Declining Financial Aid?

[NYCdude]

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If I decline financial aid for a year, will I be eligible to apply for and receive it the following year?

I ask because on my online account, the school mentions that if I decline the award , then they won't be responsible for providing other aid. Is this only referring to this year or other years?

Thanks.

 

[hoihaie]

why decline?

ask your school

 

[NYCdude]

why decline?

ask your school

I've scrounged up enough money to pay for school for about a year or so. I figure the later i take loans, the less interest I'd have to pay back in the long run.

Also the school is closed.

 

[NickNaylor]

Typically these things are determined annually, so I imagine they are talking about this academic year specifically.

 

[hoihaie]

I've scrounged up enough money to pay for school for about a year or so. I figure the later i take loans, the less interest I'd have to pay back in the long run.

Also the school is closed.

are you taking federal loans? if you dont have to pay interest till you graduate, maybe take the loans now and use the money you scrapped up to do small investment then pay your loans back during the grace period without having to pay interest

 

[HCHopeful]

are you taking federal loans? if you dont have to pay interest till you graduate, maybe take the loans now and use the money you scrapped up to do small investment then pay your loans back during the grace period without having to pay interest

I thought all graduate school loans were unsubsidized?

Edit: Yep, they are. Which means OP will be paying 5.84% interest on loans taken out this year. Now, if OP can be guaranteed an investment return of 7% over the next 7-10 years, then that would be a good idea. The less risky option is to simply not take out loans and keep that 5.84% return (because that's exactly what it is).

As for OP's question, declining your aid for one year does not mean you can't take aid next year. It's what many people do. Good luck and good job saving to pay for school!

 

[NickNaylor]

are you taking federal loans? if you dont have to pay interest till you graduate, maybe take the loans now and use the money you scrapped up to do small investment then pay your loans back during the grace period without having to pay interest

As mentioned above, federal loans aren't subsidized and you'll pay interest on the loaned amounts.

 

[NYCdude]

Thanks for the replies, folks!

 

[MrSamrtGuy]

Typically these things are determined annually, so I imagine they are talking about this academic year specifically.

Yeah, you have to fill out a FAFSA annually to determine your eligibility each year. I don't see why you couldn't decline one year and fill one out the next year.

I would fill out the FAFSA anyway-it doesn't obligate you in any way to take loan money, and it's free, and if you decide second semester you need loans it's all squared away.

I don't know what "other aid" means-maybe you wouldn't be eligible for a grant or something from the school? But you can definitely get loans next year.

 

[sazerac]

If I decline financial aid for a year, will I be eligible to apply for and receive it the following year?

I ask because on my online account, the school mentions that if I decline the award , then they won't be responsible for providing other aid. Is this only referring to this year or other years?

Thanks.

It's only referring to this year. You can still get aid (federal loans) other years. I think what the sentence is trying to say is "if you turn down this year's federal loans, the school isn't responsible for finding you other sources of money this year. It's all up to you."

I filled out a FAFSA my MS-1 year, but turned down all federal aid/loans. (It's kind of exciting to click on that button!) I definitely had the opportunity to go through that same dance the other three years.