Decoding your Award Letter

Author: Catherine Maya

September 28, 2025

Someone providing another person a paper during counseling session

Are you a FAFSA recipient? Does it make any sense? Are you feeling lost and confused? Do you know your three W’s to guidance? Do you know who, what, and where you can seek financial aid assistance? Don’t worry because we have got you covered!

Hey Gators! Your financial aid letter has arrived! Now, before you panic and ask yourself what all the acronyms, numbers, and sections mean, take a mental breather, and remind yourself to remain calm and that you have the resources for clarity and guidance! Your Financial Aid Letter is like a puzzle. Different pieces, and when they're all scrambled up they make no sense! As we decode the letter, piece by piece, it will become easier to understand and comprehend your financial aid package!

In this article we will go over the award letter sections, how to differentiate between a grant and a loan, what types of loans there are, which ones you DO PAY BACK and which ones you DO NOT. We'll also cover additional resources for assistance!

Let's begin by breaking down the sections that are included in your award letter, what they mean, and clarify any misunderstandings.

Estimated Cost Of Attendance (COA):

This section is an estimate created to help you plan for your academic year, and navigate what expenses you may have, which vary by student! This section will typically include your tuition, as well as indirect expenses, such as personal expenses or transportation. If you're living on campus, this section will include housing fees, and a meal plan. Your actual cost of attendance can be lower or higher, depending on lifestyle, transportation, or routines. Budgeting and keeping track of where you allocate your funds can help you keep your expenses to a minimum!

Financial Aid - Gift Aid:

The funds under this section are the funds that are gifted to you, and you DO NOT have to repay. This section will typically include grants, which are funds that are provided by the government that should be used for educational purposes, or towards additional institutional expenses. This section may also include scholarships, which can be state or college specific awards.

For example, if you are in programs such as EOP, you may receive additional grant funds to help out with your educational expenses.

Financial Aid- Loans:

Now, moving onto the part that confuses us the most, LOANSSS! The funds under this section MUST be repaid. These are funds allocated for you, to support your educational journey and expenses, that you are unable to cover with your gift aid, scholarships, or other financial resources.¹

It is highly encouraged to explore other financial resources, like scholarships, and work-study, before you decide to accept loans. You are allowed to accept or decline your loan amounts. Additionally, you are allowed to choose the loan amount you are comfortable with accepting. You are also allowed to request your unaccepted loans at a later time.

When it comes to repaying loans, there are different repayment options. Typically, the most common repayment option is that you are required to begin repaying your loans, six months after you graduate or, if you drop below half-time enrollment. You can visit the Federal Student Aid website for more details!²

Subsidized Loans:	Unsubsidized Loans:
⚬ Only available to undergraduate students	⚬ Are available to both undergraduate & graduate students
⚬ Are based on financial need	⚬ No financial need is required
⚬ The interest does NOT accrue (increase) until leaving school	⚬ The interest accrues from time of disbursement
⚬ Lower loan limits	⚬ Government doesn’t cover the interest
⚬ The government covers the interest while the student is enrolled	⚬ Has higher loan limits

Work Study Offer:

To receive this award, you must be hired into a federal work study position, and the funds under this section are earned through the amount of hours you work and the rate! To add, not everyone qualifies for work-study, as eligibility is established based on financial need. (This section may vary by student) ³

Now that we have gone over the sections of your award letter, if there is still anything you feel like you are stuck on, confused about, or have pending questions on, do not worry as we have a team here on campus that are more than happy to help and support you!

The Financial Aid Office is located on the first floor of the Student Services Building. The office of student financial aid hosts Zoom info sessions every other Friday, “Fin Aid Fridays”. ⁴ These sessions cover several and different financial aid literacy and information. Whether it be paying for on campus housing, receiving assistance, or guidance with applying to scholarships, or a general walkthrough, these info sessions are created to help students with any concerns, or struggles they may have, as well as guidance and assistance, AND if you cannot make it to the info sessions, they have recorded meetings for you to look & go through, and you never know, these recorded info sessions can answer the questions you have!

Financial Aid Office Hours:

Monday -Thursday | 9:00am-5:00pm

Friday | 10:00am-5:00pm

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