Understanding Pell Grants/College Financial Aid Package

<p>I received my award letter today and it looks like this:</p>

<p>The year is broken into four semesters....</p>

<p>Pell Grant: $5,350 - $1,338 per semester
Sub Stafford : $3,500 - $875 per semester
UnSub Staff: $6,000 - $1,500 per semester</p>

<p>I am also eligible for $4,300 from NJ TAG (state grant) which is paid out twice a year ($2,150) at the end of semesters. So for the year, I have a little over $19,000.</p>

<p>The cost of the college with everything included is $9,000 for 36 credits. So I can complete two years of credits in one year. </p>

<p>Does anyone know if I can reapply for the Stafford Loan after 6 months (36 credits) and receive the additional $10,500 to help me move even faster? I'm taking online courses at Thomas Edison and have 15 years of experience in the area of study my degree covers.</p>

<p>Stafford Loan regulations restrict a student’s ability to renew their financial aid until they have completed the schools academic year. Based on the information you provided, I would assume that 4 semesters is equal to 1 academic year. Therefore, you would have to complete all 4 semesters before you become eligibile for additional Stafford Loan funding. It doesn’t matter how many credits you complete each semester…so overloading yourself and completing the 2 year degree in 1 year will not allot you additional financial aid funding.</p>

<p>If the 4 semesters are one academic year, why give me grants and financial aid for two years? This is where I am a little confused. The $19,000 they gave me will pay for 72 credits during 2009-2010. If I complete the 72 in the first year, would I automatically get bumped up to third year loan amounts since I would already be a junior at that point?</p>

<p>I know it seems fast but I’m trying to get into med school before I’m 35. If my grandfather can do it in 2, so can I.</p>

<p>Based on what you provided, you did not get 2 years of grants and aid…only 1. 2 years of pell (at the current pell rate) would be $10,700. 2 years of loans would be $20,000 (factoring in a grade level increase from freshman to sophomore.</p>

<p>I really do not know whether you would be allowed to complete 72 credits in a 12 month period…that would be 6 three-credit courses per semester (18 credits total). You will need to speak with your school to see if that is allowed. Some schools restrict the number of courses or credits that can be taken at one time and charge additional fees (tuition plus the fee for the overage) when students exceed the maximum.</p>

<p>You may be confused by the award amount. The reason you were offered so much aid is because the school is allowed to award financial aid up to the Cost of Attendance. The COA includes allowances for tuition, fees, books, living expenses, transportation, food, etc. Your tuition may only be $9000, but the regulations allow you to receive aid to help cover other costs, as well. Of course, much of that aid is not free - loans must be repaid with interest. If you don’t need to borrow, then don’t.</p>

<p>If you are allowed to take that many classes in a year & if you don’t need any money from financial aid for your living expenses … then I imagine you can use the aid offered to take that many classes. You may be over-reaching in your goals, but you know yourself better than anyone else.</p>

<p>I don’t see any way around the federal annual limits, but you bring up a good question about whether or not you will receive a junior year loan next year. If you have the credits, you should get the bump.</p>