Hello!
I was awarded with $2000 in outside scholarships. I went to the scholarship’s page and it says they will directly deposit the scholarship money to the college. The problem is that the college I will go to will take the scholarship money to replace the grant money I will receive from the college. I have a lot of college transitioning expenses and I want the scholarship money to pay for my laptop, plane ticket and other related expenses. Is there any way to take the money in cash?
I cannot see the benefit of the money replacing my grant money since grant money is not like student loans where I will pay back. Does it have an advantage for me to make the scholarship money replace my grant money? This is only for freshman year.
Nope.
I’m guessing that the grant money is need-based. I think you’ll agree that getting the outside scholarship means that you have less need; therefore, your need-based grant from the school can be reduced. Some schools in this case where an outside scholarship is received will reduce loans and work study before reducing grants, but if you have no loans or work study, the grant will be hit dollar-for-dollar. You should feel good knowing that the grant money the school is not giving to you because of your outside scholarship can be awarded to another student who might otherwise find the school unaffordable.
You are responsible for reporting all outside scholarships to the school. Your school will reduce your self help aid first (loans and work study). After that they will reduce their institutional aid.No problem with that. Where do you think the institutional money comes from? The generosity of other people, who give to the school. You have received funding, so they reduce their funding because your need has now decreased. You can ask the school if your scholarship can be used for the one time purchase of a laptop and perhaps a book voucher).
It is not unusual for the scholarship grantor to pay the scholarship directly to the school to make sure that the monies is being used as the grantor intended . It is not the intention of the scholarship grantor to pay for your plane ticket and other related expenses. These would not be qualified educational expenses.
You are suppose to get a job (summer earnings are probably also part of your financial aid package. It is your summer earnings that you should be using to help pay for your plane ticket and other expenses.
I am not qualified for work-study programs. The school made it clear that outside scholarships will not cover my student loans.
Ask the college if your COA for this year can be increased to include the cost of a laptop and perhaps some books or other materials required for your major, and if the scholarship can be applied toward those expenses.
It is absolutely standard practice for outside grants and scholarships to reduce the amount of demonstrated need. Schools usually have an “order” in which they reduce aid. Work study, subsidized loans, then grants is not unusual. In brief, the outside scholarship doesn’t reduce your EFC, just your “need” to close the gap between EFC and COA.
Even if you didn’t get awarded work study, you can get another campus job, to help pay your expenses. And a summer job to help pay for travel and books.
@BelknapPoint , Thank you so much, dear! Your comment inspired me to give away the scholarship to another student. I highly appreciate your thoughtfulness. I know I did the right thing. Maybe some kid is ecstatic because she/he got this money to pay for college. God bless you.