The 1998 Re-authorization of the Higher Education Act requires an institution to have a fair and equitable Title IV Funds return/repayment policy for students who received federal aid or whose parents borrowed under the Federal PLUS program. Equitable means that the policy must be consistent with the standards approved by the Department of Education. A fair and equitable return/repayment policy is defined as:
Students who withdraw from all courses before completing 60 percent or more
of the current term must return/repay a portion of the Title IV Funds (PELL,
Supplemental Educational Opportunity Grant (SEOG), Academic Competitiveness
Grant (ACG)), and Subsidized and Unsubsidized Loans disbursed. Federal Loans
are repaid in accordance with the terms of the loan. The amount of funds to
be returned/repaid will be calculated using the following formula:
Total amount Disbursed (PELL, SEOG, ACG and Subsidized and Unsubsidized Loans)
Amount of Institutional Cost Returned by School (if any)
Amount of aid earned by student
Amount of aid to be returned/repaid by the student X 50 percent
When a student withdraws/drops from courses, the student must ensure a Last Date of Attendance is recorded on the withdrawal/drop request. This Last Date of Attendance is the date used to determine how much Title IV Aid was earned and unearned. Failure to obtain a Last Date of Attendance may result in additional funds to be paid by the student. Before withdrawing/dropping any course, financial aid students are encouraged to visit the Financial Aid Office to speak with a Financial Aid Counselor.
If, after withdrawing/dropping from a course, a student desires to re-enroll in the same course during the same semester/term, the following will apply:
The student must obtain written permission from the instructor.
The student must sign a written declaration stating he or she will complete the course.
If the student fails to complete the course, the initial withdrawal date will be used to calculate the amount of aid to be returned/repaid.
Students will be notified in writing the amount of Title IV Funds that must be returned/repaid. Students must ensure their
current address is on file with the Records Office. Students will have 45 days from the date of the letter to pay CTC in full. If the account is not paid, CTC turns it over to the Department of Education (DOE). The student can make payment plan arrangements with DOE to repay within two years.
Students may inquire at the Financial Aid Office, Building 111, Room 121-A for answers to questions concerning Return/Repayment of Title IV Funds.
NOTE: Federal, state and institutional rules and regulations regarding financial aid are subject to change.
Central Texas College provides education for a global community through responsive, innovative instruction and educational services for diverse student populations.
