Return/Repayment of Title IV Funds*
The return of Title IV funds is a complex process involving a great deal of interoffice cooperation and coordination. Title IV funds are awarded to eligible students under the assumption that they will attend Central Texas College for the entire period for which the assistance is awarded. Only students who have withdrawn from all classes in a payment period, term in which a student is receiving financial aid, are subject to the return of Title IV formula. If a student changes their enrollment status, such as drops courses but is still enrolled for at least one course they would not be subject to the return of Title IV funds formula, but would be subject to the Satisfactory Academic Progress policy. Central Texas College is an institution required to take attendance. Central Texas College confirms enrollment at the census date, which is the last day to withdraw without a “W” grade. If a recipient of Title IV grant or loan funds withdraws from Central Texas College after beginning attendance, the amount of Title IV grant or loan assistance earned by the student must be determined. Dropping any class after it has started can cause funds to be owed either to the school, or the Department of Education and the amount owed will be determined based on the drop date of the class. The Department of Education considers a student who earns all F’s to have officially withdrawn unless an instructor can prove otherwise. Students in this catagory must repay 50% of disbursed Title IV funds.
The following list is of financial aid programs, Title IV, to which the Return of Title IV funds requirement applies. The financial aid programs are listed in order that the school must return per the federal formula:
- Federal Unsubsidized Stafford Loan
- Federal Subsidized Stafford Loan
- Federal Parent PLUS Loan
- Federal Pell Grant
- Federal Supplemental Education Opportunity Grant (FSEOG)
- Iraq and Afghanistan Service Grant
Central Texas College determines the date the student withdrew depending on the type of withdrawal. If the student begins the official withdrawal process or provides official notification to Central Texas College of his or her intent to withdraw the date Central Texas College determines that the student withdrew would be the date the student began the official withdrawal process, or the date of the student’s notification, whichever is later. If the student did not begin the official withdrawal process or provide notification of his or her intent to withdraw, the date of the institution’s determination that the student withdrew would be the date that Central Texas College becomes aware that the student ceased attendance. If Central Texas College is informed that a student has died, the withdrawal date is determined either by the official notification from the student, if they had started an official withdrawal process due to illness or accident, etc. prior to the death, or the withdrawal date is the date that Central Texas College determines is related to that circumstance if no official withdrawal was initiated. The withdrawal date will be no later than the date of the student’s death. Central Texas College does not disburse post-withdrawal disbursements to a student that has died during the payment period. The Record’s Office notifies the National Student Loan Data System (NSLDS) via the National Student Loan Clearinghouse of enrollment changes.
*Due to the COVID-19 Pandemic conditions, some students Financial Aid academic standard calculations may be waived under CARES Act legislation.