|
|
|
| Refunds for Federal
Financial Aid Recipients |
| |
Special refund requirements apply to students who receive federal aid
classified as "Title IV" funds. Title IV funds include awards such as
Federal Pell grants, Federal Supplemental Educational Opportunity Grants
(SEOG), William D. Ford Federal Direct Loans, PLUS loans, and other Federal
awards. Students must attend classes to remain eligible for federal
financial aid. Students who are considering withdrawing from all classes
before completing 60% of the semester should contact The Financial Aid
Office to learn how this would affect their financial aid.
If a student withdraws from all classes at TSTC Waco, they must follow the
withdrawal procedures at
http://www.waco.tstc.edu/admissions/add_drop.php.
For students who receive all F's and do not officially withdraw, a Title IV
refund will be calculated based on the student's last day of class
participation. The College and/or the student may be required to return
federal funds awarded to the student. The student is only eligible to
retain the financial aid they have earned up to the withdrawal date. The
Financial Aid Office will use the official withdrawal date from the
withdrawal form or the last date of class participation. Funds that were
disbursed in excess of the earned amount must be returned to the appropriate
programs which may result in the student owing funds to the college. The
funds must be returned to the Department of Education no later than 45 days
from the withdrawal date or the last date of participation.
A federal formula dictates the amount of Title IV aid that must be returned
to the federal government by the College and the student. This formula
applies to a student who is receiving Title IV funds, if that student
withdraws from the College or stops participating from class on or before
the 60% point of time in the term. The percentage of Title IV aid to be
returned is equal to the number of calendar days remaining in the term
divided by the number of calendar days in the term. Scheduled breaks of
five consecutive days or more are excluded from this calculation. For
example, if a student attended 25% of the semester, he or she will have
earned 25% of your Federal aid for the semester. The unearned amount will
be returned to the Federal aid program and the student will be billed for
the amount returned.
If any funds are to be returned after the refund of Title IV aid, they are
used to repay TSTC funds, state funds, and other private sources. If there
is an unpaid balance, then all aid sources are repaid before any funds are
returned to the student. Funds refunded to a student due to a credit
balance on the student's account do not relieve the student's obligation to
repay Title IV funds when the student withdraws or stops participating in
class.
The priority for distribution of refunds and repayment is as follows:
1. Unsubsidized Federal Stafford Loan.
2. Subsidized Federal Stafford Loan.
3. Federal Perkins Loan.
4. Federal PLUS Loan.
5. Federal Pell Grant Program.
6. Federal SEOG Program.
7. Other Title IV Aid.
8. Other Federal, State, Private, or Institutional Aid.
9. The Student
Students who withdraw from all classes are encouraged to contact the
Financial Aid Office before doing so. At that time, the consequences of
withdrawing from all classes will be explained.
For more information on the entire refund procedure for Financial Aid
students or about the calculation of refund amounts, contact the Financial
aid Office.
|
|
|
|
|
 |
