How fast does financial aid come in

Each state also has specific deadlines. Consider that free financial aid, like the Pell Grant or need-based scholarships, have finite amounts of award money available. Filling out the FAFSA as soon as possible means you have information on all these types of financial aid, so you can apply immediately. When money is awarded on a first-come, first-served basis, you should apply well before the final deadline. While you may be concerned about how fast your financial information will be processed, rest assured that the DOE will process your FAFSA as soon as possible.

When you submit this document online, your information will be processed within three to five days. You can log on to your FAFSA account to see what federal money you are eligible for after a week, so you can begin making financial plans for school.

This will include calculations about your expected family contribution EFC , which is how much you and your family can directly contribute to the annual cost of your education. This results in a specific numerical value that is used to determine what need-based and non-need-based financial aid you qualify for. The numerical value on your SAR that determines your financial need can fluctuate, depending on the cost of the school you want to attend.

For example, you may not qualify for need-based financial assistance when you attend an in-state college, but you may qualify for this kind of help if you attend a private college in another state. Financial aid awarded through the DOE may include the following :.

Using the online system is the fastest method to update or correct information. While there are multiple forms of financial aid available to many students, like state grants or institutional merit-based scholarships, the federal government awards the most money to students in need. You will get information on these programs through your SAR first, so you can start planning where you can attend college.

It is important to know that, even if you list a college on your FAFSA, the college will not automatically grant you additional financial assistance. The schools you indicated you're considering attending will also receive an Institutional Student Information Record. They will use it to prepare your financial aid package. If you are admitted to a school that you applied to, the school will review your FAFSA information and prepare a financial aid package.

This will detail the loans, grants, scholarships, work study funds, and other sources of aid you are able to receive. The length of time it takes schools to prepare these forms can vary by program. In general, you will usually receive a financial aid award letter along with your admission letter or shortly after you have been notified that a school has accepted you. After you receive your financial aid package, you'll need to let your school know which sources of aid you plan to accept.

Grant, scholarship, and loan money will first be applied to cover the cost of tuition and school fees, and any excess will be returned to you to cover your living expenses. Schools generally give you your grant or loan money in at least two payments. These are called disbursements and they usually happen once per term, such as at the start of the semester or the start of the quarter.

First-year undergraduates and first-year borrowers may be subject to an additional delay, as they may be required to wait 30 days after the first day of enrollment in order to receive student loan money. However, not all schools apply this rule. All first-time borrowers do have to complete Entrance Counseling before their school is allowed to distribute their loan funds.

Graduate and professional students who are taking out PLUS loans for the first time must also complete Entrance Counseling. Students who have been awarded work study funds, payments will be made as work is performed, but must be made at least once per month. The length of time it takes to receive your financial aid money depends on when and how soon you apply; how you submit your FAFSA; how quickly your school acts; and the type of aid you've accepted.

In general, though, you should have the funds you need right around the time each semester, trimester, or quarter begins. In some cases, the FAFSA will not provide enough money for you to live on and to cover all of your educational costs. If that's the case, you can consider additional options such as private student loans. Often, you can be approved quickly for private loans and can get funds above-and-beyond what your school or the Department of Education is willing to provide.

Unlike federal loans, though, private loans don't just come at one standard rate. Rates and terms can vary dramatically from one lender to another and based on your financial credentials. If you are interested in private student loans, Juno can help you get the best possible rates by grouping you with other students and negotiating with lenders on your behalf. Join Juno today to find out more about your options for affordable private student loans to help fund your degree.

Although we receive compensation from our partner lenders, whom we will always identify, all opinions are our own. Credible Operations, Inc. NMLS , is referred to here as "Credible. The entire process — loan application, approval, and disbursement — depends on whether you get a federal student loan or private student loan. But knowing the rough timeline to expect will help you figure out when to apply for your student loans.

From start to finish, it can take anywhere from a few weeks to a few months to get federal student loans and then to receive any extra money as a check or direct deposit from your school. Federal student loans are typically disbursed at the start of each term.

If there are funds left over after paying for your tuition, fees, and student housing, most colleges will refund the remaining balance to you within a couple of weeks of receiving your loan funds. Keep in mind that some schools add a day delay to this as an added protection for first-time borrowers. From the time you submit your application until you receive funds, plan on around three weeks to get a private student loan in the best-case scenario — or up to two to three months in case of delays.

Private student loan lenders have their own rules for approving loan applications. Most of them want the application and disbursement process to be as quick and easy as possible. In many cases, you can get funds faster from private student loans than federal loans.