We were lucky enough to get the NMF scholarship, but I have a question about getting the stipend to use for things like travel that aren’t qualified educational expenses under the 529 plan. So normally the $3500 NMF stipend will just be applied to our UA bill. The bill will show tuition, housing (both covered by NMF), fees, meal plan, football, maybe something else (all NOT covered by NMF scholarship). So these last things would have the $3500 stipend applied to pay for them. There is no stipulation on how the $3500 is to be spent, so we’d like to use it for things that don’t qualify for 529 plan (travel, mainly). And use our 529 plan money to pay for 529 QEEs (fees and meals).
So what I’d like to do is write UA a check for $3500 (529 money) so that there will be an excess of $3500 which they will then refund us. (It might actually be more than $3500, but for illustration purposes here it’s clearer to keep it at $3500). Then we can use that money for travel and other non-QEE stuff.
Is this possible? I called the scholarship office and got what I felt were very iffy answers. The first person knew nothing about it and kept going back to ask someone else. Finally she told me that no, it didn’t work that way. I insisted that I thought I’d read someone had done that, so she transferred me to the guy she’d been talking to. Who immediately told me YES, no problem (?!). Then he said stuff like, “Well, I don’t know why not?”.
SO…I’m hoping to hear from someone else who has actually done this! Seems legit, and I would think they’d issue a refund if we overpaid our account. Hope this all makes sense! Thanks!