<p>I am helping my niece sort out her money requirements for next year, and am confused as to the disbursement mechanics. She is transferring to UF, and needs to get money together for apartment deposits, etc.</p>
<p>She has filed the FAFSA and has been getting a Pell Grant and FL Bright Futures at her CC for two years. She will need to borrow about $6K to cover expenses over what she will earn this year. </p>
<p>Questions - </p>
<p>If she gets a Perkins subsidized loan, will that come back to UF to be disbursed to her to cover her housing?</p>
<p>Will she get this money soon enough to pay deposits in July?</p>
<p>Do the Perkins loans consolidate for each year she borrows, or will she have two loans and two payments when she finishes?</p>
<p>Schools cannot disburse funds more than 10 days prior to the start of the term - many choose to do it later; some wait for 30 days. So I would guess the money won’t be ready in July (unless she is starting early).</p>
<p>Perkins is owed to the school, so these loans are not part of the Stafford repayment. They can be consolidated in with Stafford, but that can raise the interest rate - although it really depends on the individual student’s rates, as rates vary by year. Every student who is considering consolidating needs to contact the lender to find out what is the best thing for HER to do. Have her go to <a href=“http://www.nslds.ed.gov%5B/url%5D”>www.nslds.ed.gov</a> to access her loan information & read about loans/repayment.</p>
<p>My kids schools both disburse to students well after school starts. My daughter’s school will not disburse until after the add/drop period. it is usually about the end of the 3rd week of the semester when she receives a check. My son’s school is much slower (I think they have more of a problem with students dropping out after aid is disbursed), it is usually more like 5-6 weeks after school starts. Both had to have other money in place to pay initial deposits, rent etc.</p>
<p>At my son’s school when the invoice comes each semester it shows in one column all the charges and in a second column all anticipated disbursements. Generally I just subtract the anticipated disbursements (Staffords and scholarship) from the charges and write the check for the difference by the invoice deadline. I’ve never gone on-line to check how quickly the disbursements are posted. It’s never been a problem to do it this way but you could certainly call the college and check to see how they prefer everything to be handled.</p>