Help, university demanding money because of their own mistake.

[darkswordsman17]

These kinds of situations could be completely avoided if people would just get a job and earn their own money instead of expecting freebies from the others in society who do.

Say what you will about student loans, but the Pell Grant is a great thing. I'm sure you can find economic studies showing that people who benefit from the education it allows them to receive more than make up for the expenditure, and thus a net gain.

The Federal Pell Grant Program provides need-based grants to low-income undergraduate and certain postbaccalaureate students to promote access to postsecondary education.

 

[bignateyk]

Hate to break it to you but real life isn't like monopoly. There is no "bank error in your favor". Time to pay up.

 

[OILFIELDTRASH]

If it is the government that wants the money back I'm pretty sure you'll not only be not attending school but will end up in jail eventually if you don't pay it back.

 

[Bryophyte]

So, what did he spend the twelve hundred bucks on?

 

[SearchMaster]

So, what did he spend the twelve hundred bucks on?

It doesn't matter. Can't anyone see that it was HIS money to spend as HE pleased???

 

[nerp]

These kinds of situations could be completely avoided if people would just get a job and earn their own money instead of expecting freebies from the others in society who do.

One dumbass does not invalidate the benefit of a college financial aid program.

 

[dullard]

It doesn't matter. Can't anyone see that it was HIS money to spend as HE pleased???

No, it is the federal governments money. Grants are money given with conditions. One condition is that "Pell Grants can be used for tuition, fees or other educational expenses." The money is NOT to be used as he pleased. They are to be used for education related expenses ONLY. To get such money, you sign legal contracts and now he wants out of the contract due to a mistake.

Pell grant overpayment website: "Pell Grant Overpayments are very serious and you will not be able to get any federal financial aid, including loans, at any other school in the country until it is paid back. Some might think they can just get a student loan and pay back the grant. This is not possible; you must pay back the Pell Grant before you will be allowed to get any financial aid.

The government can also offset the Pell Grant Overpayment with a federal tax refund. If you have been hit with a Pell overpayment and you are expecting a IRS refund, they will take your refund to pay for the grant first."

 

[nanette1985]

He's sure getting an education with this. Not all education happens in the classroom. Welcome to life.

 

[BoomerD]

Since it looks like no one has suggested this yet...

PAY BACK THE MONEY.

Sounds like "your relative" (or you) is a moron who doesn't have a clue about how life works...

Returning the money will put a real damper on his spending for the next semester. He doesn't want to return it, and I dont see why he should. If government makes a mistake and overpays you, they shouldn't demand it back later on.

Yeah, go with that argument...let us know how it works for ya...

 

[Evadman]

Welcome to life.

 

[AyashiKaibutsu]

It doesn't matter. Can't anyone see that it was HIS money to spend as HE pleased???

It's entirely possible that it would have all went to tuition; it's not like pell grants cover the full tuition and any extra paid would be in his pocket although the way this thread has gone it sounds like there was extra in his account.

 

[SunnyD]

Pell = Federal gov't. If he doesn't return it, not only will the school drop him, but he won't be eligible for future financial aid at all. Ever.

 

[ViviTheMage]

Obviously if it between being dropped from his classes and paying the money back, he will pay it back. Just thought maybe he could do something else.

yeah...no, that's not the case, at all.

OP, he shouldn't have spent it...get a loan to pay it back, or he won't be going to school next semester, and like SunnyD said, probably no more grants/loans.

 

[Suspicious-Teach8788]

If you accidentally overpay the Government in taxes, you shouldn't demand it back either. Right?

No because you know ObamaCare will run overbudget anyway

Ok but seriously, I would slow it down a notch. Consult a lawyer or get some real legal advice. I know from an ethics standpoint and everything you should pay it back, and if the school did indeed overpay you or whatever, you should return the money.

But at the same time you should capitalize on what you can to see what money you can get from this. They made a mistake but I'm sure your friend can be like "Dude wtf, you totally messed up my finances" and maybe get some leniency.

But my bet is you'll probably have to repay it.

Shrug.

The best you can do is what they do at my university. Protest. If that doesn't work, take over a school building while protesting. Or sit on a tree.

 

[CPA]

Returning the money will put a real damper on his spending for the next semester. He doesn't want to return it, and I dont see why he should. If government makes a mistake and overpays you, they shouldn't demand it back later on.

ahhh, youth.

 

[dfuze]

I doubt he'd have a chance convincing them he should keep the money.

Maybe if he talks to someone high up there he can get them to agree to a payment plan?