Using a stafford loan to buy a car, HELP?

D

Danny

New member
Hey my school is fully covered by financial aid. It’s about 10 grand and it’s totally covered by Pell and TAP, I NEED a car to get to and from school, I recently totaled my car. Public trans is not possible, I don’t even know how to ride a bike. The decision has already been made to buy a car.

My question is: Since my school is completely covered by Financial Aid can I still take out a Stafford loan? And use it to buy a car?

I am confused because I know that usually whatever is left over after a loan like that pays for your school is sent to you and you’re free to use it how you like. But what about if I don’t need any extra money?


Thanks in advance all
 
this is possible, though not officially. you need to find out from your school how they would handle excess funds for tuition and other stuff on your student account. some schools send any excess money back to the student, and some schools send it back to the lender or the dept. of education.

if they do send you any excess funding, then yes, you can apply for stafford loans and when it gets to you in a month or two, use it to buy a car or whatever. they want you to use extra money for "educational purposes" but they can't audit anyone.

make an informed decision. good luck.
 
Yes, student loans are meant to help students with more than tuition, it also helps with books, housing in case you live in an off-campus apartment, and TRANSPORTATION!!! The left over money from the loan will be sent to you as a check to spend however you like! I'm also going to get a $4,000 subsidized stafford loan to buy a used car with, because I have no transportation either! Good Luck with the car and with school!
 
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