Misty Said:

On what grounds can you be denied a direct student loan?

We Answered:

OH so many...

1. defaulted previous student loans,
2. oweing on a federal Pell grant or other federal aid,
3. oweing a school on a previous ballance for fees tuition and such,
4. too many attempted college hours for your school,
5. not a us citizen or eligible non citizen,
6. bad college grades,
7. oweing fin aid for dropping classes you recieved finanicial aid for
8. have reached your lifetime maximum loan limits,
9. no HS diploma or GED and can't pass an Ability to Benefit test
10. not enrolled minimum # of college credit hours,
11. lied on your fafsa, ("false or misleading info" is how this is worded on the form)
12. unable to satisfactorily complete verification process,
13. college does not participate in federal loans,
14. the program you enrolled in is too short (CNA) or not a recognized program (baloon animal school) or does not lead to a certificate or degree (a single Excel class),
15. dependents (even those who are US Citizens) with 2 illegal parents also have a ton of trouble getting aid because their parents can't provide legal income from working,
16. may also be denied aid at the schools discretion for the inablity to fulfil the requirements of the program... For Example: you apply to school to get a degree as a part of a truck driver training course but are legally blind.
17. Failure of students or parents to file taxes ONLY when they are legally required to do so. (many folks don't make enough to file, and that's okay)

Contrary to popular belief, having a felony charge does NOT stop you from getting financial aid. (Yes, murderers and rapists can can get aid to go to college, but God forbit you default on a student loan).
Right now, the only thing related to convictions is if it is a DRUG related charge (felony or mistimenor) and it will ONLY effect you if you were in school and recieving fin aid at the time AND you don't complete an acceptable drug rehab program.

(This is not an all inclusive list, just so you know and the laws change a bit every year.)