend Blvd. in Webster Groves
314-961-2525
ScholarShop accepts donations:
Monday-Saturday 10:00am-5:00pm
ScholarShop is open for shoppers:
Monday-Thursday 10:00am-7:00pm;
Friday and Saturday 10:00am-5:00pm
Contact Us:
Phone 314.725.7990
Email info@sfstl.org
