You must receive and enter a form 1098-T from the school or tell TurboTax that you qualify for an exception.
You claim the credit on the parent's return, not the student-dependent's.
As, LeticiaF1 says, follow the interview carefully. You've most likely answered something wrong. Sometimes it's best to delete and start over. Go through the entire education interview until you reach a screen titled "Your Education Expenses Summary". Click delete next to the student's name. You'll then get the "Your Education Expenses Summary" screen again. Click the "Add a student" button.
Do not enter the Pell Grant under financial assistance. Loans are ignored in the educational expenses section.
