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When A Student Withdraws During The Semester:
Return of Title IV Funds
During the course of a semester a student may decide to withdraw from all of his/her classes. For purposes of this section a withdrawal will refer to a full withdrawal from all classes prior to the completion of any one class in the semester. The withdrawal may be an official withdrawal whereby the student initiates the withdrawal process as outlined by the Office of The Registrar. Or, the student may simply cease attendance and the Office of Financial Aid is only made aware of the unofficial withdrawal at the end of the semester when the No-Good Grade Report is provided.
In either case, at the time that the Office of Financial Aid is informed that a student has withdrawn, a review of the student’s financial aid account is performed and, if necessary, a Return of Title IV Funds Calculation is initiated. The process is outlined below:
In the case of an Unofficial Withdrawal, the same process as outlined above is initiated with the exception that, since there is no official withdrawal date, a default date, reflective of the 50% point of the semester, is used resulting in the student earning 50% of the aid disbursed (or that could have been disbursed.)
It may be possible for a student to have earned more federal aid than what has been disbursed to the student’s account. In such a case, the Post Withdrawal Disbursement (PWD) procedure is performed. Any federal grant would then be directly disbursed to the student and loans including PLUS loans would require notification and consent by the borrower for a PWD.
The notice to the student/borrower states a strict deadline which must be adhered to and the notice must convey that the proceeds are a loan that must be repaid.
If the acceptance of the offer of the loan as a PWD is not received by the Office of Financial Aid by the deadline stated, the loan is cancelled and cannot be renewed for that semester.