Financial Aid Returning Financial Aid Upon Withdrawal (Return of Title IV Funds)
Federal regulations require that 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.
For the purposes of determining the amount of financial aid that must be returned, the withdrawal date is earliest of: the student’s last date of attendance in an academically related activity, 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, the withdrawal date will be determined to be the earlier of: the midpoint of the payment period (i.e. semester) or the date that Westmont determines that the circumstances leading to withdrawal are beyond the student’s control.
Student Financial Services 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 Federal Student (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 federal programs.
Title IV Funds Earned – The student earns Title IV funds in proportion to the percentage of time officially enrolled in the semester. For example, if the student was enrolled for 25% of the enrollment 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. Student Financial Services will notify the student in writing, within 30 days 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 Westmont charges. Westmont College will return all required funds on behalf of the student.
Funds are returned to the federal program in the following order. Each fund is fully refunded, up to the total amount to be returned, before moving to the next fund:
- Unsubsidized Federal Direct Loan
- Subsidized Federal Direct Loan
- Federal Parent PLUS Loans
- Federal Pell Grants
- Federal Supplemental Educational Opportunity Grants (FSEOG)
- Federal TEACH Grant
- Iraq and Afghanistan Service Grant
Title IV Refund Calculation Process – Student Financial Services
- determines the number of calendar days the student attended classes (the number of calendar days does not include scheduled breaks of 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, and
- 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 Student Financial Services.
Please note that the institutional refund policy is different than the federal Title IV refund policy.
Institutional grant funds will be recovered at the same rate that tuition is refunded under the institutional refund policy.
The policy regarding the return of Cal Grant funds is the same as the Westmont institutional refund policy.