KSU Institutional Refund Policy - Return of Title IV Funds Policy

As part of the Higher Education Amendments of 1998, Congress passed new provisions governing what must happen to your Federal financial assistance if you completely withdraw from school in any semester. If a student withdraws from Kennesaw State University, then the university or the student may be required to return some of the federal aid and/or HOPE scholarship funds awarded to the student. The student may also be eligible for a refund of a portion of the tuition and fees paid to KSU for the semester.

KSU Withdrawal Process

To completely withdraw from classes at KSU, a student must complete a KSU Withdrawal Form in the Registrar’s office in Kennesaw Hall. The date the Registrar’s office signs and approves the withdrawal form is the official date KSU will use in the calculation of any tuition refund or refund to Federal student aid and/or HOPE scholarship programs. Students who do not formally and completely withdraw are not eligible for a refund.

KSU Institutional Refund Policy

The refund amount for students withdrawing from KSU is based on a pro rata percentage determined by dividing the number of calendar days in the semester the student completed by the total calendar days in the semester. The total calendar days in a semester includes weekends, but excludes breaks of five days or more. The unearned portion shall be refunded up to the point in time that the amount equals 60%. Students that withdraw from KSU after 60% of the semester has been completed are not entitled to a refund of any portion of institutional charges.

KSU Return of Title IV Federal Aid and HOPE Scholarship Policy

In general, new Federal and State regulations assume that you “earn” your Federal financial aid awards and HOPE directly in proportion to the number of days of the term that you attend until you withdraw. If you completely withdraw from school during a term, the school must calculate according to a specific formula the portion of the total scheduled financial assistance you have earned and are therefore entitled to receive up to the time you withdraw. If you or KSU receives more assistance than you earn, the unearned excess funds must be returned to the Department of Education or State HOPE office. On the other hand, if you or KSU receives less assistance than the amount you have earned, you may be able to receive those additional funds.

The portion of your Federal student aid or HOPE scholarship you are entitled to receive is calculated on a percentage basis by comparing the total number of days in the semester to the number of days you completed before you withdrew. For example, if you complete 30% of the semester, you earn 30% of the assistance you were originally scheduled to receive. This means that 70% of your scheduled awards remain unearned and must be returned to the Department of Education or State HOPE office.

Once you have completed more than 60% of the semester, you have earned all (100%) of your assistance. If you withdraw from KSU before completing 60% of the semester, you may have to repay any unearned financial aid funds that were already disbursed to you.

If you received excess funds based on this calculation, KSU must return a portion of the excess equal to the lesser of:

The student’s institutional charges multiplied by the unearned percentage of funds, or

The entire amount of the excess funds

If KSU is not required to return all the excess funds, you must return the remaining amount. The order that KSU and you must return these funds is as follows:

Unsubsidized Federal Stafford Loan

Subsidized Federal Stafford Loan

Federal Perkins Loan

Federal PLUS Loan

Federal Pell Grant

Federal SEOG Grant

Other Title IV Programs

HOPE Scholarship Program

If you are required to repay loan funds, this is done in accordance with the terms of your loan promissory note. If you must repay any grant funds, the law states that you are not required to repay 50% of the grant assistance that you were calculated to repay. Any grant amount that a student must repay is considered a grant overpayment and therefore must be repaid to KSU within 45 days.

Example

1.

A student receives the following financial aid:

2.

The student withdraws from KSU after completing 10.4 % of the total semester.

3.

Federal law states that this student has “earned” 10.4 % of federal aid disbursed:

4.

KSU and the student will share the 89.6 % of unearned aid to be returned. KSU’s portion is determined by multiplying the total charges ($1177.00) by the unearned percentage (89.6 %) which will be $1054.59. This will be returned to the Subsidized Loan Program.

5.

The student will be responsible for the remaining balance

6.

The balance of the subsidized Stafford loan, $220.41 will be returned by the student in accordance with terms of the promissory note. The remaining $158.60 would be returned at a 50% rate to the Federal Pell grant program.

7.

This student must make arrangements with the KSU Bursar’s Office to repay $79.30 to the Federal Pell Grant program within 45 days.

Similar information about Kennesaw's Return of Title IV Federal Aid & HOPE Scholarship Policy is also available from the KSU Registrar.

Effective Date

Kennesaw State University's current institutional refund policies regarding Title IV and HOPE Scholarship funds have been in effect since August 19, 2000.