If you withdraw on or before completing 60 percent of the term, and you have received Title IV federal funds in the form of a Federal Pell Grant, Federal Supplemental Educational Opportunity Grant (SEOG), Federal Academic Competitiveness Grant (ACG), Federal Science & Mathematics Access to Retain Talent (SMART) Grant, Federal Perkins Loan, Federal Direct Stafford Loan, or a Federal PLUS, the federal government requires that we review your eligibility for those funds. We are required to apply a federally mandated formula to determine how much of the federal funding was “earned” up to the time of withdrawal. This review and recalculation is called a “Return of Title IV Aid.”
The Title IV funds that were disbursed in excess of the earned amount must be returned to the federal government by the university and/or you. If you received a refund from financial aid that was credited earlier in the term, which was to be used for education-related personal expenses or non-university housing expenses, you may be required to return a portion of those funds to the university. This portion represents funds that were intended to pay your education-related expenses through the end of the term. The amount to be returned to the university will be calculated from the date on which you officially withdrew from classes.
DETERMINING AID EARNED
To determine the amount of aid you earned up to the time of withdrawal, the Office of Financial Aid will divide the number of calendar days you attended classes by the total number of calendar days in the term, less any scheduled break of five days or more. The resulting percentage is then multiplied by the total federal funds that were disbursed, either to your university student account or directly to you by check or electronic deposit for the term. This calculation determines the amount of aid that you are allowed to keep.
Any unearned Title IV aid must be returned to the federal government by you or the university. The Office of Financial Aid will notify you with instructions on how to proceed if you are required to return funds to the government.
RETURNED TITLE IV AID ALLOCATION
Funds that are returned to the federal government are used to reduce the outstanding balances in individual federal programs. Financial aid returned by you and/or your parent or the university must be allocated in the following order:
1. Federal Unsubsidized Direct Loan
2. Federal Subsidized Direct Loan
3. Federal Perkins Loan
4. Federal Direct Parent Loan (PLUS)
5. Federal Pell Grant
6. Federal Academic Competitiveness Grant (ACG Grant)
7. Federal Science & Mathematics Access to Retain Talent (Federal SMART Grant)
8. Federal Supplemental Educational Opportunity Grant (SEOG)
9. Any Other Federal Assistance
10. Other State, Private or Institutional Aid
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