Student Loan or Pell Grant disbursement can be denied by the school. I have read a question many times that in what circumstances a school can denies for the disbursement of your student loan or Pell Grant? A student wrote his story as mentioned below.
I was awarded with a Pell Grant by the federal government financial aid providers. But my school has not utilized or disbursed my Pell Grant for this year to manage my school and educational expenses.After some times as my financial situation changed, my school performed a professional judgement thoroughly to adjust my EFC. It resulted in the increase of my Pell Grant Money.But finally my school didn’t disbursed my Pell grant amount for my educational expenses. When i asked to disburse my Pell Grant or student loan, they told me that they will release my Pell Grant fund after getting official orders from the Department of Education.
When i approached the Dept. of Education for get my Pell Grants released, they told me that the Pell Grant awarded money is released every year in the beginning of federal academic year, but it all up to your school management or administration whether they disburse your funds or not. After going there i also found another fact that there are some circumstances in which a school can refused to disburse the Student Loan or Pell Grant.
Pell Grant disbursement
Circumstances in which a Student Loan Disbursement is Denied
There are few circumstances in which a school can denied the disbursement of your student loan or Pell grant. But as your financial and educational situation is concerned, your school must provide you the Student Loan or Pell Grant money.
According to my personal point of view, your school has not received the Pell grant money on your account from the Department of Education or Federal Financial Aid Program. There must be no obligation to refuse your for the disbursement of student loan or Pell grant.
Whereas your question about EFC and increase in Pell Grant is concerned. If you have a billing statement or invoice that can show the estimated value or amount about your eligibility criteria from your changed EFC, then it will not be an actual disbursement. There is no reason for a school to hold your Pell Grant Money for a long time.
Your School must disburse your fund as early as possible or by the end of last payment period in this award year, if they have received the money and your academic and record is up to the satisfactory level. You are making progress in your education then there is no need to hold your Pell Grant fund or student loan money.
If Student Loan Disbursement or Pell Grant Disbursement is still an issue for you, you should continuously verify with the financial aid office for the release of payment regarding Pell grant. You should also keep in contact the Department of Education to know about your granted money through Pell Grants. When they will give your Pell grant money to your school, it seems that your school will disburse Student Loan or Pell Grant.