Return of Title IV Funds
The federal government mandates that if you withdraw either officially or unofficially from all of your classes you may only keep the financial aid you have “earned” up to the time of withdrawal. If you drop your classes before they are 60% completed, you may be required to repay a portion of your federal aid. If Title IV funds were disbursed in excess of the earned amount they must be returned by Goshen College and/or by you to the federal government. This situation could result in you owing federal aid funds to Goshen College, to the government, or to both. This does not apply to you if you have dropped some of your classes but remained enrolled in others, or have successfully completed at least one class.
When you withdraw from classes 100%, Goshen College must determine the actual amount of federal aid that you earned while you attended your classes. To determine the amount of aid you have earned up to the time of withdrawal, Goshen College will divide the number of calendar days you attended classes by the total number of calendar days in your program of study (less any scheduled breaks of 5 days or more). The resulting percentage is then multiplied by the total federal funds that were disbursed to you for the semester. This calculation determines the amount of aid you earned which you may keep (for example, if you attended 25% of the term, you have earned 25% of the aid disbursed). The unearned amount (total aid disbursed less the earned amount) must be returned to the federal government by Goshen College or by you. Goshen College will notify you if you are required to repay any of your federal funds.
Federal funds that may be affected by a 100% withdrawal are the Federal Pell grant, Federal student loans and Federal SEOG grant. Financial aid returned must be allocated in the following order:
- Federal Unsubsidized Student Loan
- Federal Subsidized Student Loan
- Federal PLUS (Parent) Loan
- Federal Pell Grant
- Federal Supplemental Educational Opportunity Grant (FSEOG)
If you withdraw before your federal aid has been paid, you may be eligible for a post withdrawal disbursement. If that is the case, the Financial Aid Office will be notified of your withdrawal and will determine if you are subject to a Post Withdrawal Disbursement. The Accounting Office will issue a check to you if a credit balance results from a Post Withdrawal Disbursement.
The full formula for determining the amount of Title IV federal aid that is earned, and how unearned portions are returned to the federal programs is outlined in CFR 668.22
Room and board and refund information is located below. Students who withdraw completely from the college initiate the process by contacting the Dean of Students. Official contacts must also be made with the academic adviser, resident director (if dorm student), accounting office and student financial aid office. Students who reduce their hours of enrollment must contact their academic adviser and the registrar. Students with changes in housing or food-service contracts must contact the resident director, accounting office and dining service. To receive credit for the unused board contract, the student’s ID and any unused munch money must be returned to the dining hall.
From the day of registration through the first week of classes (drop/add period), the student will receive a 100 percent refund on tuition. The refund percentage for the rest of the semester follows the federal regulations for refunding financial aid. From the eighth day of the semester, the refund percentage is calculated by counting the number of days left in the semester, divided by the total number of days in the semester. As in the federal formula, weekends and breaks are also counted except for scheduled breaks of at least five consecutive days. There is no refund after 60 percent of the semester is completed at which time 100 percent is considered earned. A day by-day refund schedule is posted in the accounting office and can be found below:
Room and board refund rates
Room and board refund rates, following day one, are prorated daily. Refund rates for students enrolled in the May term only are the same as those listed above, but the 100 percent refund rate applies only to days one and two (drop/add period).
Below there are charts that lists the refund dates and percentages for the 2014-15 academic year. The refund is based on a total number of days in each semester.
If you are unable to print this file, we would be happy to fax or mail you a copy. Send us an email specifying your request along with the fax number or mailing address.