Return of Title IV Funds
Federal regulations require specific refund calculations for students receiving Title IV financial aid who completely withdraw from the University. Under the Return of Title IV (R2T4) regulations, a student is considered to have withdrawn from a payment period or period of enrollment if he or she does not complete all of the days in the payment period he or she was scheduled to complete. Title IV financial aid includes the following federal student aid (FSA) programs: Federal Perkins Loan, Federal Supplemental Education Opportunity Grant (FSEOG), Pell Grant, Direct Subsidized/Unsubsidized Loans and Direct PLUS/Graduate PLUS loans.
The amount of federal aid a student earns is determined on a prorated basis and is based on the date of withdrawal. Once a student completes more than 60% of the payment period, all of the federal aid the student is scheduled to receive for the period is considered as earned. If earned funds are not received prior to the date of withdrawal the student may be due a post-withdrawal disbursement. Students eligible for post-withdrawal disbursements will be notified – Stevens Institute of Technology must receive permission from the student before it can disburse these funds. The student will have 14 days from receipt of notification to accept/decline the post withdrawal disbursement.
Calculations for Return of Title IV Funding are performed as follows:
Determine the date of withdrawal
Calculate the percentage of the enrollment period completed as of the date of withdrawal
Calculate the percentage of Title IV aid the student earned as of the date of withdrawal
Calculate the amount of Title IV aid that must be returned/repaid to the programs
Amounts returned to the Department of Education must be credited to the FSA programs in the following order:
Federal Unsubsidized Loan
Federal Subsidized Loan
Federal Perkins Loan
Federal PLUS Loan
Federal Pell Grant
FSEOG
Other Title IV Grants
Students who receive Title IV funding and who officially withdraw from the University will be subject to the Return of Title IV calculation in determining earned aid. Students who receive Title IV funding and stop attending classes without official notification to the University, whereby a last date of attendance cannot be determined, will be subject to a Return of Title IV calculation based on attendance through the midpoint of the payment period or the last date of an academically related activity in which the student participated.
Charges that were previously paid by federal aid funds which are returned per the Return of Title IV policy calculation will be the responsibility of the student.