Return to Title IV Funds Policy
Effective: July 1, 2021
When a student totally withdraws, stops attending, is expelled or takes a qualified leave of absence from all classes in a given semester, the Higher Education Act requires the institution to determine whether Title IV funds must be returned by or on behalf of the student. Title IV aid is earned in a prorated manner on a per diem basis up to and including the 60% point in the semester. For example, a student who withdraws completing only 30% of the term will have "earned" only 30% of any Title IV aid received. The remaining 70% must be returned by the school and/or the student. Aid adjustments may cause the student to repay a portion of any financial aid received. Students will be notified of any indebtedness to UHV. Students who withdraw after completing 60% of the term will be considered to have "earned" 100% of the aid.
If a student is thinking about withdrawing from all classes PRIOR to completing 60% of the semester, he or she should contact the Office of Financial Aid (OFA) to see how withdrawal of classes would affect his or her financial aid.
A copy of the “Return of Title IV Funds" worksheet used for this calculation can be obtained from UHV´s Office of Financial Aid. UHV uses the Department of Education’s Return of Title IV Funds on the Web in COD.
Tuition and Fee Refund Policy for All Students
Refunds on all institutional charges, including tuition and fees, will be calculated in accordance with Section 54.006 of the Texas Higher Education Code refund policy when a student drops a class or withdraws from UHV. UHV´s Institutional Refund policy is available at: https://www.uhv.edu/student-billing/tuition-and-fees/drop-and-withdraw-refund-schedule/.
Official and Unofficial Withdrawals
This policy shall apply to all students who officially or unofficially withdraw from all classes at the University of Houston-Victoria (UHV), and receive financial aid from Title IV funds.
The term "Title IV Funds" refers to the Federal financial aid programs authorized under the Higher Education Act of 1965 (as amended) and includes the following programs: Unsubsidized Direct loans, Subsidized Direct loans, Direct PLUS loans, Federal Pell Grants, TEACH Grant, Iraq Afghanistan Service Grant, and Federal SEOG. The calculation does not include the Federal College Work-Study program.
A student’s withdrawal date is: the date the student began the institution’s withdrawal process or officially notified the institution of the intent to withdraw. This can be done by withdrawing in myUHV. For a student who leaves without notifying the institution, the withdrawal date will be determined by the midpoint of the period or the student´s last date of attendance of academic engagement. Active participation by a student in an instructional activity related to the student's course of study that—
(1) Is defined by the institution in accordance with any applicable requirements of its State or accrediting agency;
(2) Includes, but is not limited to—
(i) Attending a synchronous class, lecture, recitation, or field or laboratory activity, physically or online, where there is an opportunity for interaction between the instructor and students;
(ii) Submitting an academic assignment;
(iii) Taking an assessment or an exam;
(iv) Participating in an interactive tutorial, webinar, or other interactive computer-assisted instruction;
(v) Participating in a study group, group project, or an online discussion that is assigned by the institution; or
(vi) Interacting with an instructor about academic matters; and
(3) Does not include, for example—
(i) Living in institutional housing;
(ii) Participating in the institution's meal plan;(iii) Logging into an online class or tutorial without any further participation; or
(iv) Participating in academic counseling or advisement.
If special circumstances exist that prevent a student from beginning the withdrawal process, the Director of Financial Aid will consider these matters on a case by case basis.
The Senior Financial Aid Specialist runs the “All F/W” query to determine who has withdrawn and the date of withdrawal. The Office of Financial Aid also runs the “All F/W" query at the end of each semester. Students who receive a letter grade of “F" and/or “W” in all courses registered for a term will be subject to the Return of Title IV Funds calculation once a withdrawal date is determined. Professors are contacted for determining the student´s last date of academic related activity if a date has not been posted on the gradesheet in PeopleSoft.
A student is not considered withdrawn for Return of Title IV Funds if a student successfully completes:
1.) All requirements for graduation from his or her program before completing the days or hours in the period that the student was scheduled to complete
2.) One module that includes 49% or more of the number of days in the payment period
3.) A combination of modules that when combined contain 49% or more of the numbers of days in the payment period; or
4.) Coursework equal to or greater than the coursework required for the institution’s definition of a half-time student
For students enrolled in Modules
Students in a standard or nonstandard-term program, excluding subscription-based programs, are considered withdrawn if not scheduled to begin another course within a payment period or period of enrollment for more than 45 calendar days after the end of the module the student ceased attending.
UHV will track enrollment in each module (a group of courses in a program that do not span the entire length of the payment period, for example, an intersession or mini-sessions combined to form a term) to determine if a student began enrollment in all scheduled courses.
