There is a guideline that trade schools must follow pertaining to a student’s loan award amounts based on their college level. When a student decides to go to any trade school they are looking for a specific field for a career, such as cosmetology, pharmaceutical, electronics, etc.
Many of these students have already attended some sort of education at a bigger college such as a business college or universities. In this case these students may already be passed a first or second year level.
There is a great number of misunderstandings on what students either believe or have been told about being able to get a greater amount of loan funds due to a higher education level. When changing the college type from a university to a trade school, the education level and award availability changes.
When a student is going to a specific educated school like a trade school, lets say for example a cosmetology school.
The student will start at the very beginning of an education level of first year; unless any previous college experience can be used and credited in this same field like a transfer student would have.
With cosmetology schools being our example, we will keep that as our field to discuss. Most cosmetology schools offer up to a credit or hour amount up to 1500 hours.
Most states require this amount of hours for licensing to be able to legally earn money doing cosmetology; this does not count hours of an instructor course.
If an enrolled student does not have any previous credit or hours from a different school of the same course then there is none to transfer, so the student would have to start from hour zero within their course.
With starting at zero in the course, the funds will also start at that level of first year; regardless of what level the student was at from a big college.
Many students and some schools believe if the student left the other college at a third year level, then they can start at a third year and funding amount for the new college.
Doing this will eventually cause a liability with the school and the student later. The schools go through a yearly audit on all the income they brought in whether it be student funding, clinic funding, or government funding.
That is when the liabilities will be found and the school will end up having to go through a full program review and possibly both student and institution will be in an over payment status and owe money back immediately.
Bottom line, no matter what college education a student has had previously, the grade level and level of funding will start at the beginning unless the student can credit in previous same course studies.
In almost most cases all students, whether bringing in credits or not, in these type of schools will rarely be awarded over a second year amount.
This is due to the certificates and/or licensing being completed in a 1500 hour and 50 weeks time.
A full award amount and level is based from completing at least 900 hours and 30 weeks for the first year and 600 hour and 20 weeks during the second year.
If a student goes into extra certificate courses such as instructional, it will still be continued from the second year status due to not being passed another 900 hours. Anything under a 900 hour course will also be prorated from the full amount allowed.