Return of Title IV Funds
A Westmont student with Title IV federal aid is officially enrolled beginning the first day of each semester even if his or her classes begin on a day other than the first day. Beginning July 1, 2000, students who withdraw from Westmont College may be required to return a portion of their federal financial aid for that semester.
Students must officially notify the Westmont College Registrar’s Office to begin the withdrawal process.
The Student Withdrawal Form is required in order for the student to be eligible to receive any refund of student charges.
The withdrawal date is the date the student began the withdrawal process or the date the student provided official notification of the intent to withdraw. However, if the student did not begin the withdrawal process or otherwise notify Westmont of his or her intent to withdraw, it will be determined that the withdrawal date will be the midpoint of the payment period (i.e. semester) for which Title IV assistance was disbursed.
The Financial Aid Office will calculate the refund according to the Federal Return of Title IV Funds formula and determine the amount of Federal aid that must be returned to the federal government both by the school and the student.
If a recipient of Title IV aid withdraws during a period of enrollment, the institution must calculate the amount of Title IV aid the student did not earn. Unearned Title IV funds are returned to the Title IV Federal programs.
Title IV Funds Earned – The student earns Title IV funds in proportion to the percentage of time officially enrolled in the semester (i.e. if the student was enrolled 25% of the period, he or she will be eligible for 25% of the Title IV aid). If the aid earned is more than the amount that was disbursed, the student will be offered a post withdrawal disbursement. The Financial Aid Office will notify the student in writing, within 30days of determination of withdrawal, the type and amount of Title IV funds available. The student must respond to the notification within 14 days in order for the funds to be disbursed.
Title IV Funds Unearned – Unearned funds must be returned to the federal programs. Title IV aid will be used first to pay the institutional charges. The school is responsible for returning unearned Title IV aid up to an amount that is equal to the total institutional charges for the payment period times the percentage of the Title IV aid unearned. The student is responsible for returning the balance of unearned Title IV aid.
The Order of Return of Title IV Funds – each fund is fully refunded before moving to the next fund:
- Federal Direct Loans
- Federal Perkins Loans
- Federal Parent PLUS Loans
- Federal Federal Pell Grants
- Federal Academic Competitiveness Grant (ACG)
- Federal SMART Grant
- Federal Supplemental Educational Opportunity Grants (FSEOG)
- Federal TEACH Grant
- Other Assistance Under Title IV
Title IV Refund Calculation Process – The Financial Aid office
- Determines the number of calendar days the student attended classes, (Calendar day does not include scheduled breaks of at least five consecutive days or more.)
- Calculates the percentage of Title IV Aid Earned and Unearned,
- Calculates the amount of institutional charges,
- Determines the amount that must be returned to each Title IV program,
- Calculates the student’s and school’s responsibility to the grant and loan programs,
- Returns funds to the programs according to regulatory requirements,
- Collects grant overpayment, or follows the overpayment procedures.
Worksheets used to determine the amount of Return of Title IV aid are available upon request in the Financial Aid Office.
THE INSTITUTIONAL REFUND POLICY IS DIFFERENT THAN THE FEDERAL TITLE IV REFUND POLICY.
PLEASE SEE THE COLLEGE CATALOG FOR INFORMATION REGARDING THE INSTITUTIONAL REFUND POLICY FOR ALL INSTITUTIONAL FUNDING.
THE CALIFORNIA STATE REFUND POLICY IS THE SAME AS THE WESTMONT INSTITUTIONAL REFUND POLICY.
This information is subject to change.