When a student receiving federal Title IV financial aid withdraws from SDSU during the enrollment period, the amount of the Title IV funds (not including Federal Work Study) that the student earned during the enrollment period is calculated as of the student's withdrawal date.
Title IV funds are earned at a fixed rate on a per day basis up to the 60 percent point in the enrollment period. Title IV funds are 100 percent earned if the withdrawal date is after the 60 percent point in that period as long as attendance can be verified.
If the date a student withdraws from SDSU is prior to or on the 60% point of the semester, SDSU is required to determine the portion of the aid disbursed that was "earned" by the student before the withdrawal date. The "unearned" Title IV funds must be returned to the respective federal aid programs. Unearned aid is the amount of disbursed Title IV aid that exceeds the amount of Title IV aid earned based on attendance in the enrollment period.
For students who fail to officially withdraw when they stop attending classes and are assigned an "F" grade for all courses for the semester, the Return to Title IV Funds policy requires SDSU to calculate the "earned" amount based on the 50 percent point of the semester. Unearned federal aid must be returned as described above. If a student was disbursed aid after the 50 percent point of the semester, the student is assumed ineligible for those funds and will be required to return those funds.
In accordance with federal regulations and SDSU policy, if you are eligible for a refund of tuition and fees and housing/meal plan costs, and you are a Title IV aid recipient for the enrollment period, the refund will be returned to the student aid programs. Returned Title IV Funds are allocated in the following order:
- Direct Unsubsidized Loans
- Direct Loans (subsidized)
- Federal Perkins Loans
- Direct PLUS Loans
- Federal Pell Grants
- Academic Competitiveness Grant
- SMART Grant
- Federal SEOG
- Other Title IV Assistance
- Other Federal Sources of aid
- Other State, Private and Institutional Aid.
SDSU's responsibilities in regard to the Return of Title IV funds include
- providing each student with the Return of Title IV funds policy
- identifying students who are affected by this policy and completing the Return of Title IV Funds calculation for those students
- returning any Title IV funds that are due to the Title IV programs
Students who received a credit balance refund of their Title IV aid will be responsible to repay any portion of that aid that is "unearned".
Please contact the Financial Aid Office if you have any questions.