Loan Cancellation

The borrower has the right to cancel all or part of his federal loan disbursement for each semester and must submit a written request to the Office of Financial Aid within 14 days from the date he receives official notification that loan funds have credited to the student account, or before the first day of classes, whichever occurs last. Official notification will be sent from Fees & Deposits.

No interest will be charged and loan fees will be returned to the loan holder if the cancellation request is received within the 14-day period or before the first day of classes, whichever occurs last. Cancelling a loan disbursement could cause a balance due on the student’s account which the student will be responsible for paying. This is more likely to be true if excess funds (credit balance) have already been distributed via a check or a direct deposit to a bank account.

The Office of Financial Aid must receive the borrower’s written loan cancellation request with a signature (student or parent for PLUS) via U.S. Postal mail, in person, fax or from the student’s COTC email account as an attachment.