A student is not considered to have withdrawn if the institution obtains written confirmation from the student at the time of withdrawal that he or she will attend a later module in the same payment period; and for standard and nonstandard term programs, excluding subscription-based programs, that module begins no later than 45 calendar days after the end of the module the student ceased attending.
Title IV Aid Disbursed or Could Have Been Disbursed
The first step of the calculation is identifying all the net Title IV aid disbursed to the student’s account or by check prior to the determination of the student’s withdrawal date. To be aid that could have been disbursed, the Department of Education had processed the student’s FAFSA with an official EFC, SEOG or TEACH grants were already awarded, a loan was certified or originated by the school and the student had a valid MPN, and a PLUS loan had a satisfactory credit check result. Aid that is prohibited from being disbursed prior to the student withdrawing is also aid that could have been disbursed. However, the student will never be able to receive the funds. For example, aid prohibited from being disbursed could be the 2nd disbursement of a loan for the payment period.
Earned Aid
The percentage of Title IV aid earned shall be calculated as follows: # of days completed by student / Total # of days in term. The percent of term completed shall be the percentage of Title IV aid earned by the student. The total number of calendar days in a term of enrollment shall exclude any scheduled breaks of more than five days (Thanksgiving and Spring Break). If the student withdrew after the 60% period, the student has earned 100% of the aid.
In the case of a program that is measured in credit hours, the student does not complete all the days in the payment period or period of enrollment that the student was scheduled to complete. For modules, a student in a program offered in modules is scheduled to complete the days in a module if the student’s coursework in that module was used to determine the amount of the student’s eligibility for title IV, HEA funds for the payment period or period of enrollment.
Unearned Aid
The percentage of Title IV aid unearned (i.e., to be returned to the appropriate program) shall be: 100% minus the percent earned. First, UHV shall return the unearned aid to the federal programs or servicer by debiting the student´s account. The school must return the lesser of the amount of Title IV funds that the student does not earn or the amount in the calculation below:
Total required institutional charges X percent of unearned aid = amount returned to program(s) by UHV
Institutional charges consist of tuition and fee charges assessed prior to the withdrawal and on-campus room and board charges. Initial charges may only be adjusted by those changes the school made before the student withdrew. The following fees will not be included in the total tuition and fees used in the R2T4 calculation: International Program Fee, Late Payment Fee, Reinstatement Fee, Electronic Payment Card Processing Fee, Late Registration Fee, Copyright Fee Registration, NSF Fee, Returned Check Fee, Installment Pay Plan Fees, and Tuition and Fee Loan Origination Fee, Housing and Meal Plan service charges, Housing Deposits, and Housing Damage and Cleaning Fees.
Second, the student shall return the unearned aid to the federal programs or servicer as follows:
Total unearned aid less the institution´s share = amount returned to the program by the student
Distribution of Title IV Funds
Unearned Title IV aid shall be returned to the following programs in the following order:
Unsubsidized Federal Direct Stafford Loans
Subsidized Federal Direct Stafford Loans
Graduate PLUS Loans
Parent PLUS Loans
Federal Pell Grants
Iraq and Afghanistan Service Grants
Federal SEOG
TEACH Grants
Exception: no program can receive a refund if the student did not receive aid from that program.
When the total amount of unearned aid is greater than the amount returned by UHV from the student´s account, the student is responsible for returning unearned aid to the appropriate program(s) as follows:
Unsubsidized Federal Direct Stafford Loans*
Subsidized Federal Direct Stafford Loans*
Federal Graduate PLUS Loans*
Federal Parent PLUS Loans*
Federal Pell Grants**
Iraq and Afghanistan Service Grants**
Federal SEOG**
TEACH Grants**
*Loans amounts are returned with the terms of the promissory note.
**Grant funds due to be returned would be the initial amount of grants for the student to return minus 50% of grant aid disbursed. A student does not have to repay grant overpayments of $50 or less per program.
Time Line for Return of Title IV Funds
Refund notifications and adjusted bills will be sent to the student´s home address on file in myUHV following withdrawal. Students are responsible for any portion of their institutional charges that are left outstanding after Title IV funds are returned. The Student Billing Office will send each student up to three collection notices, allowing outstanding balances to be paid within 90 days. Delinquent accounts are assigned to an outside collection agency and are reported to the credit bureau. Students who have an outstanding balance on their UHV student account will remain ineligible to register for courses in upcoming semesters until the account is paid in full.
