Enrollment Management | Financial Aid Services
Return of Loan Funds
Federal regulations allow borrowers to reduce or cancel federal student loans to the loan servicer after MUSC has disbursed the funds within 14 days of disbursement. The borrower has 120 days to return any unwanted federal student loan funds as a partial or full cancellation of a previously disbursed loan. The interest and fees are adjusted by the loan servicer for the amount returned within the 120 day period.
Complete the Return of Loan Funds Request form to decrease or cancel a loan already applied and disbursed into your student tuition account (through the Bursar’s office). Write the amount of loan to be returned on the form. The form must be signed by the borrower to authorize the return of funds. For Federal Direct Parent Plus loans, the borrower is the parent, not the student.
Round the amount you would like to return to the nearest dollar.
Please allow for processing time when submitting your request.
Return of loan funds after 120 days of disbursement:
MUSC can only return funds if the disbursement date has not exceeded 120 days. Students who want to return previously disbursed loans beyond the 120 day period should contact their servicer for repayment of the funds. You are responsible for any interest and fees accrued.
Deliver or mail the completed form along with check payable to MUSC in the amount of the return to:
MUSC Bursar’s Office
19 Hagood Ave, Suite 805
Charleston, SC 29425