Return of Title IV Funds
STUDENTS WHO WITHDRAW FROM THE SEMESTER MAY OWE A REPAYMENT OF FINANCIAL AID FUNDS
Federal regulations dictate that a student who withdraws from the University of Arkansas at Little Rock after receiving federal financial aid (Pell Grant, SEOG, TEACH Grant, Iraq and Afghanistan Service Grant, Subsidized Direct Loan, Unsubsidized Direct Loan or Direct Plus loan) may owe a repayment of those funds to UA Little Rock. The amount of repayment will be calculated based on the number of days the student attended before withdrawing.
In order to officially withdraw, students must complete and submit the Drop/Withdrawal Form. An official withdrawal does not penalize or prevent a student from re-enrolling at a future date. The deadline for withdrawing is listed in the Academic Calendar. If a student is out of town or for emergency reasons is unable to withdraw in person, he/she should contact the Office of Records and Registration by calling 501-916-3110 or faxing a letter to 501-916-3168. Additional information on dropping a class can be found, here. BOSS cannot be used to withdraw from the University during late registration or after classes start.
Students who cease attendance in all classes but do not complete the official withdrawal process are considered to have unofficially withdrawn from UA Little Rock. If a student unofficially withdraws after receiving federal financial aid funds, a Return of Title IV Funds calculation is required, and the student may owe a repayment to UA Little Rock.
In general, the entire amount of aid a student is eligible to receive for a semester is paid to the student at the beginning of the term. The student is expected to budget those funds over the course of the semester to pay for educational expenses (tuition and fees, books and supplies and other living expenses). If a student withdraws from the semester before completing the entire term, a calculation is required to determine if the student has “earned” all of the financial aid that he or she has received.
- First, a percentage is calculated based on the number of days the student attended divided by the number of days in the term. This percentage is the amount of the term the student has completed.
- If the student has completed 60% of the term or less, another calculation is required.
- The next calculation determines how much financial aid the student has “earned” – the percentage calculated in Step 1 multiplied by the amount of aid received.
- The amount of “earned” aid is subtracted from the amount of aid paid to the student.
- If the student has been paid more aid than he/she “earned”, the student will owe a repayment to UA Little Rock.
- Financial Aid Funds will be repaid to the federal programs in the following order
- Unsubsidized Direct Loans.
- Subsidized Direct Loans.
- Direct PLUS loans.
- Federal Pell Grants.
- Federal Supplemental Educational Opportunity Grants(SEOG).
- TEACH Grants.
- Iraq and Afghanistan Service Grants.
- If a student has been paid less aid than he/she “earned” the student may be due a post-withdrawal disbursement of federal funds.
- The determination of whether a repayment is due UA Little Rock, or an additional disbursement is due the student, must be made no later than 45 days from the determination of a student’s withdrawal.
Please see your Financial Aid Advisor if you have questions or need additional information