If a student officially withdraws from all classes prior to the 60% point of the semester, the student will be required by federal regulations to repay any unearned portion of his/her financial aid. Each day a student attends class, he or she is earning a portion of their financial aid. This overpayment is known as a Return to Title IV calculation (R2T4). The amount of aid to be returned for official withdrawals will be calculated using the date of withdrawal if the LDA is not known. The amount of aid to be returned for unofficial withdrawals (all F, I, or R grades or combination of F’s and withdrawals) may be calculated using the 50% point of the semester, or the LDA if known. Please note: Isothermal Community College is a school that is not required to take attendance and therefore may not have recorded LDA’s for students. Last date of attendance refers to an academically-related activity as defined in the Federal Student Aid Handbook. This is considered the last date an assignment was submitted in an online course. The student will be notified in writing the amount owed to the college and/or Department of Education. Failure to make payment will result in the student being reported to the Department of Education and/or a collection agency. This action will also interrupt future financial aid awards. The student will not be able to register for classes, receive transcripts, or grade reports. To avoid an R2T4 overpayment, the student must attend beyond the 60% point of the semester. The student is then considered to have earned all of his or her Title IV aid. The 60% date is published on our Dates and Deadlines page. If a student is only enrolled in short term classes, the 60% date may vary.
Per the NC State Education Assistance Authority’s Return of Funds Policy for Withdrawing Students, any student who withdraws, officially (withdrawals-W) or unofficially (all F, I, or R grades or combination of F & W), is subject to the repayment of State grant funds issued. Under this policy, the State grant repayment will be 50% of the student’s original grant amount if they failed to complete the entire semester.
Any student withdrawing or anticipating a withdrawal should consult with the Financial Aid Office for information on any charges that are to be refunded or repaid.