(Closed) College won't accept student loan from the bank

posted 5 years ago in College
Post # 5
Member
148 posts
Blushing bee

@SouthernGirl:  I just wanted to clarify something for you. A subsidized loan doesn’t necessarily mean you pay it back immediately; it just accrues interest from the start. I had a couple unsubsidized student loans from college, and I still don’t have to pay them back yet. The fact that they gained interest while I was still in school kinda stinks, but it only amounted to a few hundred dollars.

That situation doesn’t sound very unfortunate though. I think it’s really lame of your school to be so unwilling to accept the loans. I mean, money is money, right? I hope you get it worked out!

And for what it’s worth, I had my student loans through Sallie Mae, and so far I have no complaints. They seem pretty happy to be taking any check I write to them.

Post # 6
Member
3969 posts
Honey bee
  • Wedding: September 2014

I realize you can’t just switch, but can I ask why you’re going to school where you can’t get federal loans? Private loans can have variable interest rates and really screw you over. Are there any other options for school?

Post # 8
Member
3969 posts
Honey bee
  • Wedding: September 2014

@SouthernGirl:  For some reasom I just assumed accreditated schools had to accept federal money. Have you verified anything with the student loan government site? Because it just sounds fishy to me (how the school is handling it).

Post # 10
Member
3969 posts
Honey bee
  • Wedding: September 2014

@SouthernGirl:  I would definitely try to get ahold of someone at the student loan gov site because I didn’t realize a school could deny a federal loan… Private loans are really really risky business! I hope you figure it out!

Post # 11
Member
329 posts
Helper bee
  • Wedding: June 2010

I would verify that this is an accredited school. I agree with others who say that sounds fishy. If it’s not, I’d transfer to a different (accredited) school immediately, even if it means taking classes online if you’re further away.

As another poster said, an unsubsidized loan shouldn’t mean you have to pay it back immediately. All it means is that you are accruing interest immediately, whereas with subsidized loans the accrual doesn’t start until you graduate. This should be a relatively small amount of money and I wouldn’t worry about the interest putting you into default.

If you are only approved by the school for unsubsidized loans it may have nothing to do with them. In undergrad, I was ONLY eligible for an unsubsidized loan because my parents made too much money according to FAFSA. Perhaps that’s your situation too? When I was in grad school I was on my own, so I was eligible to take out a subsidized loan.

Post # 12
Member
3683 posts
Sugar bee
  • Wedding: December 2011

@SouthernGirl:  I have a loan through Sallie Mae from when I was taking flying lessons.  They haven’t screwed me over.

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