Return Of Title IV Funds

FINANCIAL AID IMPACTS OF CLASS WITHDRAWALS

Return of Title IV Funds. The Higher Education Amendments of 1998 Public Law 105-244 dictates the formula for calculating the amount of aid a student and school may retain when the student totally withdraws from all classes. If students withdraw up through the 60% point in each payment period or period of enrollment, the school must determine the amount of Title IV funds the student has earned at the time of withdrawal. After the 60% point in the payment period or period of enrollment, a student has earned 100% of the Title IV funds.

Institutional and student responsibilities in regard to the return of Title IV funds.

a.State Technical College of Missouri’s responsibilities in regard to the return of Title IV funds include:

• Providing each student with the information given in this policy.
• Identifying students who are affected by this procedure and completing the Return of the Title IV Funds calculation for those students.
• Returning any Title IV funds that are due to the Title IV programs within 45 days of the withdrawal.
• Determining the withdrawal dates for students who withdraw without notification. If a student does not officially withdraw and fails to earn a passing grade in at least one class, for financial aid purposes, State Technical College of Missouri will assume the student has unofficially withdrawn. The student’s last date of attendance will be used for the return calculation.
• Notifying students of the result of withdrawal in regard to their financial aid.

b. The student’s responsibilities in regard to the return of the Title IV funds include:

• Becoming familiar with the Return of Title IV funds procedure. Understanding the college’s official withdrawal process.
• Repaying to the Title IV programs any funds that were disbursed directly to the student and which the student was determined to be ineligible based on the Return of Title IV Funds calculation.

State Technical College of Missouri will notify the student of the amount of any federal grant overpayment. The student must repay the amount in full to State Technical College of Missouri. The college will then repay the U.S. Department of Education. The student must complete these arrangements within 45 days of notification of the overpayment status or risk losing eligibility for future Title IV assistance.

LINE OF AUTHORITY
Responsible Office: Student Affairs
Contact person in that office: Vice President of Student Affairs
EFFECTIVE DATE: June 20, 2025
Approved by President: June 20, 2025