Disbursement of Aid
How you will receive your aid funds
Financial aid awarded prior to a semester's initial (registration) billing reduces the amount due on the bill and is applied as listed below for each aid type. Financial aid awarded after the initial billing is first applied to your MSU student receivables account, then to your short term loan account.
- Grants and Scholarships appear as a credit on your registration bill.
- National Merit Scholarship appears as a temporary credit on your registration bill until we receive actual funds from National Merit at the beginning of the semester.
- Federal Stafford Subsidized or Unsubsidized Loan, Perkins Loan, Loan for Disadvantaged Students, and Health Professions/Primary Care Loan appear as a temporary credit on your registration bill provided the loan has been accepted.
- If you are a new borrower at MSU, you will need to complete an on-line promissory note for your Stafford and Perkins loans. Complete the document as directed by your lender. Once you have completed your MPN and the scheduled disbursement date has arrived, the funds are applied to your MSU student account.
- Federal Parent PLUS Loan appears as temporary credit on your registration bill if your parent has completed the Loan Application Form and a Master Promissory Note, and has been approved as creditworthy. Once the scheduled disbursement date has arrived, the funds are applied to your MSU student account.
- Alternative loans are not typically applied to the registration billing. If funds are released to the Office of Financial Aid (OFA) instead of to you, we will notify you of the necessary steps to have the loan disbursed. If funds are received prior to the semester's registration billing, they will appear as a credit on your registration bill, if you've completed the required steps.
Temporary financial aid
Anticipated financial aid (also referred to as "pending aid") is applied on your bill as a temporary credit. Examples of temporary financial aid are when
- You’re ffered a loan, but haven’t completed the MPN yet
- You receive a scholarship or loan check, but have yet to endorse it
Temporary financial aid expires approximately five weeks after the beginning of the semester. It is very important that you take any necessary action before the expiration of the temporary credit. Your billing statement will provide additional information regarding temporary transactions.
Refunds of excess financial aid
When your disbursed financial aid and other payments (not including temporary aid) exceed your MSU charges, you are entitled to a refund of the excess amount.
Changes in enrollment
You may be billed for a portion or all of your financial aid if you drop credit hours or are not at the minimum credit level required for aid eligibility (see the Aid Program Chart). If you'll be attending as a part-time student or if you're considering dropping a class, it is important to discuss it with an OFA staff member first.
Adjustments to aid
If changes must be made to your financial aid package, it is sometimes necessary to bill you back for aid already disbursed.
All financial aid and educational resources must fit within your budget. If we become aware of additional financial aid or other resources, this overaward must be eliminated by reducing or cancelling other aid.
Cancellation of loans
You have the right to cancel all or a portion of your PLUS, Stafford or Perkins loans, even after the loan funds have been disbursed to you. If you wish to cancel an already disbursed loan, you must notify OFA within 14 calendar days of the billing statement notifying you that the funds have been applied to your account.
The parent borrower has the right to cancel all or a portion of the PLUS, even after the loan funds have been disbursed to your MSU student account. If the parent wishes to cancel an already disbursed PLUS, the borrower must notify OFA within 14 calendar days of the billing statement notifying you that the funds have been applied to your student account.
Withdrawal from MSU
You may be billed for a portion or all of your financial aid if you withdraw from the university. The bill calculated as a result of withdrawal will depend on the effective date of withdrawal, the percentage and amount of institutional refund, and/or the last date of class attendance. See Financial Aid (Title IV) Refund Policy for more information about the effects of withdrawing from MSU.
