Dropping and Resigning Policy
Dropping a Class or Classes
If you drop a class or classes, you may be required to pay back the financial aid that you received. The federal refund policy, your class attendance, and your enrollment status all influence the repayment requirements. If you are considering dropping a class or classes, contact our office to determine the financial aid implications specific to your situation.
Resigning from ALL Classes
- Return of Title IV Funds Policy
- The Return of Title IV Funds Policy, as defined by the Federal government, determines the formula for calculating the amount of Title IV funds a student and school can retain when a student withdraws from ALL courses prior to completing more than 60% of a semester or session. Federal financial aid regulations have defined that a student who withdraws from all courses prior to completing more than 60% of a semester or session has not earned 100% of the federal financial aid that was received, and the student and/or the school may be required to return a portion of his or her federal aid. If you are thinking about withdrawing from all classes prior to completing more than 60% of the semester or session, you should read the policy below to understand how your withdrawal will affect your financial aid.
This policy applies to students who withdraw from ALL courses and receive financial aid from Title IV funds.
The term “Title IV Funds” refers to the Federal financial aid programs authorized under the Higher Education Act of 1965 (as amended) and includes the following programs:
- Unsubsidized Federal Stafford Loan
- Subsidized Federal Stafford Loan
- Federal Perkins Loan
- Federal PLUS Loan
- Federal Pell Grant
- Federal Supplemental Educational Opportunity Grant (FSEOG)
- Leveraging Educational Assistance Partnership Grant (LEAP)
- Any other Title IV aid, excluding Federal Work-Study
The Federal government requires that schools determine the amount of Title IV funds a student has earned when he or she has ceased attendance in all courses by ‘officially’ or ‘unofficially’ resigning from school. An official withdrawal occurs when a student notifies the University of his or her intent to withdraw by following the University’s resignation process. An unofficial withdrawal occurs when a student ceases attendance in classes but does not notify the University through the official resignation process.
The amount of Title IV assistance earned by the student is determined by the number of days the student has spent in academic attendance during a specific semester before ‘officially’ or ‘unofficially’ resigning. The school and/or the student must then return the unearned portion of Title IV funds to the appropriate programs.
A student’s withdrawal date is:
- the date the student began the University’s withdrawal process or officially notifies the University of his or her intent to withdraw, or
- the midpoint of the period for a student who leaves without notifying the University, or
- the student’s last date of attendance, as documented by the school, at an academically related activity. Examples of academically related activities include an exam, a tutorial, computer-assisted instruction, academic counseling, academic advisement, turning in a class assignment, or attending a study group.
At the point of withdrawal, the portion of your Federal grants and loans you are entitled to receive is calculated on a percentage basis by dividing the total number of calendar days you completed before you withdrew by the total number of calendar days in the semester or session. Scheduled breaks of five consecutive days or more are excluded.
For example, if you complete 30% of the semester, you earn 30% of the assistance you were originally scheduled to receive. This means that 70% of your scheduled awards remain unearned and must be returned to the Federal government. Once you have completed more than 60% of the semester, you have earned all (100%) of your assistance.
- Fall 2008 semester - If a student resigns on or after October 17, 2008, and obtains all instructors’ signatures verifying that he/she attended classes at least one time, he/she will earn 100% of the federal financial aid received.
- Spring 2009 semester - If a student resigns on or after March 26, 2009, and obtains all instructors’ signatures verifying that he/she attended classes at least one time, he/she will earn 100% of the federal financial aid received.
Once the Return of Title IV Funds calculation is completed, if the University is not required to return all of the excess funds, you must return the remaining amount. Any loan funds that you must return need to be repaid according to the terms of your promissory note. If you must return any grant funds, the law provides that the amount you must repay is to be reduced by 50%. This means that you only have to return half of any excess grant funds you receive. If Nicholls is required to repay Federal aid funds, you are responsible for any balance owed to the University as a result of the repayment.
NOTE to Student Reservists Called to Active Duty: According to the Department of Education’s most recent clarification on Return of Title IV Funds for student reservists called to active duty, if a Title IV eligible student withdraws because of military requirements, the school must perform the Return of Title IV Funds calculations that are required by the statute and regulations. This means that we still have to determine whether Title IV funds must be returned to the Title IV programs and/or your FFEL lender, and you may be required to payback a portion of your federal aid. If Nicholls is required to repay Federal aid funds, you are responsible for any balance owed to the University as a result of the repayment.
NOTE to Students Assigned “I” Grades: According to the Department of Education, if you complete a semester with all “F’s” and one or more “I” grades OR are assigned a grade of “I” in all courses, we are required to follow the Return of Title IV Funds Policy, as defined above, to determine if you unofficially withdrew from the University and whether Title IV Funds must be returned to the Title IV programs and/or FFEL lender. If funds must be returned, you may be required to payback a portion of your federal aid. If Nicholls is required to repay Federal aid funds, you are responsible for any balance owed to the University as a result of the repayment.