Can I ask my school to give me more subsidized loans?

I know that in July, the subsidized loans for graduate students will end. The school has offered me a small amount of subsidized loans for the summer, which isn't even enough to cover tuition, but I am no where near the yearly limit for 2011-2012. Am I stuck with that amount they gave or are their procedures for getting more subsidized loans in a semester?

 

The answer is NO. The school does not pay interest for you while you're in school. The government, or more specifically the American taxpayers pay your interest while you're in school. But the Government has changed that rule; all graduate and professional are no longer receiving subsidized loan.

 

The amount of student loans cannot exceed the cost of attendance (set by the school). However, the government does allow schools to exceed this cap under extenuating circumstances. You need to contact your school's Financial aid office and ask them to increase your loan award to the actual cost of attendance. Not all schools do that by default. If you are already at that cap, you need to ask what their appeal procedures are.

BTW, I'm under the impression that an appeal can only increase the amount of unsubsidized loans; but I could be wrong on that point.

 

When did this happen?

 

I didnt hear about this. WOW. Oh, and I dont know if its different for graduate school, but I know that for undergrad you can request your entire loans instead of just the amount that will cover the classes. You have to specifically request it. For example, if you are eligible for $15,000 in loans, and your classes are only going to cost $11,000 then you can ask the college to request the entire amount be disbursed. Once the aid is disbursed, the tuition is paid first, along with any fees. Whatever is left is then sent to you in a refund check, or stipend. You can use it for books or whatever. BUT, in doing that you increase the amount you will owe in loans. I know many people who always requested the full amount, then were shocked when they saw how high their pay off was.

 

Ted,

It will start on July 1, 2012....

Reference Article: Grad Students to Lose Federal Loan Subsidy - US News and World Report

More specific information, FAFSA website. Also my best friend is working at the Department of Education's financial aid for American students study oversea.