CLEVELAND COMMUNITY COLLEGE

CLEVELAND COMMUNITY COLLEGE
STUDENT FINANCIAL AID REFUND POLICY

Any student withdrawing, or planning to withdraw, or who stops attending class must consult with the Financial Aid Director on any charges that are to be repaid or refunded. (Students must attend beyond the 60% point of each semester to be exempt from repayments.)

Cleveland Community College enforces a fair and equitable refund policy that follows mandated federal, state, and institutional requirements. There are currently two possible refund policies for a Financial Aid student who does not complete the enrollment period for which they were charged under the Student Financial Assistance Program (SFA). The institution will determine and apply the appropriate calculation, which yields the largest eligible refund to the SFA program.

Institutional/State Calculation

A 100% refund if student withdraws before classes meet.
A 75% refund if student withdraws before the 10% point of the semester

Federal Refund Calculation

Withdraws before first day of class equals 100% refund
Withdraws on or before the 60% point of the semester, student may owe an overpayment to the institution or Department of Education.
Withdraws after the 60% point of the semester, student has earned 100% of financial assistance and does not owe any overpayment.

There are five steps that need to be followed in determining a refund or overpayment:

Determine the percentage of the semester the student attended before withdrawing.

Determine the amount of Title IV aid earned by the student based on the percentage of time of enrollment.

Compare the amount earned by the student to the amount disbursed or could have been disbursed to the student. If less aid was disbursed than was earned, the student may receive a post-withdrawal disbursement for the difference. If more aid was disbursed than was earned, determine the amount of Title IV aid that must be returned.

Allocate the responsibility for returning the unearned aid between the school and the student.

Distribute the unearned aid back to the Title IV programs either by the institution or the student.

The amount of assistance a student earns is calculated on a pro-rata basis. For example, if you completed 40% of the semester, you have earned 40% of the financial assistance that you were scheduled to receive.

If you are responsible for returning funds, you do not have to return the full amount. The law provides that 50% of the overpayment received by the student does not have to be returned.

If a student has an overpayment (monies that must be paid back) and fails to repay that amount to either the institution or Department of Education, that student loses eligibility for all Title IV program funds. The only way to regain eligibility is to make satisfactory arrangements with the institution or Department of Education.

The student’s withdrawal date or last day of attendance (LDA) must be established to calculate the refund. The following will be used as a guide to determine that date:

ACTION: Student officially withdraws from all classes

WITHDRAWAL/LDA The date the student notifies the school of withdrawal

9; ACTION: Student drops out completely (Unofficial withdrawal)

9; WITHDRAWAL/LDA The last date of student’s recorded attendance.

9; ACTION: Leave of absence

9; WITHDRAWAL/LDA The last date of student’s recorded attendance.

ACTION: Expelled

WITHDRAWAL/LDA Date of expulsion.

All institutional charges will be subject to the refund policy. These charges include tuition, equipment, books, or supplies issued to the student. The documented cost of returnable equipment and books will be included in institutional cost if not returned in good condition within 20 days of the students withdrawal. That is to say, students who purchased equipment/books/supplies from financial aid sources must return the items in good condition to the Financial Aid Office within 20 days of withdrawal.

Refund example: Student attends four weeks of classes and officially withdraws. Withdrawal date established. Student attended 20 of the 80 days in the semester ( 20/80= 25%). Student has earned 25% of their financial assistance. Institutional charges are counted in the refund formula because student failed to return books. After taking into consideration the student’s earned aid and the institutional charges, it is concluded that the student owes a refund back to the institution or Department of Education. However, the student is only responsible for 50% of the amount owed.

Refund example: Student attends eight weeks of classes before unofficially withdrawing. Student does return books and supplies. Withdrawal date used is the students last date of attendance. Student attended 40 of the 80 days in the semester (40/80= 50%). Student has earned 50% of their financial assistance. However, after comparing the amount earned by the student to the amount disbursed or that could have been disbursed to the student, it was discovered the student is eligible for a late disbursement. See Post-Withdrawal Disbursements.

Post-Withdrawal Disbursements

If a student has received less aid than that student earned, he/she may be eligible for a Post-Withdrawal Disbursement. If a student is eligible for this disbursement, the school will notify the student in writing of the amount they are eligible. The student will have 14 days to accept or decline the disbursement. If an acceptance is not received within this timeframe, the institution will not make the Post-Withdrawal Disbursement to the student. In this case, the student will receive another letter from the institution stating why the Post-Withdrawal Disbursement is no longer valid.

Any student withdrawing or anticipating withdrawal should consult with the Financial Aid Department for information on any charges that are to be refunded or repaid.

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