Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
Hello. I am currently a Jr. in college. I have many start and goes and was part time for a good deal while working part time. I am about to wrap up my fall semester at a new college (I got my A.A. at a community college and then transferred to a 2 yr college). I was all set to sign up for Spring semester when I got an email stating I'm on faincial hold and have $8000 to pay. Well, I called them and said that I thought all my loans were deffered until after graduation and she said I must be confused because they are tution and other fees. They are still processing my stuff but it seems like all my options need cosigners and my parents refuse to do it.
I filled out a Chase application but other then that I am not sure what to do. I really want to just finish up and thought it was simple as start paying 6 months after you graduate and just go go go in college but I always seem to have them say "oh wait, you owe this" when everyone else is already signed up for classes. I filled out FASFA and Stafford Loan.
Any suggestions. I would like to stay in college and get it done but I am not sure thats an option.
Your post seems a little garbled to me but I do see some misunderstandings on your part.
--Student loan repayment does not begin after you graduate. Directly from the Department of Education website: After borrowers graduate, leave school, or drop below half-time enrollment, loans that were made for that period of study have several months before payments are due. This period is called the "grace period".
--Financial Hold occurs when you do not meet minimum academic performance criteria for your school. Usually the criteria is that you maintain a certain GPA, complete the majority of the classes in which you enroll, and show progress toward degree completion.
--Not all student loans are deferred until graduation. PLUS loan repayments begin immediately. Unsubsidized loans begin accumulating interest immediately, although repayment is deferred. Unsubsidized loans are common for students whose parents decline to offer financial support.
Putting these together, it sounds like you have been placed on 'financial hold' because you have been taking so few classes that you aren't demonstrating sufficient progress toward a degree. And that recently your enrollment has dropped low enough for more than six months, which is resulting in repayment of the student loans you have accumulated so far. This is my guess from what you have written, although there could be other explanations.
What to do at this point?
I would start by confirming that the school has proper contact information for you and look at any unread mail.
Next, confirm what the reason for the academic hold is and what it will take to get you off it. Schools have different criteria. Again, this is my guess, but I suspect they will tell you that you need to be enrolled at part-time or above status, you need to not drop any classes at any time during the semester, and you need to maintain a minimum of 2.0GPA.
Then, find out if there is any appeal. If you have missed or ignored any previous notifications about your situation, you may have also missed your appeal window. But it is worth asking. If you appeal, you need to demonstrate that there were extenuating circumstances that led to your poor academic performance, and that you have or will be able to rectify whatever those circumstances are.
If you are unable to appeal or lose the appeal, you will need to enroll for a semester at your own expense. You may be able to look at other schools in your area and see if they have less stringent criteria for enrollment. You may be able to transfer.
A financial hold means that you must meet a financial obligation in order to register. It has nothing to do with academics.
If you properly applied for and received your loan, you should have documentation from the bank that originated the loan as well as documentation from Sallie Mae regarding your loan. These documents would have been mailed to you in clearly marked envelopes. If the documents did arrive, then everything is fine; you simply need to check with your school and your bank to see why the funds were not transferred and credited against your tuition.
If you do not have documents from a bank and from Sallie Mae, you most likely do not have a student loan. You may not have completed all of the necessary steps to get your loan.
As a first step, gather all of the paperwork you have for your loan. You should have:
1) A completed FAFSA
2) A master promisory note
3) A loan application
4) A completed financial aid counseling session (may be done online)
If you do not have all of these documents or do not know what they are, that would explain why your loan has not come through. Whatever you have, get it together and take it to the financial aid office at your school. They will tell you what steps you must complete in order to get a student loan. It sounds like you need a person-to-person meeting to get this all sorted out.
Your post seems a little garbled to me but I do see some misunderstandings on your part.
--Financial Hold occurs when you do not meet minimum academic performance criteria for your school. Usually the criteria is that you maintain a certain GPA, complete the majority of the classes in which you enroll, and show progress toward degree completion.
Putting these together, it sounds like you have been placed on 'financial hold' because you have been taking so few classes that you aren't demonstrating sufficient progress toward a degree. And that recently your enrollment has dropped low enough for more than six months, which is resulting in repayment of the student loans you have accumulated so far. This is my guess from what you have written, although there could be other explanations.
What to do at this point?
I would start by confirming that the school has proper contact information for you and look at any unread mail.
Next, confirm what the reason for the academic hold is and what it will take to get you off it. Schools have different criteria. Again, this is my guess, but I suspect they will tell you that you need to be enrolled at part-time or above status, you need to not drop any classes at any time during the semester, and you need to maintain a minimum of 2.0GPA.
