You might ask how long does it take to get a student loan if you’re seeking financial aid to help pay for your school.
The entire procedure, including loan application, approval, and distribution, differs depending on whether you obtain a federal or private student loan.
However, understanding the approximate period will help you determine when to apply for student loans.
How Long Does It Take to Get Federal Student Loans?
If you want federal student loans, you must complete the Free Application for Federal Student Aid (FAFSA) (FAFSA).
Once your application has been submitted, it may take between three and five days to process.
The Student Aid Report (SAR) is delivered to the institutions mentioned on your FAFSA once your application has been processed.
In general, you should receive a financial aid award letter from your school within three weeks of submitting your FAFSA.
Keep in mind that each institution has a different procedure for this. After three weeks, it is advisable to contact the financial aid office if you have not heard from your school.
Typically, federal student loans are disbursed at the beginning of each term.
If there is a balance leftover after paying for your tuition, fees, and student housing, the majority of universities will repay you within a few weeks after receiving your loan payments.
Consider that some schools include a 30-day wait to this as an additional safeguard for first-time borrowers.
How Long Does It Take to Get Private Student Loans?
Private student loan providers have their own criteria for loan approval. The majority want the application and distribution processes to be as short and straightforward as feasible.
In many instances, private student loans offer speedier access to funds than federal loans.
It is advisable to compare as many private student loan lenders as possible in order to find the best loan.
This is made simple by Credible; in two minutes, you can compare the rates of our partner lenders in the table below.
After submitting your application, you may be approved for a private student loan within minutes.
However, if your application requires additional examination, it could take up to two weeks before the lender notifies you of your approval (or if there are other conditions you need to meet first).
Before disbursement, the majority of private student loans must be confirmed by your institution.
This may add a few more weeks to the process. As soon as the loan is approved, the lender will send funds to the institution.
This could take between two weeks and two months. Expect to wait a further week or two before receiving any remaining funds for rent, books, or other living expenses.
How do I Determine the Status of My Student Loan?
When you apply for a student loan, you may wish to monitor your application’s progress.
Here’s how to check the status of your student loan:
Federal student loans: To check the progress of your FAFSA application, log in to your FAFSA account and visit the “My FAFSA” page.
If your federal loans have been approved, contact your loan servicer to determine the status of disbursement.
You can always phone or email your financial aid office for up-to-date information if you need assistance or have questions.
Private student loans: To check the status of a private student loan, contact the lender.
When applying for private student loans, it is advisable to evaluate as many lenders as possible in order to locate the best loan.
With Credible, you can effortlessly compare rates from a variety of lenders in as little as three minutes, without damaging your credit score.
Final Thoughts on How Long Does It Take to Get a Student Loan
There are generally no restrictions on how student loan funds may be used, as long as they are utilized for educational and living expenses.
However, remember that you must pay it back, so only borrow what you truly need.
If you end up not requiring a portion of your student loans, you can always pay the excess amount back immediately rather than later.
How long does it take to get a student loan?
If you submitted your Free Application for Federal Student Aid (FAFSA) online using FAFSA on the Web, then the U.S. Department of Education will process your application within 3-5 days. If you submitted a paper FAFSA, your application will be processed within 7-10 days.
Is it hard to get student loans?
Getting a student loan is a fairly straightforward process. You’ll apply for the loan through a federal or private lender, then wait for the funds to be disbursed to your school.
How much student loan can I get?
Undergraduates can borrow up to $12,500 annually and $57,500 total in federal student loans. Graduate students can borrow up to $20,500 annually and $138,500 total. But just because you can borrow that much doesn’t mean you should.
Why does financial aid take so long?
Financial aid disbursement can be delayed for a number of reasons. “One of the most common reasons financial aid might be delayed occurs when a family is missing documentation or additional information to confirm aid eligibility,” Ruiz says.
How will I know if my FAFSA was approved?
To check the status of your Free Application for Federal Student Aid (FAFSA®) form, do the following: Log in to fafsa.gov. Your FAFSA status can be found on the “My FAFSA” page, which displays immediately after you log in if you’ve already started or completed a FAFSA form.
Does FAFSA give you money?
Generally, your school will give you your grant or loan money in at least two payments called disbursements. In most cases, your school must give you your grant or loan money at least once per term (semester, trimester, or quarter).
How much money does FAFSA give per semester?
Students can receive between $650 and $6,495 each year. The amount awarded is usually split 50/50 between the fall and winter semesters. However, in some cases, you can also receive 50% of the total grant amount for summer classes.
Does FAFSA money go to your bank account?
Federal Grants and Loans Federal loans and grants, as well as state loans and grants, will be applied first to your student bill to cover tuition and other school costs. Then any leftover will be deposited to your bank account.
What happens if you don’t use your FAFSA money?
Your school will still send you a refund check in this case, but keep in mind that the money you receive is still borrowed money. You will accrue interest on it, and you will have to repay that principal amount. While scholarship and grant money are “free money,” student loans are not.
Can I be denied a student loan?
It is possible to be denied student loans, though the potential reasons depend on whether you’re applying for federal or private loans.
If your application for Student Finance is refused, it is advisable to contact a Welfare Adviser in the Advice and Counselling Service who can advise you about your appeal rights and can help you make your appeal, where appropriate.
Why am I not getting approved for student loans?
Lenders may look at your employment history, credit score, debt-to-income ratio, and enrollment status at your school. One of the most common reasons why a student might not qualify for a private student loan is because they don’t meet their lender’s FICO® Credit Score criteria.
How much is student loan monthly?
The average monthly student loan payment is an estimated $460 based on previously recorded average payments and median average salaries among college graduates. The average borrower takes 20 years to repay their student loan debt.
How often are student loans paid?
Student loans are paid in three instalments, but the exact day you’ll receive yours depends on your term start date. If your course started in September, you should’ve received your payments in September, January and April.
Is it a good idea to take out an education loan?
In either case, an education loan is a good idea and a commonly sought-after resort. Pursuing higher studies usually involves high fees and an education loan comes in handy at this point. Banks provide education loans for graduation/PG, diploma or professional courses, at attractive interest rates.
How long does it take FAFSA to send money to my school?
Three to five days if you completed your forms online and provided an email address. Seven to 10 days if you submitted your forms online but didn’t provide an email address. Three weeks if you file a paper FAFSA.
Do you have to pay back FAFSA?
The FAFSA is the Free Application for Federal Student Aid. This free application form is used to apply for federal student aid, as well as financial aid from state governments and most colleges and universities. FAFSA is not the financial aid itself, so you do not have to pay it back.
