May 26, 2020  
2019-2020 Student Handbook and Undergraduate Catalog 
  
2019-2020 Student Handbook and Undergraduate Catalog

Repayment Of Federal Student Aid Funds


Official Withdrawals. When a student officially withdraws from credit courses, there must be a recalculation of the federal student aid received. The amount of federal student aid funds earned is based on the amount of time (days attended) the student spent in academic attendance. The recalculation will determine the amount of aid the student has earned and the amount of unearned institutional charges (tuition, fees, and books) that must be returned to Title IV federal programs.

The percentage of institutional charges that must be repaid to Title IV programs is determined by the length of time that a student attends classes and/or the date of complete withdrawal. A semester is 16 weeks. A Title IV recipient attending eight (8) weeks will have incurred an overpayment of 50%.

If a student does not attend class through the 60% point of the semester, the financial aid funds will be reduced to a prorated amount. This could cause the student to have to repay any funds in excess of the earned amount. The 60% point in the semester is usually on or about November 1 for the fall semester and April 1 for the spring semester.

Students who withdraw before receiving all their earned financial aid will have the funds disbursed to them (post-withdrawal disbursement), even if they are no longer attending or attending with a reduced number of hours. The student will receive a letter within 30 days notifying them of the disbursement and the disbursement will be received by the student within 120 days.

Students who officially withdraw from College and are receiving federal student aid must obtain the Financial Aid Advisor’s signature before the College Registrar will process the withdrawal. At that time, the amount of aid earned will be determined so that the student will know the amount of funds he/she has earned and the amount that he/she is responsible for repaying.

Unearned aid is considered an overpayment of federal student aid funds. It is the student’s responsibility to repay any overpayments.

Unofficial Withdrawals. Students who receive all Fs in their classes, and who stopped attending before the end of the semester, will be identified as having withdrawn without official notification. The student will be responsible for repaying any funds they have not earned.

Refunds and repayments to the Title IV programs on behalf of student financial aid recipients must be distributed in the following order:

  1. Unsubsidized Federal Stafford Loan
  2. Subsidized Federal Stafford Loan
  3. PLUS loan
  4. Federal Pell Grant
  5. FSEOG

Students will be notified within 30 days of the Financial Aid Office’s determination of the unofficial withdrawal. Once the student is notified that he or she owes a repayment of federal funds, he or she must respond with payment within 45 days. After the 45 days, the student’s portion of the repayment will be referred to the U. S. Department of Education as an overpayment. The student will then become ineligible for federal aid.