It’s a long story, but to be short, right now I’m freshman in private art college and planning to drop out from this college. (After dropping out, I am planning to attend community college in order to transfer to another 4-year university.)
Also, there are about 7 weeks left until I finish this semester. (Yes, I know it seems really late to withdraw from college since it’s almost the end of the semester…)
Anyway, I got Merit Scholarship and Direct Unsubsidized Loan for this college.
I’m pretty sure I have to repay that loan thing since it’s already been too late to drop out (plz fix if I understand something wrong; I seriously know nothing about repaying for college).
However, do I also have to repay the merit scholarship (that I have received based on my Art portfolio)?
For this semester, I got about $2700 direct unsub loan. How much should I repay? (Again, there are about 7 weeks left until the end of the semester.)
You will need to repay the full amount of the loan, as the loan was disbursed. (If I lent you $3000 to buy a car, and you decided to buy a $200 bicycle instead, you would still owe the $3000. The federal government lent you $2700. They paid the money to the college on time, just as they were supposed to. So whether you complete the semester or not, you still owe the $2700.)
You probably do not need to repay the merit scholarship, because a scholarship is a gift rather than a loan. But I said probably because I don’t know who gave you the scholarship and whether it specifies any other obligations.
You could ask your college whether any part of your tuition is refundable if you drop out now, but the answer is probably no. Usually colleges have very clear policies and early deadlines for any sort of refund. I don’t see it happening when, as you say, you have already finished 83% of the semester.
@calmom Does that mean I have to pay that loan IMMEDIATELY? I mean I know I have to pay that loan sometime, (probably after I graduate from college?) but if I want to drop out from this college and plan to study in community college, do I have to repay the loan immediately? ( is it not possible to apply to community college if my student loan is not fully repaid??)
(And yeah, I’m pretty sure that my college will not refund anything since it’s almost the end of the semester but I’m just worried about this loan-repaying thing… :(((( )
No, you have to repay the loan according to the ordinary repayment schedule, with monthly payments. If you enroll in community college immediately next semester more than half time, you may be able to defer payments until after you are no longer in college.
Why don’t you just finish the senester then transfer? You’ll have to include this college on other apps. How will you explain dropping out with 7 weeks to go in the semester?
Please talk to someone in the FA office at your school how dropping out would affect your aid for this semester and the future.
If you are dropping out for medical reasons find out what you need to do for a medical withdrawal.
Also a normal semester is usually 15 weeks, so if there are 7 weeks left you wouldn’t have finished 83% of the semester.
If you are healthy I cannot fathom a single reason why your plan is better than just finishing up the semester and then withdrawing.
You seem to think that by going to CC you get to start fresh which is not true. Your transcript from your current college is going to be part of your application each and every time you try to pivot from CC to a four year college.
Meet with your advisor. Your plan is terrible from a financial and academic standpoint- and if you are ill, take a medical withdrawal, DON’T drop out midway through the semester…
but I’m just worried about this loan-repaying thing… :(((( )