This requirement applies to students who receive federal student aid (includes Federal Pell Grant, Federal Supplemental Educational Opportunity Grant, Subsidized or Unsubsidized Federal Stafford Loans, Federal PLUS and Grad PLUS loans, but not Federal Work-Study) and completely terminate enrollment prior to completing 60% of the enrollment period.
The amount of Title IV aid an institution must refund to the federal aid programs is determined by the federal return to Title IV funds formula as specified in Section 484B of the Higher Education Act. Hendrix College utilizes software provided by the Department of Education to calculate the amount of aid that must be refunded which was initially utilized to pay institutional charges.
Hendrix students officially withdrawing or requesting a leave of absence at any time during the year must go through the proper process which begins with the Office of the Registrar. This process requires students to visit various campus offices and receive signatures confirming the student and the given office have discussed withdrawal details. The withdrawal date provided by the Registrar’s Office is utilized to document the last date of enrollment for an official withdrawal in the Return to Title IV calculation.
Students who are considering withdrawal may contact the Office of Financial Aid for guidance. All institutional and federal financial ramifications of withdrawal can be discussed at their request. If desired, appropriate calculations will be performed prior to the official withdrawal so that precise fiscal consequences are known.
A student who earns all failing grades based on non attendance may be considered an unofficial withdrawal for the purpose of Return to Title IV. The documented last date of educational activity will be utilized for the return of Title IV funds calculation in these instances if known. If a date cannot be determined, the mid-point of the semester is utilized.
Hendrix College restores unearned aid used to pay institutional charges in the following order within 45 days of the withdrawal determination:
1. Unsubsidized Federal Stafford Loan
2. Subsidized Federal Stafford Loan
3. Federal Perkins Loans
4. Federal PLUS or Grad PLUS
5. Federal Pell Grant
6. Federal Supplemental Educational Opportunity Grant
7. Other Title IV Programs
A repayment may also be required of the student when a “refund check” has been issued to a student from financial aid funds in excess of the amount utilized to pay institutional charges that the student fails to earn by maintaining enrollment. Hendrix College will also restore these funds to the appropriate source in the above order within 45 days of the withdrawal determination.
Students are billed for any unearned aid that was refunded to the federal aid program that caused institutional charges to be unpaid. Additionally, students will be billed for any monies the College returns on the student’s behalf that is owed to the federal aid programs as a repayment of funds disbursed directly to the student for non-institutional charges. Copies of the return to Title IV calculation are provided to the student upon request.
If a student earns more aid than was disbursed, the student may be eligible to receive a post- withdrawal disbursement. Students are notified by mail or email of their eligibility for such a disbursement. Hendrix will send this notification as soon as possible but no later than 30 calendar days from the date the school determines the student withdrew. This notification could include repayment obligations, a request for permission to credit loan funds to cover any unpaid institutional charges, a request for permission to make a post-withdrawal disbursement of grant or loan funds for other than institutional charges, and to seek permission to make a post-withdrawal disbursement of loan funds directly to the student
If it is determined the student is eligible for a post withdrawal of grant funds these will be automatically credited to the student’s account for allowable current outstanding charges within 45 days of the date the school determined the student withdrew. Students without outstanding charges will have grant funding refunded within 45 days of the date the school determined the student withdrew.
The student must confirm in writing within 14 days if the loan funds are still desired. Any loan funds accepted will be disbursed as soon as possible but no later than180 days from the date the school determined the student withdrew. Outstanding institutional charges will be paid first. Remaining loan proceeds will be delivered to the student within 14 days of crediting the student’s account.
If a student withdraws prior to completing verification, only Title IV funds not subject to verification will be included in the Return Calculation, i.e., Federal Direct PLUS loans and Direct Unsubsidized Stafford Loans. If a student subsequently completes verification before the verification deadline but after the initial withdrawal calculation, the school will complete a new Return calculation including all aid that could have been disbursed. The student will be offered any post-withdrawal disbursement as soon as possible and the student will have 14 days to respond to the offer. Any post-withdrawal disbursement that results from the new Return calculation will be made as soon as possible but no later than 180 days after the school determined the student withdrew.
If a student is entitled to an institutional refund of tuition and fees, those monies will first be applied to any outstanding balance to the College before being refunded to the student.
Copies of information from the Student Aid Handbook or other regulatory sources can also be made available at the request of the student.