If you withdraw from all or some of your classes, you may be required to return or repay financial aid you've received for that semester. What you are required to repay depends on many factors such as the type of aid you've received and what enrollment changes you made. The University utilizes a "freeze date" for the return of Title IV funds calculation. The census date for each term is the "freeze date." Please contact your academic advisor and One Stop to discuss the impacts of withdrawing before you make any final decisions.
When determining if you will need to return or repay financial aid, the University looks at your full enrollment. If you are enrolled in only partial term courses, for example A term or B term courses in fall or spring, the University will use those modular term dates to determine if you need to repay any financial aid based on withdrawal dates. All term dates can be found on the Academic Calendar.
If your enrollment changes and you're required to repay all or a portion of funds, you'll receive a letter to your permanent address with the details.
For questions, contact One Stop Student Services.
Official vs. unofficial withdrawal
- Official withdrawal: to officially withdraw, you must manually cancel or drop your classes in MyU, whether for current or future terms. The date of withdrawal will be stored on your academic record.
- Unofficial withdrawal: If you do not formally withdraw, but stop attending or participating in classes and do not complete any credits, the Financial Aid office will calculate your financial aid earned. The calculation will be based on your last date of class attendance or participation as determined by your instructor and bill you for the unearned portion of the financial aid you received. Instructors indicate the last date of attendance (participation) on the grade submission report when reporting an F or N grade. In the event we are not able to determine an unofficial withdrawal date, we will default to the federally allowed 50% point in time for the calculation for the return of funds.
Repayment information by aid type
The federal formula requires a return of Title IV aid if you received the following federal assistance and withdrew on or before completing 60% of the semester:
- Pell Grant
- Iraq and Afghanistan Service Grant (IASG)
- Supplemental Educational Opportunity Grant (SEOG)
- Federal Direct Subsidized/Unsubsidized Loan
- Federal Direct PLUS Loan
- Other federal loan or grant assistance
The federal government mandates that if you withdraw from all classes, you may only keep the financial aid you have "earned" up to the time of withdrawal. The Title IV funds that were disbursed in excess of the earned amount must be returned to the federal government by the University and/or you.
If you received a credit balance check for financial aid that was credited earlier in the semester (which was to be used for personal expenses or non-University housing expenses), you may be required to return a portion of those funds to the University. This portion represents funds that were intended to pay your education-related expenses through the end of the semester. The amount to be returned to the University will be calculated from the date on which you withdraw (officially, unofficially, or express intent).
Determine earned aid to repay
To determine the amount of aid you earned up to the time of withdrawal, we will divide the number of calendar days you attended classes by the total number of calendar days in the semester (less any scheduled break of 5 days or more). The resulting percentage is then multiplied by the total federal funds that were disbursed to your University student account for the semester. This calculation determines the amount of aid that you are allowed to keep. The unearned amount of aid must be returned to the federal government by the University no later than 45 days after you have withdrawn from the University. You'll receive a letter to your permanent address if your financial aid is reduced and a return is required.
You are responsible for all unearned Title IV aid that the University is not required to return. The amount of unearned Title IV aid due is determined by subtracting the amount returned by the University from the total amount of unearned Title IV aid to be returned.
The loans that remain outstanding consist of the loans disbursed to you minus any loans the University repaid. Loan funds you repay are based on the terms of your promissory note.
The grant amount that remains outstanding is found by subtracting the loans you must repay from the amount of your unearned aid. The amount of your grant overpayment is limited to the amount by which the original grant overpayment exceeds half (50%) of the total Title IV grant funds disbursed and could have been disbursed to you. If the amount is less than $50.00, you are not responsible for returning grant funding.
