Why are my disbursed loan funds smaller than the amount listed on my award letter?
Updated October 19, 2022
When your loans are originated, you are charged a loan origination fee. An origination fee is a percentage of your loan amount charged by the lender for the processing of your loan. Federal student loans have an origination fee; therefore, the amount you may receive as a disbursement may be slightly lower than the amount you accept.
Although some private loans do not have origination fees, federal loans generally have a lower interest rate and are less costly overall. These fees are deducted from your award amount and the rest is to you.
If you are receiving a student loan for only one term at PCC, your loan will be split into two disbursements. You will receive the first half on the normal . You will receive the second half of your student loan halfway through the term.