<p>I live on campus.</p>
<p>So what's going to happen, I've payed up everything (imagine), I have $4K loan just sitting there. ?</p>
<p>you can refuse the loans and have less debt (and more choices) when you graduate.</p>
<p>Can I refuse it in the middle of the year for flexibility (or would that be too late since refund checks start coming)?</p>
<p>Also is this right..
So let's say I have $4K in grants, $3K in loans. I have a $5K charges for year 07-08. I get refunded $2K. However, that $3K loan still exists, yes? o.o</p>
<p>Pugfug, as Sybbie says, refuse the loans if you don't need the money. They will probably grow in amount over 4 years and you will graduate having to repay tend of thousands of dollars. That could be hard depending on your career choice or the economy. </p>
<p>This is not free money!</p>
<p>Even if you take the 2000 refund, the 3000 still exist (they used $1000 toward your school bill in the scenario you presented). However you can turn down the $2000 "refund"</p>
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<blockquote> <p>excess loans from previous years are not rolled over to the next year.>></p> </blockquote>
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<p>I'm a bit confused. If the loans are paid into the Bursurs account, and there is extra money...at some schools this CAN be applied to next year's costs. Example...with both kids (don't ask me how this happened), we overpaid using our TuitionPay account and had extra money in the Bursurs account (some of that WAS loan money, some payment money...they really don't differentiate). At the end of the year, the kidlets were asked what to do with the money...choices: refund or apply to the following year. In both cases we chose "apply to the following year". You should check with the bursurs office at your college to determine their policy regarding extra money at the end of a school year. Perhaps this varies from school to school, but our kids' colleges had the same policy.</p>
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Can I refuse it in the middle of the year for flexibility (or would that be too late since refund checks start coming)?
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<p>Not sure how it works at your school but at my Daughters half of each financial aid award (loan, pell grant, ACG etc) is paid into the bursar account in each semester (not neccessarily right at the beginning but fairly early in each semester). Once that portion of the loan is disbursed to you , you now owe that money to whoever the loaner is. (in our case the fed gov. for Pell and the school for the other subsidised loan). So at that point I would think it is too late to refuse the loan because you already have it (even though it is physically not in your hands). </p>
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excess loans from previous years are not rolled over to the next year
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<p>Thumper I think we are meaning different things by rolling the loan over to the next year. I meant that if you do not take the loans offered the current year they are not 'rolled over' and automatically available the next year. Once the money is paid into the bursars account the loan is already taken out. As you said once the money is in the bursar account it is not really differentiated between loans, payments etc so I would not consider keeping the money in the Bursars account rolling the loan over</p>
<p>Well what if I "have" the loan but don't spend a dime? When schools loan me money, are they the piggy that I have to ask "hey I need a book "hey I need a pc" or is it just to my own bank? If it's my own bank then i can just give it back, or at least when my major's due, payback interest free (essentially), yes?</p>
<p>And if it's now in my bank.. SPEND as much of the loan as possible?</p>
<p>Pug, do you really have the discipline to keep the money in the bank without spending? Have you managed money in the past? This is a dangerous strategy you have.</p>
<p>Where are you going to college?</p>
<p>Georgia State University. In terms of georgia's public schools, it'd be Tech, then UGA, then the next DROP (lol) is GSU.-</p>
<p>I have saved hundreds of Christmas moneys and such, I even gave my mom hundreds in high school since we ain't the richest, boom more Christmas money, and $1K in grad money from fam, $1K grad prez from Mom's boyfriend, !I decided to put it in the bank (I now have $1k checking and $1.25K savings(</p>
<p>So yeah, these loans, will they be deposited in my bank or will I have to ask them for this fee and that fee?</p>
<p>My son had an excess of financial aid awarded to him two years in a row due to outside scholarships. He declined the loans in both years because -- bottom line -- he didn't "need" it. It sounds like you are in a similar situation and the smartest thing you can do for yourself is to decline at least a portion of the loan if you are truly overfunded for the year. </p>
<p>On a side note, did you report the $2,250 on your FAFSA that you have in checking/savings, since that typically affects your EFC and financial aid package.</p>
<p>As far as the Academic Competitiveness Grant, it is awarded to qualifying students who took a rigorous academic class schedule in high school. In addition, you must maintain a 3.0 average at college to maintain continued eligibility.</p>
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[quote]
Well what if I "have" the loan but don't spend a dime? When schools loan me money, are they the piggy that I have to ask "hey I need a book "hey I need a pc" or is it just to my own bank? If it's my own bank then i can just give it back, or at least when my major's due, payback interest free (essentially), yes?</p>
<p>And if it's now in my bank.. SPEND as much of the loan as possible?
