She plans to pay off her student loan and bills, and open her own salon

'I’m shocked, I can't believe it,' said the hairdresser, from Los Angeles

Only realized true extent of win after traveling to lottery's district office

She later discovered she had won - but thought she had netted $1,000

Gave away two to her mother and brother; nearly gave third to beggar

A 26-year-old hairdresser is celebrating after what she thought was a $1,000 winning lottery ticket turned out to be worth a staggering $1.3million.

Ligia Dennis was waiting for her clothes to finish washing at a Laundromat in Los Angeles, California, when she decided to buy a coffee from a donut shop across the street.

While there, she also purchased three $6 California Lucky Life Scratchers tickets on the spur of the moment, two of which she later gave away to her mother and brother.

'I can't believe it': Ligia Dennis (pictured holding a giant check alongside her fiance, Tim Ballany) is celebrating after what she thought was a $1,000 winning lottery ticket turned out to be worth a staggering $1.3million

After a homeless man asked her for change, she nearly handed over her final ticket to him, but decided against it at the last second, her fiance, Tim Ballany, told CBS Los Angeles.

When Miss Dennis discovered she was in possession of a winning ticket, she was ecstatic.

'When I saw LIFE, the winning symbol, I went crazy for a minute, she said. 'It didn’t really process.'

However, she initially did not realize the extent of her win - thinking she had scooped $1,000.

It was only when she traveled to the California Lottery Van Nuys District Office on December 26 that she found out she had actually won $1,000 per week for 25 years - a total of $1.3million.

Winner: Miss Dennis purchased three $6 California Lucky Life Scratchers tickets from Big Jim's Donuts in East Hollywood, Los Angeles. Above, her winning lottery ticket, which she nearly gave to a homeless man

'[The lottery employee] looked at the ticket and was like, "How much do you think you won again? It's a little more than a thousand dollars,"' Miss Dennis told NBC.

She added: 'I’m shocked. I can't believe it.'

The hairdresser, who also attends Santa Monica College for business management, said she plans to pay off her student loans and outstanding bills with her winnings.

She also said she hopes to open her own hairdressing salon. 'It’s always been my passion,' she said. 'I’ve been a hairdresser for about six years. It’s always been my dream to own my own salon.'

Cashing in: And the 26-year-old hairdresser is not the only winner - the donut shop (pictured), situated in the 700 block of North Vermont Avenue, has also scooped a bonus of $6,500 for selling her the winning ticket

Miss Dennis has reportedly arranged to meet a financial adviser to discuss whether to take out the $1.3million in installments over 25 years, or a lump, pre-tax sum of around $750,000.

And she is not the only winner - Big Jim's Donuts in the 700 block of North Vermont Avenue in East Hollywood has also scooped a bonus of $6,500 for selling her the winning ticket.