I accepted a Federal Direct Subsidized Loan through my school solely for the reason to make sure I had enough to pay for my textbooks with financial aid and then the loan would pay off the remaining tuition balance. I just realized I cannot pay the bookstore (school bookstore) through financial aid, so I’ll have to have the money before school starts but I thought they didn’t disburse the loan money until the middle of the semester. I’m not sure about that though. Does anyone know for sure?
The checks are made out to the school, and generally the school makes sure all of the bills are paid before giving the excess to the student.
Call the financial aid department at the school and explain your situation. Perhaps the school has arrangements with the school bookstore to handle situations like yours.
Ask your Financial Aid Office if they have a form calls “Title IV financial aid authorization” which allows the school to use your excess financial aid to pay bookstore charges.
Can you use your summer earnings to pay for your books?
Do you have any EFC, and if you do, how are you going to cover that part?
You can usually check the FA website of the school. It will tell you when the loan disbursement dates are. For my D1s college, they disburse between Aug. 24-Sept. 4. Or check with the Office of the Bursar.
@TiggyB62 thank you for that! Lol, I feel like an idiot now. I looked and the loan is disbursed 2-3 weeks before classes start.
^ @chllerbee, no, don’t feel like an idiot!! All this stuff can be so confusing!
@chillerbee According to federal rules, loans can’t be disbursed till 10 days before the start-of-classes date for your respective college, so you might wanna re-check.
The refund is a separate deal; it varies with each college, but usually you get it 2-3 days after your bill is paid/settled. Since it looks like you’re paying everything with financial aid, you’ll prob get a refund 2-3 days after the fed loans are disbursed.
If possible, set up direct deposit for your FA. This generally will give you faster access to your money.
Question-- so I have a paymemt due Aug 11 and I was relying on the fed loan to pay it. How will I be able to if the loan money comes AFTER the payment is due?
A payment to your school? Usually the school will credit the loan toward tuition. Go on your webpage and look at your bill to see if it is credited (you probably have to go to your financial aid awards page and accept or reject each award too). I just checked my daughter’s yesterday and it showed the tuition and fees, room and board, then all the scholarships and grants credited, then showed what was remaining. Below that, it showed a loan and a state grant that do not get paid until after classes start (including the Stafford loan), but the school gives her credit for them now. Finally, it shows the amount I have to pay by Aug 11.
It shows nothing! Just that I still owe a whole lot! @twoinanddone
Did you go to the ‘accept awards’ page and accept the awards? Last year my daughter received an ‘alum scholarship’ and didn’t even know about it until she looked at that ‘awards’ page, and she wasn’t able to accept it until she wrote a thank you letter to the alum. Both my kids have to go in and check the awards they want, especially the loans (sometimes the grants are automatically accepted) before the amount is credited to the bill.
Call the FA office. They will walk you through it.
Call the FA office. At my daughter’s school, the bill is due before all FA is distributed. However, the school allows students to defer the part of the bill that is covered by FA as long as you request deferment. It is not automatic. Every school is different.
@Lilliana330 You were right! I called and asked and she told me the same thing so crisis averted lol! Guys, if you have questions e-mail or call your school. It’s so much easier than stressing out over it - trust me!