Drops, Withdrawals and Repayment of Funds

In accordance with federal regulations, students who receive federal financial aid and withdraw from or receive FW grades in all of their classes for the semester may be required to repay any unearned grant funds they have received. Students who drop or withdraw from a portion of their classes may have an adjustment made to their disbursement or may be required to repay a portion or the entire grant(s). All money received in the form of Pell Grants and/or Supplemental Educational Opportunity Grants (FSEOG) will be subject to repayment requirements. The amount will be calculated by the College using the formula specified by federal government. Funds are returned to the appropriate federal program based on the percentage of unearned aid using the Federal formula.

What Happens if I Drop SOME of My Classes After Receiving My Financial Assistance?

Examples:

• If you begin the semester enrolled in 12 units, are paid full-time on the first disbursement and then you drop to 6—8.5 units, your subsequent disbursements will be adjusted accordingly to pay you as a half-time student. If subsequent disbursements cannot be adjusted, you will owe the college back funds you were not eligible to receive. Failure to repay may lead to you being reported to the Department of Education for an overpayment and a hold placed on your school records at College of the Desert.

• If you begin the semester enrolled in 12 units, are paid full-time on the first disbursement and then you drop to 9—11.5 units prior to the second disbursement your second and third disbursement will be adjusted/reduced accordingly to pay you as a three quarter time student. If subsequent disbursements cannot be adjusted, you will owe the college back funds you were not eligible to receive. Failure to repay may lead to you being reported to the Department of Education for an overpayment and a hold placed on your school records at College of the Desert.

• If you begin the semester with 12 units, are paid full-time on the first disbursement and then you drop below 6 units you will not receive a subsequent disbursement and you will have to repay a portion (or all) of the grant. Failure to repay may lead to you being reported to the Department of Education for an overpayment and a hold placed on your school records at College of the Desert.

What Happens if I Drop ALL of My Classes After Receiving My Financial Assistance?

• If you received financial aid and then withdrew from all of your classes or received FW grades prior to completing 60% of the term you will be subject to repayment of federal financial aid funds (Pell, FSEOG). Based on the date of withdrawal the Financial Aid office uses a federal formula (R2T4 calculation) to determine the amount of “unearned” federal financial aid funds you received.

• If the amount of financial aid disbursed to you is greater than the amount you earned you will be required to return a portion of the funds. College of the Desert must return the amount of Title IV funds for which it is responsible no later than 45 days after the date of the determination of the date of your withdrawal. If funds are not returned within 30 days from the date you are notified in writing to repay you will be reported to the Department of Education as an overpayment and you will not be able to receive financial assistance at any school until the overpayment has been resolved. In addition, your school records will be placed on HOLD.

• If the amount of financial aid disbursed to you is less than the amount you earned you may be eligible to receive a post withdrawal disbursement which must be paid within 45 days that the institution became aware of your withdrawal.

• In the event that you have to repay funds you will be notified in writing of the requirement to return financial aid funds which will include the amount due. You will not be eligible for further financial aid funds until the amount owed is paid in full. In addition, your school records will be placed on HOLD and you will not be able to register for classes or request academic transcripts until the amount owed is paid in full.

At College of the Desert, a student’s withdrawal date is:

1. The date the student officially withdraws through the student portal or in person with Admissions and Records or

2. The date the instructor officially withdraws the student for failure to adhere to attendance requirements after 20% of the course is completed.