Hello! I’m a first generation college student so my parents and I are new to everything college.
Is it possible to get a loan to cover housing only? I have parent who will pay my tuition but say I’m on my own for housing. By the time I graduat, I will have roughly 11,000 saved up for housing but I’m not sure it will entirely cover. I’d use my loan to pay for housing then make an 11,000 payment.
Posted by No_Craft_2193
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Do you have other loans for school? If not part of getting financial aid like loans is to cover housing. Also how much do you need? There are loan limits.
All student loans in the US are disbursed to the school. The school takes what it needs to cover outstanding tuition, fees, on-campus housing, meal plan, and other expenses you owe to the school. Then whatever remains is refunded to the student to pay for other authorized educational expenses, like books, off-campus room and board, etc.
So if your parent pays off your tuition balance, any aid money that arrives after that will be applied to whatever else you owe to the school, with any remainder refunded to you to pay for your other [costs of attendance](https://www.reddit.com/r/StudentLoans/comments/1smb10i/supplemental_student_loan_outside_of_coa/ogd6xv0/).
As a dependent undergraduate, [your federal loans are limited to $5,500](https://studentaid.gov/understand-aid/types/loans/subsidized-unsubsidized#how-much) for the first year. If you need more, consider asking your parent to take out a [Parent PLUS federal loan](https://studentaid.gov/understand-aid/types/loans/plus/parent) before looking at private options.