* Type of loan: Federal student loans generally disburse funds based on enrollment status and the terms of your loan. Failing classes might impact your future eligibility for further disbursements, but it usually won't result in the already disbursed funds being taken back. Private loans have their own specific terms, which you should check with your lender.
* Satisfactory Academic Progress (SAP): Most federal student aid programs have SAP requirements. These requirements ensure that you are making reasonable progress toward your degree. Failing too many classes might put you out of compliance with SAP. If this happens, your eligibility for *future* federal student aid, including further disbursements of your current loan, will be jeopardized. You may have to create a plan to get back on track with your studies to regain eligibility.
* Loan disbursement schedule: Loans are often disbursed in installments (e.g., per semester or per term). If you fail classes, your institution might not release the next disbursement, even if it's part of the same loan.
In short, you likely won't have your *already received* loan money taken away simply for failing classes. However, failing classes *could* significantly affect your ability to receive *future* loan disbursements, depending on your school's SAP policy and the type of loan you have. It's crucial to check with your financial aid office at your school and your loan servicer to understand your specific situation and any potential consequences.