Am I reading this correctly??

Paying for College
1

I found this bit of info from https://studentaid.ed.gov/sa/types/loans/subsidized-unsubsidized#how-much

“If the total loan amount you receive over the course of your education reaches the aggregate loan limit, you are not eligible to receive additional loans. However, if you repay some of your loans to bring your outstanding loan debt below the aggregate loan limit, you could then borrow again, up to the amount of your remaining eligibility under the aggregate loan limit.”

So if I borrow the limit ($31000 I think) and then pay off $5000, I could then borrow another $5000, bringing my total borrowing to $36000? I could have sworn we couldn’t do that??

2

I don’t know enough to say yes or no, but it does seem to indicate that.

But if you are still in school and trying to finish your degree, how are you going to pay back $5000 in loans (with interest)?

If you have that kind of money available, why not just use it, instead of paying origination fee and interest?

3

^ This. If you have that money laying around to repay your loans, just use it for school costs rather than taking out more loans.