Then, find out if there is any appeal. If you have missed or ignored any previous notifications about your situation, you may have also missed your appeal window. But it is worth asking. If you appeal, you need to demonstrate that there were extenuating circumstances that led to your poor academic performance, and that you have or will be able to rectify whatever those circumstances are.
If you are unable to appeal or lose the appeal, you will need to enroll for a semester at your own expense. You may be able to look at other schools in your area and see if they have less stringent criteria for enrollment. You may be able to transfer.
unfortunately, a lot of this information is incorrect. a financial hold has nothing to do w/ GPA or academics. I think you're thinking of academic probation. a financial hold is placed when a certain chunk of the tuition hasn't been paid off (I know w/ my school, they will allow a certain amount to be carried over into the spring w/o a hold being placed, but it's a low amount, like under $1k or even under $500). w/ a financial hold, the OP may not be able to sign up for classes in the spring. and it's especially unlikely he'll be able to transfer his grades and go to another school; schools typically don't release transcripts if there's a balance left over
OP, it sounds like you got very confused on the financing of college, at your own peril. you must secure 100% of the funds either before or during the semester, either through scholarships, grants, or loans. it sounds like you got confused about the policies regarding the repayment of loans, which is completely different. basically, if you don't pay off your $8k debt, the college won't let you take classes next semester and it's likely you won't be able to transfer the credits or even go to another college until the debt is paid. you'll need ot take steps in securing funding ASAP. private loans may be your only option if you've already filled out the FAFSA and gotten your maximum gov't aid. sadly, these loans have become increasingly hard to come by and usually require a co-signer or excellent credit. you should go visit your school's financial aid office to see what help they could offer. you may need to take a semester off to pay off this debt
It isn't incorrect. I am not confusing academic probation with financial hold.
The Department of Education requires that all schools participating in federal student loan programs have a "Satisfactory Academic Progress" (SAP) policy. This requires that all students receiving financial aid meet certain academic performance criteria to be eligible for financial aid.
Google "Satisfactory Academic Progress" and the results will be the policies from schools all over the country:
Montgomery College SAP (http://www.montgomerycollege.edu/finaid/sap.html - broken link)
I don't think I need to continue with every school in the country to prove the point. All schools have basically the same criteria for a student to be eligible for financial aid: You must meet the minimum GPA. You must complete the majority of the classes you enroll in. You must be progressing toward your degree at a reasonable pace. When you don't meet these criteria, it is called a 'Financial Hold.'
Although Evee does bring up an interesting point--if you take at least one semester off, you are usually considered a 'non-traditional student' upon re-enrollment. Non-traditional students are pretty much always exempt from reporting parents' income. Which might at least make future applications for financial aid easier, even if it doesn't resolve your current financial debts.
well, I guess we'll agree to disagree though in my school and another I've been in, being in a financial hold had nothing to do w/ academic or GPA (I was in one myself that prevented me from registering for the next semester despite having a GPA of over 3.5). everything from your first post describes academic probation as opposed to a financial hold. in the OP's case, it sounds like a typical hold where he's being prevented from registering for the next semester due to a large tuition balance vs an issue w/ grades or GPA (granted, OP has said nothing of his grades)
as for "non traditional students", that typically has little to do w/ how long you've been out of school and more to do w/ the student's age. the OP, for all we know, could be 18. taking a semester off at 18 doesn't typically make him a non traditional student. and it takes a LOT more than just taking a semester off to be declared an independent student and not have to report your parents' income. there are very strict guidelines for people under 24 in order to be declared independent and simply taking a semester off doesn't cut it. non traditional students are sometimes exempt from reporting parents' income mainly because non traditional typically are students over 24 years old, which is the age you no longer need to report that income anyways
ETA: as a side note, I've looked at 3 of your links and all they talk about is SAP- Satisfactory Academic Progress, which is NOT the same as a financial hold in most schools. talking about apples and oranges here. one involves your GPA and grades and the other involves unpaid tuition. you seem to be a bit confused here also. take your own advice and google "financial hold" (the OP said nothing about a SAP, by the way. again, you seem pretty confused here)
"Financial Hold
Students who owe the University money after the semester in which it is due run the risk of being put on Financial Hold. This means that the University will not permit a student to register for a course. Late fees are assessed on all outstanding debts to the University. It is possible to negotiate a payment plan with Student Financial Services, so students should always explore this action rather than letting a debt accumulate fees and prevent continuation in the Program."
Tuition and fees are due by the Due Date as indicated on every bill, unless other arrangements have been made or student is enrolled in a College payment plan. If financial responsibilities have not been met, a student may be placed on Hold status and potentially removed from classes and College residence. A Hold status bars the student from re-enrolling, re-registering and receiving transcripts or diplomas.
