<p>I have a huge refund from last semester and kept it just in case of last minute charges or emergencies. This is from a loan and I would like to reduce my debt later on and just return it all, I don't need it. Is it possible to still return it?</p>
<p>I dont understand why you rec’vd a refund? Did you take out more than needed? I’m going to be applying for loans and was curious.</p>
<p>You probably need to contact your FA office so that you’re not taking out future unneeded loans. </p>
<p>I don’t think you can “just return the money” to the school since the loan was processed and distributed. You’ll need to use the money to pay off your loan. Have you received any paperwork about the loan that you took out?</p>
<p>I dont understand why you rec’vd a refund?</p>
<p>Students will receive a refund if they have a positive balance after their direct school costs are paid.</p>
<p>As mom2 said, notify your FA office that you’re cancelling your loan request for spring semester. Contact your lender to repay your fall loan. If this was a Stafford loan and you haven’t received a statement from them yet, log in at [National</a> Student Loan Data System for Students](<a href=“http://www.nslds.ed.gov%5DNational”>http://www.nslds.ed.gov) and click on the loan (or a little blue box next to the loan) to get the lender information.</p>
<p>Since there are origination fees for loans, review your aid award, you may be better off to reduce your next loan by the amount of the extra and avoid that origination fee, depends on the timing & the amount of interest accruing etc.</p>
<p>Use the money to pay off the your loans if you have already taken them out. Adjust the amounts in the future so you won’t have the overage.</p>
<p>mom2college, thanks for the info</p>
<p>I do not recommend paying back the loans directly when the overage is from the current year. This is because if you end up needing loan money later in the year (for example, for summer term), you will not be able to borrow it. Your annual maximum is based on the disbursed amount … if you pay back the lender, you don’t reduce your disbursed amount. If you return the money throught the school, instead, you keep your borrowing options open. </p>
<p>If it is subsidized, you can return it at any time. If it is unsubsidized, you can return it but will owe interest for the time it was borrowed (you have only 21 days to return with no interest). That interest isn’t paid back right away … it gets tacked onto your total loan amount owed. Talk to your school’s financial aid department about how to return loan funds.</p>
<p>My nephew ran into financial trouble a couple years ago. He was incredibly stressed out because he had paid back his loan & then needed it. Luckily for him, he had returned it to the school rather than making repayment to the lender. He was able to request that the loan be reinstated. It was truly a lifesaver for him.</p>