Northeastern State University

Refund Policy For Financial Aid Recipients Who Withdraw

Any student receiving federal financial assistance who completely withdraws from all classes at NSU will be subject to the Return of Title IV Funds refund policy required by federal regulation.

This policy applies to students receiving assistance through the Pell Grant, Supplemental Education Opportunity Grant, Perkins Loan, Subsidized Stafford Loan, Unsubsidized Stafford Loan, and Parent Loans for Undergraduate Students Programs.

This policy assumes a student “earns” his or her financial aid based on the period of time the student remains enrolled through the semester. Upon withdrawal, Student Financial Services will determine the date of the student’s withdrawal on record in the Office of Admissions and will calculate the amount of financial assistance the student “earned” while enrolled in classes according the following formula: number of days enrolled divided by total number of days in the semester.

If the amount of federal aid disbursed exceeds the amount of federal aid earned as of the date of withdrawal, either the university, the student, or both are required to return some portion of the federal aid received. Late disbursements for which the student is eligible are required to be included.

Students who remain enrolled beyond the 60% of the semester are considered to have earned 100% of the financial aid received. Students who are enrolled for less than 60% of the semester will likely be responsible for repaying a portion of the financial aid received.

Student Financial Services will calculate the amount of any refund due according the Return of Title IV Funds Formula outlined in federal regulation. Examples of this refund formula are available in Student Financial Services. Any refund amount calculated from this formula will be returned to the appropriate federal financial aid programs. Refunds for financial aid recipients are never given directly to the student. Calculated refunds amounts are returned to the federal financial aid programs in the following order: Unsubsidized Stafford Loan, Subsidized Stafford Loan, Perkins Loan, PLUS Loan, Federal Pell Grant, SEOG Grant, other federal financial aid programs.

Under this policy, the date of withdrawal is the date the student began the withdrawal process by contacting the NSU Office of Admissions either in person or by phone to complete a Notice of Withdrawal form. If a student leaves NSU without contacting the Office of Admissions to formally withdraw, the withdrawal date will be designated as the midpoint of the semester or the last date of attendance at a documented academically related activity. For students who fail to return from an approved leave of absence, the withdrawal date will be designated as the date the leave of absence began.