When a recipient of Title IV (federal) grant or loan assistance withdraws or takes a leave of absence, the college, in accordance with federal regulation, must determine the percentage of federal aid that the student has earned through the withdrawal date. Any federal aid the student has not earned according to the federal refund formula must be returned to the Title IV aid programs.
The amount of federal aid a student has earned and can retain is based on the number of days the student was enrolled, and the percentage of the period of enrollment completed. A student who has completed 60% or more of the enrollment period is eligible to keep all of their federal aid for that semester.
Refunds of Title IV federal financial aid are made in the following order:
- Unsubsidized Federal Direct Student Loan
- Subsidized Federal Direct Student Loan
- Federal Perkins Loan
- Federal Direct PLUS Loan for Parents
- Federal Pell Grant
- Federal SEOG grant