<p>Hello, so I have a question for anyone who can help me out here. First let me describe my situation: I go to a university in North Texas but transferred from a private college in Oklahoma. The first two semesters here in Texas, I became VERY irresponsibe when it came to my studies. This caused me to be put on a semester long suspension and lose my financial aid, which I am in great need of. I have hardly any credit whatsoever, my parents on the other hand have poor-mediocre credit. The only way to pay for college right now is by taking out private loans. The only problem is my parents do not qualify as a good enough cosigner for Sallie Mae, Wells Fargo Collegiate, etc..My uncle claims to have good credit(he just moved to Texas, is renting out a duplex, has a steady and well paying job((40K more or less)), and not married) and is willing to help be a cosigner, but as I applied for a $10,000 loan, he was denied. </p>
<p>My question is, do you think he was denied because the loan request was too high? Would he be accepted if it were lower, say 5.2K? And does anyone have any other ideas for loan lenders I could possibly try or any other ways to get money for college? Stafford and Pell grants are out of the question, unfortunately.</p>
<p>You can simply ask the lender who you apply for the loan to tell you the reasons why they deny your loan application. Next, your uncle can get a credit report (free from various sources) and check his credit score and look for any negative things that may appear on the credit report. There can be various reasons why someone is denied a loan such as bad payment history of past loans, have too much debt, have outstanding loans or bills in default, etc…</p>
<p>Are you sure that Stafford loan is definitely out of the question? If so, why?</p>
<p>I have asked the lender and all he was able to tell me is that he was denied because of his credit, but he didn’t specify if his credit was too low for any amount of loan or just for that amount.</p>
<p>Stafford loans are only for students who are accepted for financial aid I believe. Mine was taken away because of my suspension. :/</p>
<p>The answer that someone was denied because of “his credit” doesn’t help you know the reason. There are different reasons people can be declined credit. Even with good credit, you can be denied a loan. Some reasons are if the person has unpaid bills that are sitting there open on the credit report, if the amount is to high for income reasons, if he was not at the job long enough, if he already has too much borrowed to be allowed to borrow any more. </p>
<p>You might want to sit down with a fin aid counselor and find out exactly what you have to do to become eligible for fin aid again. You may have to take some courses at a local school, paying for them, maybe one at a time, and do very well on them before you are eligible again.</p>
<p>They took away your financial aid but do you still owe the school or need to pay back the money due to this removal of the financial aid? If not, you might still be able to apply again for more Stafford loan, the loan is given to you by the government, not the school. I am not an expert but I don’t understand exactly why you can’t just file FAFSA again and get more loan for this new academic year.</p>
<p>Yeah the Sallie Mae guy I was talking to either did not understand my question or did not explain very well because he wasn’t very clear with his answers. I did not think about if he has unpaid bills or his job duration, so I will definitely look into that. He’s been employed for about 9-10 months.</p>
<p>So, if my school denies my financial aid, I would still be able to get a stafford loan? I have filed for FAFSA. I know I’m not able to receive a Pell grant because I do not meet the Satisfactory Academic Progress policies at my school, not too sure about a Stafford though I kind of just figured I wouldn’t be able to get it because of my SAP conflict.</p>
<p>That is the question that should be specifically asked of your Financial Aid office (whether you still eligible for Stafford loan?). And do what cpt suggests if you are not eligible, find out why and what you can do to get your eligibility back.</p>
<p>NO, if you are on SAP you are not eligible for Stafford loans. People get confused sometimes and don’t realize that ‘financial aid’ includes loans. So if your financial aid is suspended, you are not eligible for any TitleIV funding from the federal government- TEACH grant, Pell, SEOG, student loans. The loans is from the government, not the school, but there are very specific regulations that the school must use to administer those funds. Most likely you have been told you need to pay for a semester out of pocket and get your GPA above a 2.0 at the end of the sememster in order to regain eligibility.</p>
<p>Most of the time, this situation results in the student leaving the school. They will either transfer to another school or sit out of school for a while and work to earn the funds to pay for another semester. I would caution anyone who just goes to another school. What changes have you made to ensure academic success? If you have not made any changes, going to another school and increasing your loan debt while not making progress towards your degree is a bad idea. </p>
<p>Do you have anyone else who can cosign? Private lenders tend to look for very good credit when extending these loans.</p>
<p>Good luck to you, I hope you can come up with a plan to stay in school. Time off is not such a terrible idea, though, if you are struggling. Not everyone is ready to do FT traditinal college right away, but that does not mean they don’t acheive their goal eventually.</p>
<p>Ttparent…it sounds like this student did not meet satisfactory academic progress (SAP). That being the case, he/she is not eligible to receive federally funded aid until THIS is reconciled…and this includes the Direct Loan.</p>
<p>I would suggest you talk to your college about what you need to do to meet their SAP requirements. They will tell you. Then do what they tell you to do!</p>
<p>Can you afford a community college within commuting distance of your parents. Perhaps take a couple of courses at a time. See if doing well on those will meet the SAP requirement of your school.</p>