Disbursing Financial Aid – How Do Students Get Their $$? Spring 2022 Update

We joke that it happens auto-magically, but that’s not totally untrue.  We’ll describe it in two ways. First – what do students need to know? Financial aid disburses about a week before classes begin each semester.  Students will start to see their spring semester financial aid apply to their student account (tuition, fees, on-campus housing and meal plans) the morning of Wednesday, January 19, 2022.  The Bursar’s Office will then process eRefunds later that same day and paper check refunds, including Parent PLUS refund checks, the next day, Thursday, January 20, 2022.  It can take anywhere from 1-3 days for the funds to hit the student’s bank account.  Usually, the larger and/or more local the bank or credit union – the quicker the funds get there.  We strongly encourage students to enroll in eRefunding as it is the fastest way to receive a refund. Students are only sent an eRefund if their financial aid and other payments exceed the charges on their student account.  The money can then be used for any of their educational expenses like course supplies, food, housing, etc. Second – what ACTUALLY happens with some better details… Federal regulations restrict us from disbursing financial aid until 10 days before classes begin – this is based on UW–Madison’s low student loan default rate (some schools can’t disburse well into the semester!). Because that day almost always falls on a weekend or holiday, we start disbursement at the end of the next business day through the overnight job stream.  So, although technically money starts going through on Tuesday night, students don’t see the funds applied to their student account until Wednesday morning.  And this, of course, is if everything goes according to plan, which (fingers crossed) we’ve been extremely successful for the last many years and expect the same in a few weeks! Most funds for spring semester disburse in that first run, but because students can still be applying for financial aid and/or completing other requirements, such entrance counseling or promissory notes– disbursement of financial aid continues nightly throughout the semester.  It’s also then possible for students to have multiple eRefunds processed if their financial aid didn’t all apply at the same time.