Infuriated and need feedback.

[Eirene]

hello everyone!

my college has set up a new "financial aid" policy within our college. the new policy applies out student loans/grants to the college bookstore. 15 days after the quarter begins, the "left-over" money is mailed to us. this makes it impossible for an average working family to purchase books elsewhere, let alone pay for basic necessities like daycare and gas to attend class and clinicals. is this a normal policy for financial aid at your colleges? i've called 4 different community colleges in my area and it is not their policy. i'm curious to know how it is in different areas.

if you have the time, please give me feedback on my letter of dispute that i mailed to the president and the pr director.

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[color=#993399]to whom it may concern,

i am making a formal complaint with the new financial aid procedures coming into effect for the 2007-2008 school year. i'm contacting you first before taking this to the federal student aid department.

i believe students need an explanation why this "new process" of financial aid disbursement isn't illegal. the website mis 500 project at mtcputting you online, not in line is a misleading document. this website/document (removed, if you'd like the link, please im me) [color=#993399]is intended to make us, as students believe that the fafsa law change mandates that there is a disbursement delay, but it does not.

for **** college to withhold the students' financial aid for two-weeks is illegal. *** will not be paying students interest that *** makes on that money while it is in the college account, nor will you reimburse us for the interest accrued on the loans to the students for those two weeks. the policy is clearly illegal.

most of the students at *** are non-traditional students. we have families. we work hard. by "establishing a credit" at the bookstore is forcing us to purchase books from the company with whom you have a contract with is unethical and perhaps even illegal. as a nursing student, i can buy my textbooks used, online for 60-75% cheaper than i can purchase them at your bookstore. unfortunately, myself, as well as other students, need our financial aid in order to purchase the books elsewhere. we cannot wait two weeks after the quarter begins to purchase them from another source. this leaves us no choice but to purchase them from your bookstore, in which you make a profit from. i enrolled at *** because of the remarkably high reputation of the nursing program. i have always felt empowered with knowledge that *** instructors have given me. it's unfortunate that i have to question ***'s business ethics regarding these procedures.

i need to know the process of how to get my financial aid refund at the right time, not fifteen days after the quarter begins. again, i would like to resolve this within the college before taking my complaint to the federal student aid department.

i look forward to your response. along with this email, i will be sending out a certified letter for your copy.

[color=#993399]~~~~~~~~~~~~

[color=#993399]thank you in advance to any suggestions or feedback, whether you agree or disagree with my stance.

[color=#993399]

[color=#993399]dani

[Natkat, BSN, MSN, RN]

HOW is it the school's business when/how I pay back my student loans?

I'm not exactly sure, but I think the feds DO look at the default rate of schools, and make decisions about how they set up financial aid programs based on their default rate. I don't know for sure what the repercussions are because I really wasn't paying attention when I went to the financial aid information session. I had to go to the session in order to get financial aid so basically just jumped through their hoop to get the money. Anyway, the talked about it in the seminar. Wish I had listened more closely.

[mysterious_one, ASN, RN]

I'm not exactly sure, but I think the feds DO look at the default rate of schools, and make decisions about how they set up financial aid programs based on their default rate. I don't know for sure what the repercussions are because I really wasn't paying attention when I went to the financial aid information session. I had to go to the session in order to get financial aid so basically just jumped through their hoop to get the money. Anyway, the talked about it in the seminar. Wish I had listened more closely.

Yes, this is the reason, why schools don't want to give you the money upfront: The default rate of so many people just not paying back their loans.

"I shallwearpurple", unfortunately, not all people care about paying back their loans, like you and me. I would never dream of not paying back money which was not mine from the start, but in todays world lots of people somehow forgotten that concept. And just as I stated in my first post the schools somehow get shortchanged by the the Government if their default rates on loans are high. I don't remember either what the details where, but I remember them talking about that at the mandatory loan seminar we all had to attend.

[IShallWearPurple]

I still bristle at the thought that the school is withholding money from individual students to protect the institution from high default rates. Perhaps I should inform the school that I will be paying my tuition and fees only after attending 4 weeks of classes "to be sure the school is following through on their stated obligations" to provide me with quality learning experiences and adequate resources.

Yeah, RIGHT!

[Eirene, ASN, RN]

i still bristle at the thought that the school is withholding money from individual students to protect the institution from high default rates. perhaps i should inform the school that i will be paying my tuition and fees only after attending 4 weeks of classes "to be sure the school is following through on their stated obligations" to provide me with quality learning experiences and adequate resources.

yeah, right!

that's awesome! you are definitely a cool kid.

seriously though. i still don't understand how they can withhold my unsubsidized student loans. i am paying the interest while i'm in school. that isn't free money, they are making money from the interest while it sits in their bank account and it ticks me off!

as for paying with books on cc-- i'm not a traditional student. i have a family, and cc's are reserved for emergencies. as the class president, i wrote the letter for myself, and for other students who didn't want to cause a stir. some of my classmates barely get by and don't have the "luxury" of cc's. imho, none of this would be an issue if we were given our money like it's been done for several years. i personally don't know of anyone in the nursing program who would take the cash and run with it, but i'm positive it happens.

edited to add:

i just received a response from the vice president from student services:

[qoute]

danielle,

i understand your concern over the changes that *** is implementing with the new management information system. colleges and students nationwide are experiencing frustrations with new systems and federal requirements for refunds/re-calculating, attendance, verification, documentation, etc.

the system for delayed refund of excess financial aid that the college has implemented, is one used by the majority of colleges across the country. we realized this change could be a problem for some students, so we communicated the new process as early as possible so that students could be better prepared.

you may still purchase your books online as usual. if you must use a debit card, rather than credit card, and need the funds to cover, *** is prepared to provide an emergency loan from the financial aid office for up to $150; there is a $15 service charge.

the federal mandate is that the fafsa must be processed online. other federal regulations have forced colleges like *** to change disbursement procedures in order to reduce the risk with federal funds and comply with laws. by reducing the financial risk, we create a more stable environment for our students. we do not request grants/loans until after the funds are applied toward tuition/disbursed to the student. in the past, the funds students received from grants were not collected from the federal government for 4-6 weeks after the start of the quarter...so in fact, the college loaned students the money.

i hope this answers your questions.

i still don't understand if "in the past, the college loaned students the money". if that were true, how come my student loan check came right from chase, with my name on the check?

ah well. i'm glad i only have 4 quarters left of this.

[Wubbies]

I know how you feel! At my CC we have to wait three and a half weeks after classes start to receive our financial aid. It's just one of those things...