New rules that college-bound seniors should be aware of. From Dept. of Education:
The U.S. Department of Education (ED) is cracking down on school-bank partnerships that unfairly target college students receiving federal student aid. Last Friday, ED announced proposed regulations that would ensure students aren’t required to receive their federal student aid on prepaid or debit cards that charge fees for overdrawing the accounts.
Why is this important?
Simply, it allows students to choose to have their financial aid refunds deposited directly into their bank account rather than have to deal with another bank that the school has a relationship with. So, be sure to have your students tell financial aid that any deposits should go into their account. Not sure when these new rules will take effect but they will be beneficial for students.