This policy applies to students who complete 60% or less of the enrollment period (i.e., Fall, Spring or Summer session) for which they received Federal Title IV aid. A student who drops a class but still completes one or more classes does not qualify for the Return of Title IV Funds policy. The term “Title IV aid” refers to the following Federal financial aid programs: Unsubsidized Federal Direct Loans, Subsidized Federal Direct Loans, Federal Direct PLUS Loans, Federal Pell Grants, and Federal SEOG (Supplemental Educational Opportunity Grant).
To conform to the policy, Metropolitan College of New York (MCNY) must determine the student’s approved leave of absence date or withdrawal date. The withdrawal date is based on the earlier of the two:
- The last date of attendance at an academically-related activity by a student, or
- the date the student began the withdrawal process or officially notified MCNY of their intent to withdraw.
The calculation required determines a student’s earned and unearned Title IV aid based on the percentage of the enrollment period completed by the student. The percentage of the period that the student remained enrolled is derived by dividing the number of days the student attended by the number of days in the period. Calendar days (including weekends) are used, but breaks of at least 5 days are excluded from both the numerator and denominator.
Until a student has passed the 60% point of an enrollment period, only a portion of the student’s aid has been earned. A student who remains enrolled beyond the 60% point is considered to have earned all awarded aid for the enrollment period.
Earned aid is not related in any way to institutional charges. In addition, the College’s refund policy and Return of Title IV Funds procedures are independent of one another. A student who was approved for a leave of absence or withdraws for the semester, may be required to return unearned aid and still owe the college for the course(s).
The responsibility to repay unearned Title IV aid is shared by MCNY and the student. For example, the calculation may require MCNY to return a portion of Federal funds to the Federal Title IV programs. In addition, the student may also be required to return funds based on the calculation. A student returns funds to the Federal Direct Loan programs based on the terms and conditions of the promissory note of the loan. A student who receives a Federal Pell Grant may be required to repay 50% of the funds received. The return of Federal aid is in the following order: Unsubsidized Federal Direct Loans, Subsidized Federal Direct Loans, Federal Direct PLUS Loans, Federal Pell Grants, and Federal SEOG (Supplemental Educational Opportunity Grant).