Cleveland Community College Refund Policy
CLEVELAND COMMUNITY COLLEGE
STUDENT FINANCIAL AID REFUND POLICY
If a student completely withdraws from all classes prior to the 60% point of the semester, he or she is required by federal regulations to repay the funds for the time he or she has not attended class. This overpayment may be a combination of tuition, fees or books charged to his or her account, and/or direct payment made to the student. Failure to make payment will result in the student being reported to the Department of Education and/or a collection agency. This action will also interrupt future financial aid awards. The student will not be able to register for classes, receive transcripts, or grade reports. To owe no funds, the student must attend at least one class after the 60% point of the semester.
Cleveland Community College enforces a fair and equitable refund policy that follows mandated federal, state, and institutional requirements. There are currently two possible refund policies for a Financial Aid student who does not complete the enrollment period for which they were charged under the Student Financial Assistance Program (SFA). The institution will determine and apply the appropriate calculation, which yields the largest eligible refund to the SFA program.
- A 100% refund if student withdraws before the term begins.
- A 75% refund if student withdraws before the 10% point of the semester
Federal Refund Calculation
- Withdraws (Drops) before first day of the term equals 100% refund
- Withdraws on or before the 60% point of the semester, student may owe an overpayment to the institution or Department of Education.
- Withdraws after the 60% point of the semester, student has earned 100% of financial assistance and does not owe any overpayment.
There are five steps that need to be followed in determining a refund or overpayment:
- Determine the percentage of the semester the student attended before withdrawing.
- Determine the amount of Title IV aid earned by the student based on the percentage of time of enrollment.
- Compare the amount earned by the student to the amount disbursed or could have been disbursed to the student. If less aid was disbursed than was earned, the student may receive a post-withdrawal disbursement for the difference. If more aid was disbursed than was earned, determine the amount of Title IV aid that must be returned.
- Allocate the responsibility for returning the unearned aid between the school and the student.
- Distribute the unearned aid back to the Title IV programs either by the institution or the student.
The amount of assistance a student earns is calculated on a pro-rata basis. For example, if you completed 40% of the semester, you have earned 40% of the financial assistance that you were scheduled to receive.
Each student who owes an overpayment to the Department of Education will be notified by mail. The notification will be mailed to the student no later than ten days after the Financial Aid Office becomes aware of the withdrawal from all classes. Students have forty-five days after the student last attended to repay the funds to the institution or Department of Education. If payment is not received within forty-five days, the overpayment will be referred to the Department of Education for collection.
If a student has an overpayment (monies that must be paid back) and fails to repay that amount to the institution and/or Department of Education, that student loses eligibility for all Title IV program funds. The only way to regain eligibility is to make satisfactory arrangements with the institution and/or Department of Education.
The student’s withdrawal date or last day of attendance (LDA) must be established to calculate the refund. The following will be used as a guide to determine that date:
ACTION: Student officially withdraws from all classes
WITHDRAWAL/LDA: The date the student notifies the school of withdrawal
ACTION: Student drops out completely (Unofficial withdrawal)
WITHDRAWAL/LDA: The last date of student’s recorded attendance.
ACTION: Leave of absence
WITHDRAWAL/LDA: The last date of student’s recorded attendance.
WITHDRAWAL/LDA: Date of expulsion.
All institutional charges will be subject to the refund policy. These charges include tuition, equipment, books, or supplies issued to the student. The only excludable cost of institutional charges are the documented cost of un-returnable equipment, and documented cost of returnable equipment if not returned in good condition within 20 days of the students’ withdrawal. That is to say, students who purchased equipment/books/supplies from financial aid sources must return the items in good condition to the Financial Aid Office within 20 days of withdrawal.
Refund example: Student attends four weeks of classes and officially withdraws. Withdrawal date established. Student attended 20 of the 80 days in the semester (20/80= 25%). Student has earned 25% of their financial assistance. After taking into consideration the student’s earned aid and the institutional charges, it is concluded that the student owes a refund back to the institution or Department of Education. However, the student is only responsible for 50% of the amount owed.
Refund example: Student attends eight weeks of classes before unofficially withdrawing. Student does return books and supplies. Withdrawal date used is the students last date of attendance. Student attended 40 of the 80 days in the semester (40/80= 50%). Student has earned 50% of their financial assistance. However, after comparing the amount earned by the student to the amount disbursed or that could have been disbursed to the student, it was discovered the student is eligible for a late disbursement. Please see Post-Withdrawal Disbursements below.
In addition to receiving a notification from the Financial Aid Department concerning an overpayment to the Department of Education, a student may also receive notification from the Business Office at Cleveland Community College concerning payments owed to the college. Students may owe the college additional funds if financial assistance was used in paying for tuition, equipment, books, or supplies during the semester the student withdrew from all classes.
If a student has received less aid than that student earned, he/she may be eligible for a Post-Withdrawal Disbursement. If a student is eligible for this disbursement, the school will notify the student in writing of the amount they are eligible. The student will have 14 days to accept or decline the disbursement. If an acceptance is not received within this timeframe, the institution will not make the Post-Withdrawal Disbursement to the student.
Any student withdrawing or anticipating withdrawal should consult with the Financial Aid Department for information on any charges that are to be refunded or repaid.
Thursday, March 14, 2013 09:22:38 AM