• Home

• Academics

  • Associate
  • Bachelor's
  • Master's
  • Certificates
  • Undergraduate Catalog
  • Graduate Catalog
  • Schedule of Classes
  • Community of Scholars
  • Faculty Directory

• Admissions

  • Admissions
  • First Time Undergraduates
  • Transfer Students
  • Transfer Credits
  • Graduate Students
  • International Students
  • School of Education
  • FAQs

• Tuition & Financing

  • Tuition & Fees
  • Paying for School

• Community

  • Meet the Students
  • Faculty
  • Alumni
  • Student Affairs
  • Career Services
  • Affiliations
  • Campus Store

• Why APU

Return of Federal Financial Aid Funds after Disenrollment (Separation from the University)

  Watch brief videos with answers to your questions on Financial Aid TV.

If you withdraw from the University, Financial aid may be adjusted based on the percentage of the semester you completed.  A portion of the funds must be returned to the Federal Government.

Up through the 60% point in each payment period or period of enrollment, a pro rata schedule is used to determine how much FSA Program 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 FSA Program funds.

The percentage of the payment period or period of enrollment completed is determined by the total number of calendar days in the payment period or period of enrollment for which the assistance is awarded divided into the number of calendar days completed in that period as of the day the student withdrew. Scheduled breaks of at least five consecutive days are excluded from the total number of calendar days in a payment period or period of enrollment (denominator) and the number of calendar days completed in that period (numerator).

Title IV (Federal Financial Aid) funds credited to outstanding loan balances for the payment period or period of enrollment for which a return of funds is required must be returned in the following order:

• Unsubsidized Stafford Loan Program
  
  
• Subsidized Stafford Loan Program
  
  
• Unsubsidized Direct Stafford loans (other than PLUS loans)
  
  
• Subsidized Direct Stafford loans
  
  
• Federal Perkins Loan Program
  
  
• Graduate PLUS loans
  
  
• Federal PLUS loans
  
  
• Federal Direct PLUS loans

If funds remain after repaying all loan amounts, those remaining funds must be credited in the following order:

1. Federal Pell Grants for the payment period for which a return of funds is required.
   
   
2. Academic Competitiveness Grant & National SMART Grant.
   
   
3. Federal Supplemental Educational Opportunity Grant (FSEOG) for which a return of funds is required.
   
   
4. Other assistance under this Title for which a return of funds is required.

Students will be notified of any refunds due to a lender on their behalf through the mailed exit interview material.  Refunds to any of the Title IV or State programs will be paid within 45 days from the date of determination.

Return of Unearned FSA Funds
The school must return the lesser of the following:

• The amount of FSA Program funds that the student does not earn; OR
  
  
• The amount of institutional costs that the student incurred for the payment period or period of enrollment multiplied by the percentage of funds that was not earned.  When we mean earned, this means the percentage of funds that was earned over time (during the semester) by the student. 

The student (or parent, if a Federal PLUS loan) must return or repay, as appropriate:

• Any FSA loan funds in accordance with the terms of the loan
  
  
• The remaining unearned FSA Program grant (not to exceed 50% of the grant) as an overpayment of the grant.

If a student earned more aid than was disbursed to him/her, the institution would owe the student a post-withdrawal disbursement which must be paid within 120 days of the student's withdrawal.

The institution is required to return the amount of Title IV funds for which it is responsible no later than 45 days after the date of the determination of the date of the student's withdrawal.

Students Who Officially Withdraw During a Semester
Students who elect to withdraw from the university during a semester must do so by dropping or withdrawing from all of their courses in the semester and then completing the Disenrollment Request Form. When this occurs the institution will review the official date of withdrawal and compare the total number of calendar days in a payment period or period of enrollment (denominator) and the number of calendar days completed in that period (numerator).

Once the lesser of the amount of FSA Program funds that the student does not earn or the amount of institutional costs that the student incurred for the payment period or period of enrollment multiplied by the percentage of funds that was not earned is completed, the amount (if any) unearned funds are returned to the lender or back to COD.  Students who as the result of officially withdrawing have Federal funds returned and now owe money to the institution are notified by e-mail and a ‘Balance Hold’ is placed on the account.