Returned Federal Loan

[majax79]

I was just wondering if the school has the right to return my loan that I signed a MPN for? This semester was my last semester and it happened to be that I just went over the 150% rule. They returned my federal Stafford Loan and they're charging me with the tuition.

 

I got that loan through FASFA, selecting Nelnet, and then signed a MPN online. I just thought they were supposed to get that loan money to me some way.

[LynnInMN]

I was just wondering if the school has the right to return my loan that I signed a MPN for? This semester was my last semester and it happened to be that I just went over the 150% rule. They returned my federal Stafford Loan and they're charging me with the tuition.

 

I got that loan through FASFA, selecting Nelnet, and then signed a MPN online. I just thought they were supposed to get that loan money to me some way.

 

School is required to return it if you are not eligible for the funds.

[majax79]

So the MPN I signed never guaranteed that I would get those loans?

 

I filed an appeal and considering that I have a 4.0 GPA, member of PTK, and in my last semester you think they would have allowed it. I'm sure people that were below 2.0 got their financial aid.

[Saria]

So the MPN I signed never guaranteed that I would get those loans?

 

Since you weren't actually eligible for the funds, no. Here's an excerpt from my MPN:

 

"I authorize my school to certify my eligibility for the loan.

I authorize my school to credit my loan proceeds to my student account at the school.

I authorize my school to pay to the U.S. Department of Education (ED) any refund that may be due up to the full amount of the loan.

I authorize ED to investigate my credit record and report information about my loan status to persons and organizations permitted by law to receive that information.

Unless I notify ED differently, I authorize ED to defer repayment of principal on my loan while I am enrolled at least half-time at an eligible school.

I authorize my school and ED to release information about my loan to the references on the loan and to members of my immediate family, unless I submit written directions other-

wise.

I authorize my schools, lenders, guarantors, ED, and their agents to release information about my loan to each other. "

 

I filed an appeal and considering that I have a 4.0 GPA, member of PTK, and in my last semester you think they would have allowed it. I'm sure people that were below 2.0 got their financial aid.

 

Good luck with that. An attitude like that will take you far. Something tells me the financial aid officers will be more concerned with federal regulations than your honor society membership.

[majax79]

My attitude? You don't wanna go there.

 

FIRST off, my point was that I have a perfect GPA and because I'm 5 credits over this last semester I don't get my federal money but people that are getting horrible grades are getting their appeal approved. That doesn't make sense in any way. So, basically I'm too educated for the federal goverment to continue to support my education.

 

You don't know my financial aid staff. The majority of them are a bunch of 17-19yo making 7.50/hr so I doubt they really care about my issue.

 

The system is F...ed up...period.

[yourguide]

Everyone take it down a notch please. We are all here to help each other.

[hurricanesfans27]

play nice people.

[LynnInMN]

It really doesnt matter how old the other students are and what they are getting. They are they ones who will have their loans cut off for not meeting satifsfactory academic progress....it does work both ways. What it comes down to it that for some reason it has taken you too long to complete your degree. The 150% rule was put into place the cut off people who screw around in school.

 

Talk to an FA officer ...you might be able to appeal if you have a reason why you have gone overe the limit. Double major would be one reason off the top of my head.

Edited March 29, 2008 by LynnInMN