Lori Loughlin's kids, Olivia and Isabella, have tried beating USC to the punch ... TMZ has learned they are officially out of USC by their own accord, but they're still not out of the woods.
School officials tell TMZ ... Olivia and Isabella have formally dropped out and withdrawn from USC ... this after their mom and dad were indicted for using the U.S. mails for fraudulent purposes. The parents allegedly paid a $500k bribe so the girls could gain admission through the crew team .