As best as I can tell, students using the new GI Bill to take online courses or other types of distance education offerings will be getting the short straw as far as benefits go. Apparently, if a student on the GI Bill is taking online courses, (s)he will not quality for the housing stipend that other "traditional" students would get: Monthly Housing Stipend If you are enrolled in a traditional college program as a half-time to full-time student, you will be paid a monthly housing stipend equal to the monthly Basic Allowance for Housing (BAH) for an E-5 with dependents. The average housing stipend will be approximately $1,100 a month. However, if you attend distance learning programs such as correspondence courses and online you will not qualify for this stipend. This language can be found here . This is clearly a bad thing, but not nearly as bad as what we first heard at the ITC Board meeting last week in DC. The rumor then was that the GI Bill couldn't be used AT ALL ...