All students receiving federal financial aid (Pell, FSEOG, ACG) will be required to repay all or part of any aid received to the appropriate federal program if they withdraw from all classes before the 60 percent time period each semester.
Please read the following and call the financial aid office if you have any questions.
RETURN OF TITLE IV FUNDS (PELL, FSEOG, ACG) POLICY
Please contact the Financial Aid Office before you withdraw from college. This will enable us to further explain the new policy outlined below. You may be required to repay a portion of your grant when you withdraw from all of your classes during any semester.
PLEASE READ THIS POLICY. YOU MAY HAVE TO RETURN MONEY IF YOU WITHDRAW FROM THE COLLEGE BEFORE THE END OF THE SEMESTER!
RETURN OF FUNDS POLICY
Federal regulations require each COLLEGE to have a written policy for the refund and repayment of federal aid received by students who withdraw from the college during a term for which payment has been received. These policies are effective only if the student completely terminates enrollment (i.e., cancels his/her registration, withdraws, or is dismissed) or stops attending classes before completing more than 60 percent of the enrollment period.
REFUND POLICY:
Refunds will be made in accordance with the Virginia Community College System refund policy.
REPAYMENT POLICY:
The amount of Title IV aid that a student must repay is determined by the Federal Formula for Return of Title IV funds as specified in Section 484B of the Higher Education Act. This law also specified the order of return of the Title IV funds to the programs from which they were awarded.
A repayment may be required when cash has been disbursed to a student from financial aid funds in excess of the amount of aid the student earned during the term. The amount of Title IV aid earned is determined by multiplying the total Title IV aid (other than FWSP) for which the student qualified by the percentage of time during the term that the student was enrolled.
If less aid was disbursed than was earned, the student may receive a late disbursement for the difference. If more aid was disbursed than was earned, the amount of Title IV aid that must be returned (i.e., that was unearned) is determined by subtracting the earned amount from the amount actually disbursed.
The responsibility for returning unearned aid is allocated between the college and the student according to the portion of disbursed aid that could have been used to cover college charges and the portion that could have been disbursed directly to the student once college charges were covered. LFCC will distribute the unearned aid back to the Title IV programs as specified by law. The student will be billed for the amount he/she owes to the Title IV programs and any amount due to the college resulting from the return of Title IV funds used to cover college charges.
Student records will be frozen if unearned aid is not repaid to the college. Students will not be allowed to return to LFCC until the account is cleared. Students will not be eligible for financial aid until the unearned aid is repaid.