We have an applicant that receives some different types of...income. Well, I am not sure if this is income, which is what is causing concern.
She receives a monthly amount from a not-for-profit that covers a portion of her schooling (like a monthly stipend). The award letter states that it is for her tuition, books, and living expenses. There is a GPA requirement.
She also receives student loan funds from the university after her tuition and such is paid. This is on a per-semester basis.
Do we count have to count these as income? If her GPA drops, no more stipend. If she quits school, no more stipend. And I have a hard time fathoming that we would use funds from one source of debt (student loan) as income for a new source of debt.
We are thinking about denying the loan because these sources of "income" are not guaranteed to be ongoing. I understand that anyone can quit their job a day after they obtain a loan as well. So I don't know which way to go on this one.
Does anyone have a recommendation? Or know of a good reference that I can refer to?