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<p>I can only tell you haw it works at my Ds school. All the financial aid (other than work study) for the semester is credited to your Bursars account. That includes loans, grants, merit scholarships. So say you have 2,500 in loans 1,500 in grants and 3,000 in scholarships for the semester then a total of $7,000 will be credited to the bursars account. (at this point you now owe $2,500 to whoever loaned you the money). The money in the bursars account will be a credit balance of $7,000. Then all costs for the school are charged to the Bursars account - tuition and fees, Room and board, books, certain entertainment like football game passes etc. If the charges come to more than the money credited to the account - say $7,500 - then you owe them money and have to give them another $500. If the charges come to less than the money credited to the account - say $6,200 - then they owe you money and will refund you $800. It will just be a refund of $800 - it will not be part loan, part grant, part scholarship - just a check (or however they do it at your school) for $800. So at this point you will have $800 in hand and you will owe $2500 to whoever loaned you the money.</p>
<p>Certain things can be charged to the Bursar account and others cannot - you would have to check with your school. For instance at my Ds school last year they apparently were selling IPODs in the campus store and were allowing them to be charged to the Bursars account. Parents were not too happy with this (duh) and Ipods can no longer be charged.</p>
<p>If you truly have the self control to not spend money that is refunded to you then saving it and earning interest on it and repaying it as soon as you graduate is a sensible option. But do not 'spend as much of the loan as possible' - only spend what you actually need. You do not want to spend the 1st 10 years of your working life paying off loans that were spent on something other than your education.</p>
<p>My FAFSA was sent in February. I got+$2K (and $250 from my wallet) around graduation . Do you know when the latest to decline the loan is?</p>
<p>Also, according to my school, financial aid funds are disperesed 2 weeks after school. So how would I get compensation/assistance with books from say an online store?</p>
<p>Please check with your school. At Swimcats' kids' school they received refunds for overages to the accounts. At both of my kids' schools they were given a choice...refund or credit for the following year.</p>
<p>Re: my confusion...If you don't TAKE the loan for this year you lose it for this year. If you take the loan and it's credited to your account, you may have a choice as to any overage in your account.</p>
<p>My advice is....do not take out the loans. It sounds like you absolutely do NOT need them. There is no reason, therefore, for you to incure the debt and subsequent interest, and then the payments. It's not necessary and many students would be quite delighted to be in your shoes...college paid for, no loans.</p>
<p>Aye, school's starting in a month, I just got my Perkins mailed, if possible, I will apply for that, once that's posted, if it's not too late, I will cancel the stafford, good deal?</p>
<p>That sounds like a wise choice, Pug. </p>
<p>Re: confusion about whether or not you will receive the "extra" money over & above the charges on your account ... call your school & ask! Different schools have different policies. You are taking out a loan to pay for things like books, food, etc. that you may not be charging to the school. It makes sense that you would want that money in hand to pay for those costs as they occur. But you need to find out if & when you will be paid that money by the bursar's office. The school I worked at many years ago automatically refunded the overage from financial aid immediately after tuition/room/board/fees were paid. </p>
<p>Remember that you will only get 1/2 the loan each semester. If you don't think you need the other 1/2 before next semester rolls around, you may be able to decline the second 1/2 by notifying your lender in advance (not sure about that, though).</p>
<p>According to your info, you have charges of $5667 for the 1st semester. You will have $4684 in grants/scholarships to apply to 1st semester. That means you will owe the school $983. You will also need to buy food, books, etc. during the term (and pay for your social life). What you should do is figure out how much you think you will need & how much you think you will make from your on-campus job (if you plan to work). Then add the $983 and the costs you think you'll have, subtract the money you think you'll make ... and figure out how much you need for the term. You do have money in the bank ... so figure out how much of that you'll put toward the costs (at most, 1/2 for the 1st term). That will give you an idea of whether or not you need a loan ... and how much you'll need.</p>
<p>If you want to be on the safe side, you can definitely do the Perkins loan. You will have some money, but not too much. Then, if you have money left from it, you'll have that to work with next year for your shortfall between free money & costs.</p>
<p>Your financial aid package will vary from year to year, and you'll need to decide each year all over again!</p>
<p>One point that no one has mentioned is that you can take a reduced amount of either the Perkins or Stafford loan if you feel you need a small buffer.</p>
<p>If you can avoid the loan by all means don't take one.</p>
<p>Also check the terms of your Stafford loan. There is an origination fee on Stafford loans that is around 3%. Some loaners waive or reduce this. But if yours does not then you will actually get less than the actual amount offered. For instance with a $2000 loan with a 3% origination fee you would actually receive 97% of the $2000 loan amount - $1940. (you would still owe $2000). Perkins does not have origination fees. </p>
<p>Of the 2 loans the Perkins is definitely the better deal.</p>
<p>My daughter will be a freshman at GSU next month too. She is in one of the on campus apartments. These are furnished and the occupants are expected to cooked their meals. It is "optional" to buy a meal plan.</p>
<p>*Well, the quote button did not work. This was in reply to post #20</p>
<p>For the summer I got awarded 3k extra. I turned it down and paid off the loan immediately. </p>
<p>But now my family is in a bit of a bind financially (we're moving in September) and I have 5 k extra, due to an outside scholarship and the fact that I'm going to be an RA and we get free room and board. I'm thinking about taking this one just for insurance for books and food and whatnot for this academic year.</p>
<p>It will be my junior year in College and I'll have 13k in loans including this 5k one. Is 13k a lot?</p>