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If a student completely withdraws from Oglethorpe University during
the first 60% of the payment period and has received federal student
financial assistance, the school must calculate the amount of
federal funds the student “did not earn”. This process is required
to determine if the school and/or the student must return funds to
the federal programs.
The percentage “not earned” is the complement of the percentage
of federal funds “earned.” If a student withdraws completely before
completing 60% of the payment period, the percentage “earned” is
equal to the percentage of the payment period that was completed. If
the student withdraws after completing 60% of the payment period,
the percentage earned is 100%. If the student has received more
federal assistance than the calculated amount “earned,” the school,
the student or both, must return the unearned funds to the
appropriate federal programs. The withdrawal date used to measure
the period of time enrolled is the date the school becomes aware the
student intends to withdraw. The withdrawal date used by the
University for academic and billing purposes could be different.
The school must return the lesser of: the amount of federal funds
that the student does not earn; or the amount of institutional costs
that the student incurred for the payment period multiplied by the
percentage of funds “not earned.” The student must return (or repay,
as appropriate) the remaining unearned federal funds. An exception
is that students are not required to return 50% of the grant
assistance received that is their responsibility to repay.
It should be noted that the Institutional Refund Policy and the
federal Return of Title IV Funds Policy are separate and distinct.
If a student completely withdraws after Oglethorpe’s refund period
has passed and before the 60% point of the payment period, he/she
may owe a balance to the university that was previously covered by
federal aid. Students receiving federal assistance are advised to
consult the Office of Financial Aid before initiating the withdrawal
process to see how these new regulations will affect their
eligibility.
Regulations require the return of funds in the following order:
- Unsubsidized Federal Stafford loans
- Subsidized Federal Stafford loans
- Federal Perkins loans
- Federal PLUS loans
- Federal Pell Grants
- Federal Supplemental Educational Opportunity Grants (FSEOG)
- Other federal aid programs.
Funds received from campus work programs will not be refunded. |
