Do need-based scholarships ever get taken away?

[Wizard528]

I was fortunate enough to get a large need-based scholarship at a school I would love to attend. This scholarship was over 10 times larger than the need-based scholarship I received from another school. I'm afraid of potentially losing the scholarship because I think I will actually be able to cover my entire cost of attendance and pay back the loan each year or at least get close

So my question is: do need-based scholarships ever get taken away if you are paying off your loans during school?

It appears as though the financial aid decision is made only once at the beginning and automatically renews each year, but I'm worried about using this to pick a school if there's a chance I could lose that money!

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[efle]

Well, need aid packages can change over time. It depends on the school in question. I know for example from two schools I've asked, that one place re-calculates need packages each time they are renewed and so my sibling ending college would mean less need aid in future years. The other school simply renews the packages with no re-calculation of need, they said they only re-calculate if the student asks them to because their need has increased (e.g. a sibling has entered college).

So if you school re-calculates yearly and whatever won you the giant need package might change/has changed, yes you are in danger of getting a lot less aid in future years.

 

[Wizard528]

Well, need aid packages can change over time. It depends on the school in question. I know for example from two schools I've asked, that one place re-calculates need packages each time they are renewed and so my sibling ending college would mean less need aid in future years. The other school simply renews the packages with no re-calculation of need, they said they only re-calculate if the student asks them to because their need has increased (e.g. a sibling has entered college).

So if you school re-calculates yearly and whatever won you the giant need package might change/has changed, yes you are in danger of getting a lot less aid in future years.

But so if it says automatic renewal, there'd be no reason to hold off on paying off loans as I can? Thanks for the help!

 

[efle]

If it is locked-in and will not be recalculated yearly, then yeah, you could win the lottery and pay off all your debt and still keep getting the same aid package.

That's even how I worded it when speaking to the financial aid office - "if my parents win the $100 million mega lotto, I really still get the exact same need package each year unless I request re-calculation?" They said that is correct. So just make sure of your school policy!