Return of Title IV (R2T4) Funds Policy
To remain eligible for federal financial aid, students must actively participate in their courses by attending classes, completing coursework, and taking required examinations throughout the enrollment period.
Federal regulations (34 CFR 668.22), known as the Return of Title IV (R2T4) policy, require Enterprise State Community College to determine the amount of federal financial aid a student has earned when the student withdraws, either officially or unofficially, from all courses before completing 60% of the semester. This requirement also applies to students who stop attending classes without completing the official withdrawal process.
Title IV aid programs subject to this policy include:
- Federal Pell Grant
- Federal Supplemental Educational Opportunity Grant (FSEOG)
- Federal Direct Subsidized Loan
- Federal Direct Unsubsidized Loan
- Federal Direct PLUS Loan
Federal financial aid is awarded with the expectation that a student will attend and participate in coursework for the entire enrollment period. When a student withdraws or ceases attendance before completing more than 60% of the term, only a portion of the aid may be considered earned. Any unearned funds must be returned to the applicable federal financial aid programs according to federal regulations.
The amount of aid earned is based on the percentage of the semester completed. For example, a student who withdraws after completing 30% of the term is generally considered to have earned 30% of the aid awarded. The remaining unearned portion may be required to be returned. Once a student completes more than 60% of the semester, all federal financial aid for that term is considered earned, and no return calculation is required.
A student who fails to earn a passing grade in a semester may be subject to the R2T4 calculation. If documentation confirms that the student completed the semester and earned at least one failing grade due to academic performance, an R2T4 calculation is not required. However, if the student stopped attending classes and failed all courses because of non-attendance, federal regulations require the college to perform an R2T4 calculation.
Determination of Withdrawal Date
The withdrawal date used for R2T4 calculations depends on whether the withdrawal was official or unofficial.
Official Withdrawal
An official withdrawal occurs when a student completes the college’s formal withdrawal process. The withdrawal date is the date the student begins that process through the Office of Admissions.
Students considering withdrawal are encouraged to contact the Financial Aid Office to discuss the potential impact on their financial aid eligibility before withdrawing.
Unofficial Withdrawal
An unofficial withdrawal occurs when a student stops attending and participating in all courses without completing the official withdrawal process or notifying the college of their intent to withdraw.
For students who unofficially withdraw, the withdrawal date is generally the midpoint (50%) of the semester. However, if the college can document a student’s last date of participation in an academically related activity beyond the midpoint of the term, that documented date will be used when calculating the Return of Title IV Funds.