How returned Title IV aid is used
Funds that are returned to the federal government are used to reduce the outstanding balances in individual federal programs. Financial aid returned by you and/or your parent or the University is allocated in the following order:
- Federal Unsubsidized Direct Loan
- Federal Subsidized Direct Loan
- Federal Direct PLUS Loan
- Federal Pell Grant
- Iraq and Afghanistan Service Grant (IASG)
- Federal Supplemental Educational Opportunity Grant (FSEOG)
- Federal TEACH Grant
- Other federal loan or grant assistance
If you cancel a portion of your enrollment or completely withdraw from classes during the semester, you may be required to return all or a portion of the state of Minnesota financial aid to the state financial aid program from which the aid was received.
This may include but is not limited to:
- Minnesota State Grant
- Student Educational Loan Fund
- Minnesota State Child Care Grant
- Minnesota Public Service Safety Officer Program
If you withdraw from all of your courses or drop credits while maintaining enrollment, state funds are subject to a worksheet calculation based on tuition, fee, housing, and/or meal charge changes, in addition to other contingencies. You'll receive a letter to your permanent address if your financial aid is reduced and a return is required.
If you receive an approved Tuition Refund Appeal, your state of Minnesota financial aid may be adjusted accordingly.
If you cancel a portion of your enrollment or completely withdraw from classes during the semester, you may be required to return all or a portion of your University financial aid to the financial aid program from which the aid was received.
This may include but is not limited to:
- U Promise scholarships
- University loans
- University scholarships
- Departmental scholarships
If you withdraw from all of your courses or drop credits while maintaining enrollment, university funds are subject to a worksheet calculation based on tuition, fee, housing, and/or meal charge changes, in addition to other contingencies. You'll receive a letter to your permanent address if your financial aid is reduced and a return is required.
If you receive an approved Tuition Refund Appeal, your University financial aid may be adjusted accordingly.
Exceptions to Withdrawal
If you are enrolled in only standard term courses, you are not considered fully withdrawn if you withdraw from standard term courses, then enroll in only modular courses within that same term. For example, if you are enrolled in only fall full-term courses (and drop those courses), but then enroll in only fall B term courses.
Taking an official Leave of Absence can impact your financial aid and withdrawal status. Students considering a Leave of Absence should first read through the policy and contact One Stop Student Services with any questions.
If you complete all requirements for graduation from your program prior to the end of the term, you are not considered withdrawn from your program for federal financial aid purposes.
If you are enrolled in only modular courses within a term, for example only A term or only B term courses in fall/spring term, federal regulations outline withdrawal exemptions required to be published for student awareness. You are not considered as fully withdrawn from courses if you successfully complete any of the following:
- One module that includes 49 percent or more of the number of days in the payment period, excluding scheduled breaks of five or more consecutive days and all days between modules;
- A combination of modules that when combined contain 49 percent or more of the number of days in the payment period, excluding scheduled breaks of five or more consecutive days and all days between modules;
- Coursework equal to or greater than the coursework required for the institution’s definition of a half-time student for your career; or
- You provide written confirmation that you will attend a later module course within the same term, beginning no later than 45 days after the end of the previous module. For example, if you are enrolled in only Fall A term courses and withdraw, then enroll in only Fall B term courses.
Post withdrawal disbursements
The University must offer to disburse any earned financial aid that could have been disbursed prior to your withdrawal, but was not. If you receive a post-withdrawal disbursement, any eligible financial aid will be disbursed to you within 45 days. You will have 14 days to opt to borrow any eligible loan funds that could have been disbursed, and the University will disburse those funds within 30 days of the your notice.
All post-withdrawal disbursements are applied to your student account first. A post-withdrawal disbursement will be made as soon as possible but within 45 days of your withdrawal date, or in the case of loans, 30 days after you opt to borrow additional funds. If a late disbursement is required due to an error, it must be made within 180 days of the date the institution determines that you withdrew.
Refunds
If a credit balance occurs on your student account after the return of funds calculation and/or post-withdrawal disbursement, a refund will be sent to you following the standard refund processes. This refund will be issued no later than 14 days after the University has finished adjusting your financial aid based on your withdrawal date.