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To Whom Does This Policy Apply:  This requirement applies to students who withdraw officially, unofficially, or are dismissed from Enrollment at ���ϲ�����.  ���ϲ����� does not grant federally defined Leaves of Absence; however, the ���ϲ����� leave of absence is defined as an official withdrawal for Federal Financial Aid purposes.  This policy is separate and distinct from the ���ϲ����� Refund Policy.  The ���ϲ����� Refund Policy can be viewed at:  /Catalog/2019-2020/Admission_and_Financial_Aid/Financial_Information/

What Financial Aid Programs are Included: The Title IV, HEA, Programs that are covered by this law include:  Federal Pell Grants, Iraq and Afghanistan Service Grants, Direct Loans, Direct PLUS Loans, and Federal Supplemental Educational Opportunity Grants.

How Does This Calculation Work?  The amount of Title IV, HEA aid earned is based on the amount of time a student spent in academic attendance, and the total aid received; it has no relationship to student’s incurred institutional charges.  The amount of assistance that you have earned is determined on a pro rata basis.  For example, if you completed 30% of your payment period or period of enrollment, you earn 30% of the assistance you were originally scheduled to receive.  Once you have completed more than 60% of the payment period or period of enrollment, you earn all the assistance you were scheduled to receive for the period. 

How Will I Know If This Affects Me?  Students who are considering withdrawal may contact the Office of Financial Aid for guidance.  All institutional and federal financial ramifications of withdrawal can be discussed at their request.  If desired, appropriate calculations will be performed prior to the official withdrawal so that precise fiscal consequences are known.

An Example of Calculation – Credit Hour School

1.  Determine the percentage of Title IV, HEA aid earned by the student by taking the calendar days completed in the payment period, divided by the total calendar days in the payment period (excluding breaks of 5 days or more and days the student was on an approved LOA.

18 (completed days) divided by 118 (total days) = 15.3% (% of completed calendar days)

2.  Determine the amount of Title IV aid earned by the student by multiplying the percentage of Title IV, HEA aid earned times the total of the Title IV aid disbursed plus the Title IV aid that could have been disbursed for the payment period. 

15.3% X $2805.00 = $429.17 (amount of aid earned by the student)

3.  If this percentage is greater than 60%, the student earns 100% of the disbursed Title IV, HEA funds or aid that could have been disbursed. 

4.  If this percentage is less than 60%, then the percentage earned is equal to the calculated value. 

5. Aid to be returned = (100% minus the percent earned) multiplied by the amount of aid disbursed toward institutional charges.  If a student earned less aid than was disbursed, the institution would be required to return a portion of the funds and the student may be required to return a portion of the funds.  All Title IV funds that the institution must return will be made no later than 45 calendar days after the date the school determines that the student withdrew.

100% - 15.3% -84.7% (% of aid to be returned)

84.7% X $2805 = $2,375.83 (Aid to be returned)

6.  When Title IV, HEA funds are returned, the student may owe a balance to the institution. 

How do we determine the Date of  “Official” or “Unofficial” withdrawal from ���ϲ�����? The withdrawal date provided by the Registrar’s Office is utilized to document the last date of enrollment for an official withdrawal in the Return to Title IV calculation.

A student who earns all failing grades based on non attendance may be considered an unofficial withdrawal for the purpose of Return to Title IV.  The documented last date of educational activity will be utilized for the return of Title IV funds calculation in these instances if known.  If a date cannot be determined, the mid-point of the semester is utilized.

���ϲ����� restores unearned aid used to pay institutional charges in the following order within 45 days of the withdrawal determination:

1. Unsubsidized Direct Stafford Loans
2. Subsidized Direct Stafford Loans
3. Direct Graduate PLUS loans
4. Direct Parent PLUS loans
5. Federal Pell Grants for which a return is required  
6. Federal Supplemental Educational Opportunity Grant for which a return is required
7. Iraq and Afghanistan Service Grant for which a return is required
8. Other Title IV, HEA assistance
9. State Tuition Assistance Grants (if applicable)
10. Private and institutional aid
11. The student

A repayment may also be required of the student, ���ϲ����� will also restore these funds to the appropriate source in the above order within 45 days of the withdrawal determination.

Students are billed for any unearned aid that was returned to the federal aid program that caused institutional charges to be unpaid. Additionally, students will be billed for any monies the College returns on the student’s behalf.

���ϲ����� provides the student with a letter outlining the amount of title IV aid that must be returned by the school and the amount returned on the student’s behalf if required.   Copies of the return to Title IV calculation can be provided to the student upon request.  The Student Accounts Office sends the student billing information showing the amount due. Copies of information from the Student Aid Handbook or other regulatory sources can also be made available at the request of the student. 

What is a Post Withdrawal Disbursement?  If a student earns more aid than was disbursed, the student may be eligible to receive a post- withdrawal disbursement. Students are notified by mail or email of their eligibility for such a disbursement.  ���ϲ����� will send this notification as soon as possible but no later than 30 calendar days from the date the school determines the student withdrew.  This notification could include repayment obligations, a request for permission to credit loan funds to cover any unpaid institutional charges, a request for permission to make a post-withdrawal disbursement of grant or loan funds for other than institutional charges, and to seek permission to make a post-withdrawal disbursement of loan funds directly to the student

If it is determined the student is eligible for a post withdrawal of grant funds these will be automatically credited to the student’s account for allowable current outstanding charges within 45 days of the date the school determined the student withdrew. Students without outstanding charges will have grant funding refunded within 45 days of the date the school determined the student withdrew.

The student must confirm in writing within 14 days if the loan funds are still desired.  Any loan funds accepted will be disbursed as soon as possible but no later than 180 days from the date the school determined the student withdrew.  Outstanding institutional charges will be paid first.   Remaining loan proceeds will be delivered to the student within 14 days of crediting the student’s account.

Time Frame for returning an unclaimed Title IV, HEA credit balance:  If ���ϲ����� attempts to disburse the credit balance by check and the check is not cashed, the school must return the funds to the federal aid program which generated the credit balance.  The college will identify uncashed federal aid checks and will void the check after the 180^th day of issuing the check and will return the funds back to the applicable federal student aid program.

If a check is returned to ���ϲ�����, the school may make additional attempts to disburse the funds, provided that those attempts are made not later than 45 days after the funds were returned.  When a check is returned and the school does not make another attempt to disburse the funds, the funds must be returned before the end of the initial 45 day period.

The school must cease all attempts to disburse the funds and return them no later than 240 days after the initial issue date of the check. 

Verification Not Complete:  If a student withdraws prior to completing verification, only Title IV funds not subject to verification will be included in the Return Calculation, i.e., Direct PLUS loans and Direct Unsubsidized Stafford Loans.  If a student subsequently completes verification before the verification deadline but after the initial withdrawal calculation, the school will complete a new Return calculation including all aid that could have been disbursed.  The student will be offered any post-withdrawal disbursement as soon as possible and the student will have 14 days to respond to the offer.  Any post-withdrawal disbursement that results from the new Return calculation will be made as soon as possible but no later than 180 days after the school determined the student withdrew.

If a student is entitled to an institutional refund of tuition and fees, those monies will first be applied to any outstanding balance to the College before being refunded to the student.

Return to Title IV, HEA Questions:  If you have questions regarding Title IV, HEA program funds after visiting the ���ϲ����� Office of Financial Aid, you may call the Federal Student Aid Information Center at 1800-4-fedaid (800-433-2343).  TTY users may call 800-730-8913.  Information is also available at student aid on the web: 

*This policy is subject to change at any time, and without prior notice.