Can I be denied my request for unsubsidized Direct Loan?

[maneki]

Thank you for those links. I have a question on something I read on both those link.

For example, your school cannot engage in a policy of
certifying Stafford loans only in the amount needed to cover the
school charges, or a policy of limiting unsubsidized Stafford
borrowing by independent students.

Can someone explain this to me a little more? I'm an independent student and it's the unsubsidized loan I'm requesting.

 

[TigerD]

Every school processing Fed loans has a need matrix: where the cost of education, including tuition, fees, books, housing, transportation, etc., are added up. Then you may borrow subsidized and then un-subsidized loans up to that need level. Some schools set it at the actual need level, some set it at the maximum allowable per fed regulation. You can only borrow above the line with approval of the financial aid office and they have to certify an actual need (child care, computer purchase...)

If you are borrowing that much, you may be in serious need of financial counseling. It is very easy to rack up $1-200k in student loan debt.

DC

 

[maneki]

You can only borrow above the line with approval of the financial aid office and they have to certify an actual need (child care, computer purchase...)

If you are borrowing that much, you may be in serious need of financial counseling. It is very easy to rack up $1-200k in student loan debt.

DC

The unsubsidized portion of the student loan is not need based, or am I misunderstanding what you mean? I am hoping to graduate this spring (as long as they don't cancel the classes I need again) and will have well under 100k in loans. I've already been through financial counseling and have a plan in place to pay back the student loans within the normal time frame. So I'm not worried about that. Thank you for your concern though.

 

[TigerD]

The unsubsidized portion of the student loan is not need based, or am I misunderstanding what you mean? I am hoping to graduate this spring (as long as they don't cancel the classes I need again) and will have well under 100k in loans. I've already been through financial counseling and have a plan in place to pay back the student loans within the normal time frame. So I'm not worried about that. Thank you for your concern though.

Yes, you are misunderstanding - or I am not explaining well. It has been a long day, I could just be communicating poorly.

Your need or lack of need it not relevant.
The school sets a cost of education -that is the need. For example, cost of education at Blackacre U is $32,000 per year. This includes tuition, housing, books, meals, fees, and transportation. The Blackacre U need matrix is $32,000. You have a maximum sub and un-sub per year allowance of $23k. (WAG - I'm not going to look it up)So BAU will certify $23k in Fed loans and $9 in some other financial aid (parent plus, plus, Perkins, etc). However, the cost of education at Whiteacre Community College is $13k, including tuition, housing, books, meals, fees and transportation. WACC will only certify up to $13k without an authorized demonstration of need. WACC cannot certify more than $13k without a demonstrated need.

DC

 

[maneki]

I think I understand what you're saying about that now. I'm pretty sure what I'm requesting would still put me lower than the cost of education set by the school.

 

[TigerD]

I think I understand what you're saying about that now. I'm pretty sure what I'm requesting would still put me lower than the cost of education set by the school.

That information should be readily available through the financial aid office.

DC

 

[maneki]

I'll try calling tomorrow and see if I can find out for sure.

 

[maneki]

Well according to the guy I was able to speak with (not an adviser) he said they don't disclose the "cost of attendance" to students. WTF???

 

[TigerD]

Well according to the guy I was able to speak with (not an adviser) he said they don't disclose the "cost of attendance" to students. WTF???

Go around him. It should be publicly available.

DC

PS: Or PM me the name of the institution and I'll find it for you.

 

[maneki]

When you call in you are automatically routed to a work study student. They SAY they will pass along a message and have an adviser call back but the advisers never call back. I've tried several times in the past year for other questions. Eh, doesn't matter. My request was approved today and I'll be out of that school soon anyway so this should be the last hoop I have to jump through with them.

Thank you all for your advice and answers.