How Withdrawing from All Classes Affects Financial Aid

Withdrawing from Classes

 

 

 The Impact That Withdrawing from All Courses May Have on Financial Aid

 

When a student totally withdraws from, or totally ceases attending KVCC before the end of the semester, refunds are calculated according to the KVCC Withdrawal Policy and the Federal Financial Aid Refund Policy. The Title IV Financial Aid you receive from the federal government - Pell Grants, Federal SEOG grant, Stafford Loans, or a Federal PLUS loan - is for your use while you are a student.

  • Federal law states that if you stop being a student for any reason before completing 60% of the semester, the government wants the "unearned portion” of that money repaid immediately. The amount that you have to pay back is based on the timing on your withdrawal/cessation of attendance.
  • The longer that you are enrolled as a student, the more money you are entitled to keep. Depending upon when you withdraw or stop attending, the amount of money you have to repay could be significant.

 

If a student attends KVCC after the add/drop period and stops attending all classes before the end of a semester, regulations require the Financial Aid Office to perform a “Return to Title IV” (R2T4) funds calculation.

  • This calculation determines (based on your withdrawal date, your last date of attendance, or if that is unknown, the mid-point of the semester) how much financial aid was not actually earned and must be returned to the government.
  • Students for whom a “Return to Title IV” funds calculation has been performed will receive a letter from the Financial Aid Office informing them of this and instructing them to check with the Cashier’s Office to see their bill.

 

The add/drop period is the first week of each term. During the second week, you may drop one or more courses, receive a W and a 50% refund. If you withdraw from ALL courses, we will perform a federal R2T4 calculation and you could owe money.

It is your responsibility to let the Academic Affairs office know if you are not attending.

  • After the add/drop period, a grade of “N” is given if you never attended a class. You cannot have any financial aid for a class you never attended. If you have not attended at all, but you did not let the Academic Affairs Office know and they find out after your aid has disbursed, KVCC will return all the aid for that class and you could owe money.

  • If you drop a course after the add/drop period, you will receive a grade of “W” for withdrawal.

At the end of the semester, if you are given a grade of “AF” it means that you failed and stopped attending before the end of the semester.  The instructor will record your last date of attendance, so if all of your grades are AF’s, the Financial Aid Office will determine whether you attended until at least the 60% point of the semester and if not, will perform a federal “Return to Title IV” calculation and you could owe money.

Summary:  Even though your aid may have been awarded and disbursed, and even if you may have received a refund check:

  • You have not earned your financial aid until you have completed 60% of the semester. If you stop attending all your classes before then, money will have to be returned to the government, and you could OWE MONEY!

  • If you have student loans and stop attending before your loans are disbursed, then you would be in less than 6 credits at the time of loan disbursal, which means you are not eligible for the loan.