Institutional and Student Responsibilities
UHV´s responsibilities in regard to the Return of Title IV funds include:
- Providing each student with the information given in this policy (See the UHV Catalog or UHV Financial Aid Website at https://www.uhv.edu/financial-aid/policies/return-funds-policy/);
- Identifying students who are affected by this policy and completing the Return of Title IV Funds calculation for those students within 30 days of determining the student withdrew and returning any Title IV funds that are due the Title IV programs within 45 days of determining the student withdrew.
- Contact a withdrawn student prior to making a Post-Withdrawal Disbursement of loan funds to explain loan obligations and confirm if the loan funds are still wanted by the student in a within 30 days of the school’s determination of the student withdrawal. Documentation of the student´s decision and contact information must be filed in the student´s folder.
The student´s responsibilities in regard to the return of Title IV funds include:
- Becoming familiar with the Return of Title IV policy and how complete withdrawal affects eligibility for Title IV aid; and
- Returning to UHV any funds that were disbursed directly to the student and which the student was determined to be ineligible for via the Return of Title IV Funds calculation within 45 days of notification.
- Provide a response within 15 days instructing UHV to make a post-withdrawal disbursement, if applicable.
Example
Michael withdrew after attending 11 days of a 110 day enrollment period.
He received a $1000 Pell Grant and a $2500 Federal Subsidized Loan.
His institutional costs were $1000.
Days attended 11 / Days in Period 110 = Percentage completed 10%
Total Title IV aid disbursed $3500 X % Completed 10% = Earned Aid $350
Total disbursed aid $3500 – Total Earned Aid $350 = Unearned Aid $3150 100% - % Completed 10% = % Unearned Aid 90%
% Unearned Aid 90% X Institutional Charges $1000 = Uncoverable charges $900
The lesser of: Unearned Aid to be Returned ($3150) or Uncoverable Charges = $900 Unearned Aid $3150 – Institution´s Share $900 = Student´s Share $2250
The institution will return $900 to the Federal Subsidized Loan servicer.
The student will return $1600 to the Federal Subsidized Loan servicer according to the terms of the promissory note.
Initial amount of unearned aid due from the student $2250 – student´s repayment to the student´s loan $1600 = Initial amount of Title IV Grants for Student to Return $650
Grant aid disbursed $1000 X 50% = $500
$650 - $500 = Title IV Grant Funds for the Student to Return $150
If the student´s account has a balance after returning the financial aid, the student will be billed.
Appeals
Students may make a written appeal for an exception based on their individual circumstances. The appeal should be made to the Financial Aid Director. An appeal would be, for example, if the professors withdrew a student from all the classes. The professors did not provide a last day of academic related activity so the calculation used the midpoint in the term. The student wanted to provide documentation to prove that he or she attended classes longer than the midpoint in the term.
The fees, procedures, and policies listed above supersede those published previously and are subject to change at any time. Refer to the Federal Financial Aid Handbook Volume 5, Section 2 for more details.
60th Percentage Point for the 2023-2024 Terms and Sessions
Fall 2023
- Fall 2023 Regular Session – October 29, 2023
- Fall 2023 8 week 1 Session –September 29, 2023
- Fall 2023 8 Week 2 Session – November 21, 2023
Spring 2024
- Spring 2024 Regular Session – March 29, 2024
- Spring 2024 8 Week 1 Session – February 16, 2024
- Spring 2024 8 Week 2 Session – April 19, 2024
Summer 2024
- Summer 2024 Mini Week Session – May 24, 2024
- Summer 2024 Regular Session - July 12, 2024
- Summer 2024 5 Week 1 Session – July 5, 2024
- Summer 2024 5 Week 2 Session – July 26, 2024
- Summer 2024 8 Week Session - July 16, 2024
Fall 2024
- Fall 2024 Regular Session – October 24, 2024
- Fall 2024 8 week 1 Session –September 27, 2024
- Fall 2024 8 Week 2 Session – November 19, 2024
Spring 2025
- Spring 2025 Regular Session – April 12, 2025
- Spring 2025 8 Week 1 Session – February 21, 2025
- Spring 2025 8 Week 2 Session – April 25, 2025
Summer 2025
- Summer 2025 Mini Session – May 30, 2025
- Summer 2024 Regular Session - July 11, 2025
- Summer 2025 5 Week 1 Session – June 20, 2025
- Summer 2025 5 Week 2 Session – July 25, 2025
- Summer 2025 8 Week 1 Session - July 8, 2025
- Summer 2025 8 Week Session - July 15, 2025