Return of Title IV Funds (R2T4) Policy

The Office of Financial Aid (OFA) at 黑料正能量 (黑料正能量C) administers the Return of Title IV Funds (R2T4) process. This policy applies to students who officially or unofficially withdraw, or are dismissed from at 黑料正能量C. In such cases, students may still owe funds to the college to cover unpaid institutional charges. Additionally, 黑料正能量C may seek repayment from the student for any Title IV funds the institution was required to return.

The amount of Title IV funds a student must return is calculated based on federal regulations and follows specific definitions and procedures.  

Institutional Responsibilities and Deadlines

  • 黑料正能量C must return all unearned Title IV funds within 45 days of determining a student's withdrawal.
  • Students will be notified in writing if they owe a repayment.
  • If eligible for a post-withdrawal disbursement, students (or parents, for PLUS loans) have 14 calendar days from the date of notification to accept the funds.
  • If no response is received or the offer is declined, 黑料正能量C will return any earned funds it holds to the appropriate Title IV programs.
  • Post-withdrawal disbursements must be made within 120 days of the student's withdrawal date.  

Important Notes

  • The R2T4 calculation is separate from 黑料正能量C's institutional refund policy.
  • Title IV funds are awarded with the expectation that students will complete the entire enrollment period.
  • If a student withdraws from all courses鈥攚hether for personal, academic, or medical reasons鈥攖hey may no longer be eligible for the full amount of Title IV funds aid originally awarded.  

How Aid is Earned

The amount of Title IV aid a student earns is based on the percentage of the term completed before withdrawal:

Withdrawal before 60% of the term is completed:

A pro rata schedule is used to determine the percentage of aid earned. The remaining unearned portion must be returned. This includes aid from:

  • Federal Direct Loans (Subsidized and Unsubsidized)
  • Parent PLUS Loans
  • Graduate PLUS Loans
  • Pell Grants
  • SEOG Grants
  • Other Title IV programs 

Withdrawal after 60% of the term is completed:

The student is considered to have earned 100% of their Title IV aid. However, 黑料正能量C must still perform an R2T4 calculation to confirm eligibility for any post-withdrawal disbursements.

Determining a Student's Withdrawal Date  

A student's official withdrawal date is determined by one of the following:

  • The date the student officially withdrew through the Admission & Records (A&R) Office during the Registrar鈥檚 withdrawal period.
  • The date the student submitted a petition to withdraw to the A&R (if the withdrawal period had ended and the petition was approved).
  • The date the student was dismissed or expelled from 黑料正能量 (黑料正能量C).

If a student does not follow official official withdrawal procedures (as outlined in the 黑料正能量C Catalog), the unofficial withdrawal date is determined by:  

  • The date of the student's death, if applicable.
  • The last date of class attendance or the date the student checked out of campus housing鈥攚hichever is later.

The Return of Title IV Funds (R2T4) Process 

Federal regulations require 黑料正能量C to determine the amount of Title IV aid earned by a student who withdraws and return any unearned portion to the appropriate federal aid programs.  

Step 1: Determine Title IV Aid

The OFA  will identify:  

  1. The total amount of Title IV aid disbursed for the term (aid applied to the student鈥檚 account before the withdrawal date).
  2. The total amount of Title IV aid disbursed and that could have been disbursed for the term.

Step 2: Calculate Percentage of Aid Earned  

The percentage of aid earned is calculated as:

Days Attended 梅 Total Days in Enrollment Period (excluding breaks >5 days) = % Completed

  • If the percentage is greater than 60%, the student is considered to have earned 100% of their aid.
  • If less than 60%, only a portion of the aid is considered earned. 

Step 3: Calculate Earned Aid  

Total Aid (Step 1-B) x % Completed (Step 2) = Earned Aid  

Step 4: Determine Aid to be Returned or Disbursed

  • If disbursed aid = earned aid 鈫� No action needed.
  • If disbursed aid > earned aid 鈫� The difference must be returned to Title IV programs.

         Unearned Aid = Disbursed Aid - Earned Aid

  • If disbursed aid < earned aid 鈫� The student may be eligible for a Post-Withdrawal Disbursement.

Post-Withdrawal Disbursements 

If eligible, a post-withdrawal disbursement may be made only if:

  1. The student or parent is notified of eligibility within one week of the R2T4 calculation.
  2. The student or parent accepts the disbursement with a reasonable timeframe.
  3. The student has outstanding institutional charges and requests to apply the disbursement toward those charges.
  4. All required paperwork is completed in a timely manner.
  5. The disbursement is processed within 120 days of the student's withdrawal date.

Funds are first applied to outstanding institutional charges before any remaining amount is refunded to the student.  

Order of Return of Title IV Funds 

Unearned aid is returned in the following order: 

  1. Unsubsidized Federal Direct Loan
  2. Subsidized Federal Direct Loan
  3. Federal Direct PLUS Loan (Parent or Grad)
  4. Federal Pell Grant
  5. Federal SEOG
  6. Other Title IV Aid

Loan repayments must follow the terms of the borrower's promissory note. The student鈥檚 grace period for Federal Direct Loans begins with the student's withdrawal date. Students should contact their loan servicer with questions.  

Responsibilities

Institution (OFA) Responsibilities: 

  1. Provide students with R2T4 policy information.
  2. Identify affected students and perform R2T4 calculations.
  3. Notify students of results and any balance owed to 黑料正能量C.
  4. Return unearned funds to Title IV programs.
  5. Notify students/parents of post-withdraw disbursement eligibility.

Student Responsibilities: 

  1. Understand how withdrawing affects Title IV eligibility.
  2. Repay any balance owed to 黑料正能量C due to returned aid.

Financial Aid Overpayments

A financial aid overpayment occurs when a student receives more aid than they are eligible for. This can result from:

  • Changes in enrollment (e.g., dropping from full-time to half-time)
  • Complete withdrawal from all classes
  • Updated financial or academic information (e.g., late transcript submissions)

Students are responsible for repaying any overpaid funds.

The procedures and policies listed above are subject to change without advance notice.