A finance charge of 1% per month will be assessed on any past due amounts."
http://www1.wnec.edu/sas/index.cfm?selection=doc.3720 (broken link)
"If a student has not made payment to a University Department on a timely basis for services received or other transactions, Financial Holds will be placed on student records and transcripts. The Financial Hold will block registrations and transcripts until the delinquent financial obligation is cleared. For example, the Parking Department will place holds on students accounts for unpaid parking tickets and the Library will place Financial Holds to require return of past due library books. " https://finservices.rutgers.edu/finhold/
"A financial hold prevents the student from receiving any services from the University until the balance is paid in full. These services include, but are not limited to, registration for courses, copies of transcripts or diplomas, and utilization of University housing and meals. To resolve or inquire about a financial hold, contact Student Accounts."
http://web.pacific.edu/x9142.xml (broken link)
and so on and so on
Last edited by eevee; 11-30-2009 at 09:26 PM..
Reason: added links
The very first sentence on the University of Minnesota link: Satisfactory academic progress (SAP) is used to define successful completion of coursework to maintain eligibility for student financial aid.
The very first sentence on the University of Florida link: University of Florida students receiving financial aid are required to be in good standing and maintain satisfactory academic progress. To be eligible to receive financial aid, students must comply with the following conditions.
The very first sentence of the University of Wisconsin link: Students are required to comply with UW-Whitewater's Satisfactory Academic Progress Policy in order to maintain their eligibility to be considered for financial aid.
As said twice previously: Satisfactory Academic Progress includes enrollment at a sufficient pace that the school has reason to believe the student will complete their degree in a reasonable amount of time.
If you go on to read those links, actually read them, not just click on them and read the big bold letters, every single one of them has a requirement for 'maximum time frame.' Satisfactory Academic Progress is more than just GPA. This is because the Department of Education requires this in the SAP.
It means you can't be a career student. You can't change majors all the time. You can't enroll in only one class per semester with the intent of finishing your degree in a decade or two. A student usually has 150% of the expected time frame to complete their degree. I.e., 6 years to complete a four-year degree. If you fall below that pace, you can still be enrolled, but you aren't eligible for financial aid.
Because the OP has indicated that they've had a few 'stops and starts' and have often been enrolled at part-time, it is a logical conclusion that they have not been progressing toward completion of a degree fast enough to qualify for financial aid. It could be one of the other reasons--GPA or number of classes dropped, but the explanation provided so far suggests that the reason is the maximum time frame rule.
It could of course be a simple paperwork error as others have mentioned. And as I said, one of the first things OP should do is get a better explanation from the school about what they need to remove the financial hold--whether that is academic progress or paperwork. But there is nothing in the explanation provided in the OP to suggest that the problem is paperwork.
sigh, you still seem confused about financial holds vs. SAP. this has nothing to do w University of Michigan or Wis. or whatever. and again, it has nothing to do w/ SAP or academic progress or GPAs. as far as the OP's situation is concerned, given what he has posted, this is a simple financial hold due to a tuition balance, nothing more, nothing less. if the OP's GPA or grades was the issue, I'm sure the adviser would have stated this and hopefully, he would have relayed this info. you're making the wrong assumption his grades are the issue when it seems like a simple non payment of tuition. and considering the OP has gotten some questionable info in the past, it would be great if you didn't give him more misleading info. you've already given him bad info regarding how to declare himself and independent so he won't have to report his parents' income. not sure why you think this is about SAP since the original post makes no mention of this but does make mention of an unpaid balance of $8k and a financial hold being placed. again, apple and oranges here. google "what is a financial hold" and stop talking about SAP here since, AFAIK, this is not the situation here, as evidenced by the OP
OP, ignore all of us and go to your financial aid office ASAP. they are the ones that can answer any questions you may have and get you any help if you need it. ask about emergency grants/loans and see if your school offers them (my school, thankfully, did)
im confused so you went jr college got an AA. so far so good but now are going to attend another 2 year school? see your OP.
in words let me cut to the chase-- stay out of debt. get some VE forget credentials. my favorite jr college VE is RN.
LVN 42 units crossover program is 30 units to RN. its not about prestige and credentials, its about the money show me the money.
most say they want a profession but what they need is a trade.
Last edited by Huckleberry3911948; 11-30-2009 at 11:14 PM..
To me, it sounds like some of your loans were denied leaving you with an outstanding balance owed. The likely reason for them being denied is that you either have a poor credit history or no credit history. It's likely the latter. They used to accept no history as good credit, but with the credit crunch, they've tightened up on the standards and now require a co-signer for private loans. What that does is make the co-signer responsible if you don't pay the loans back and the likely reason your parents won't sign.
Your only option is to get them to sign or some other relative who is willing to sign. To be fair, let them know what co-signing means.
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.
Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
