7.6 Return of Title IV Funds
USSA’s Financial Aid Office is governed by rules concerning Title IV Federal Student Aid funds, which include student loans.
USSA awards aid to students based on 100% completion of courses. If a student withdraws, USSU must determine the percentage of financial aid “earned” for that course. If students do not complete 60% of the academic term, they have not “earned” the full allotment of financial aid. In this case, USSU is required to return the “unearned” portion of aid to its originating source (i.e., the student-loan lender).
16-Week Course Students: Upon withdrawal, if USSU determines that a student is due a refund, it will credit the student’s account. USSU determines the amount, if any, that must be returned on their behalf. If return of aid is required, USSU will use any credit balance a student may have to fulfill this responsibility. If those funds are more than USSU is required to return, the student will receive the remainder. In most instances, however, those funds are not enough to cover the amount, which could leave the student owing USSU a balance.
To determine if funds must be returned, USSU determines how much aid was earned. Each 16-week term contains 112 class days. Once the student has completed 60% of the academic term, or 68 days, it is considered that 100% of the funds are earned. However, if the student completed only 50% or 56 days, USSU would be required to return only 50% of aid awarded/disbursed to the student during that term. Therefore, if USSU awarded and disbursed $2,800.00 of aid to the student, USSU would have to return $1,400.00 to the federal government. Note that in this situation, the student would not be afforded a refund from USSU as 56 days exceeds the 38-day maximum, as stated in the USSU Refund Policy found in Section 8 of this catalog.
Students can determine the amount of their personal situations by using the same formula. The number of days attended is determined by the start day of the course in the Academic Calendar, based on seven (7) schooldays per week. This number can then be compared to 112 to determine what percentage of aid was earned. If less than 60%, the student can compare that percentage to the term’s financial aid award amount to determine the amount USSU will return on a student’s behalf to the student-loan lender.
5-Week Course Students: USSU awards aid to students based on 100% completion of courses. If students withdraw, USSU must determine the percentage of financial aid “earned.” If students do not complete 49% of the academic term, they have not “earned” the full allotment of financial aid. In this case, USSU is required to return the “unearned” portion of aid to its originating source (i.e., the student-loan lender).
Upon withdrawal, if USSU determines that a student is due a refund, it will credit the student’s account. USSU determines the amount, if any, that must be returned on their behalf. If return of aid is required, USSU will use any credit balance a student may have to fulfill this responsibility. If those funds are more than USSU is required to return, the student will receive the remainder. In most instances, however, those funds are not enough to cover the amount, which could leave the student owing USSU a balance.
