You do not enter the proceeds from the loans. Instead you enter the expenses that you paid for, with the money, As the other reply said, if the loan money went directly from the lender to the school, most (or all) of it is already included in box 1 of the 1098-T. That is, the part of the loan that paid tuition and fees, but not room & board, and maybe not books, is included in box 1.
