The guidance contained in this UHEAA Bulletin has been updated in 
UHEAA Bulletin Volume 2001 - Issue 21, issued March 9, 2001

Subsidized and Unsubsidized Stafford Loan Reallocation Form

As you may know, in 1998 the Common Manual was amended to include a policy which allows the reallocation of subsidized and unsubsidized Stafford loan amounts. This policy is contained in subsection 6.1.H. of the Common Manual. In order to facilitate processing such reallocation of loan amounts, UHEAA has developed the attached Reallocation Form. Schools may make additional copies of this form as needed.

This Reallocation Form is to be used whenever a reallocation of subsidized and unsubsidized funds is necessary.  Examples of situations which may necessitate reallocation include changes in budget numbers, loan periods or grade levels.  In order to use this form, the borrower must still be attending at least half time, the total loan amount can not exceed the amount originally requested by the borrower, and the borrower must have checked the unsubsidized box on the common Application and Promissory Note for Federal Stafford Loans.

The school should complete the school section and send the Reallocation Form to the lender for completion of the lender section. The lender should then attach a copy of the application and promissory note and send it to Teri Vig at UHEAA.

Questions concerning the reallocation policy can be directed to UHEAA Policy and Training at (801) 321-7166. Questions concerning the Reallocation Form can be directed to Teri Vig at (801) 321-7223.

A copy of the Reallocation Form may be obtained from Lynda Reid at (801) 321-7211