Pell Grants Clock Hours

Transcription

1 Pell Grant and Direct Loan Administration in Clock Hours Present by: U.S. Department of Education Pell Grants Clock Hours Academic Year 3 U.S. Department of Education 1

2 Academic Year Must be defined for each eligible program May be the same for all programs May be different for some or all programs Must contain at least 900 clock hours and 26 weeks of instructional time (clock-hour program) 4 Academic Year Minimums Statutory Definition of an Academic Year Academic Progress Measured By: Minimum Completion Requirement* Minimum Instructional Time Requirement ** Semester hours 24 semester hours 30 weeks Trimester hours Quarter hours 24 trimester hours 36 quarter hours 30 weeks 30 weeks 30 week minimum for Credit hour programs Clock hours 900 clock hours 26 weeks *Number of hours that a student enrolled full time is expected to complete in a full academic year.. **A week is a 7-day period in which there is at least 1 day of instruction or exams. 5 Minimum measure can be more! Defining the Academic Year Full-time for an undergraduate clock-hour program must be at least 24 clock hours a week Half-time must be at least 12 clock hours per week (needed for loan eligibility) Reminder: weekly attendance schedule impacts academic year definition A student attending 24 hours per week will complete 900 hours in 37.5 weeks A student attending 30 hours per week will complete 900 hours in 30 weeks A student attending 35 hours per week will complete 900 hours in 26 weeks 6 U.S. Department of Education 2

3 Defining the Academic Year A program may be shorter than, equal to, or longer than the defined academic year 600-, 900-, and 1300-hour programs could all have an academic year of 900 clock hours/30 weeks, or A 1050 clock-hour/35-week program could have an AY definition equal to the program Receive one annual Pell and one annual loan for program The academic year determines the period of time for which Title IV aid will be awarded and disbursed 7 Your School s Academic Year Is the Academic Year defined in your P&P manual? You ll need to revisit the definition so your clock-hour programs have the required components 8 Payment Periods 9 U.S. Department of Education 3

4 Defining Payment Periods Based on the academic year definition of the program and the defined length of the program, in clock hours and weeks of instructional time Rules for Programs equal to or shorter than an academic year, in either clock hours or weeks Programs longer than an academic year 10 Defining Payment Periods Programs equal to or shorter than an academic year Divide the program/academic year in half First payment period equals half the clock hours and half the weeks Second payment period equals the other half of the clock hours and weeks Example1: Program of 900 clock hours and 30 weeks will have two payment periods of 450 clock hours and 15 weeks Example 2: Program of 750 clock hours and 24 weeks will have two payment periods of 375 clock hours and 12 weeks 11 Defining Payment Periods Programs longer than an academic year with remaining period equal to or less than half an academic year Use rule for one academic year for each full academic year in the program Final portion is one payment period with remaining clock hours and weeks Program: 1230 clock hours/41 weeks; AY 900 hours/30 weeks (attend 30 hrs. wk.) PP1: 450 clock hrs/15 wks PP2: 450 clock hrs/15 wks PP3: 330 clock hrs/11 wks Program: 1050 clock hours/42 weeks; AY 900 hours/36 weeks (attend 25 hrs. wk.) PP1: 450 clock hrs/18 wks PP2: 450 clock hrs/18 wks PP3: 150 clock hrs/6 wks 12 U.S. Department of Education 4

5 Defining Payment Periods Programs longer than an academic year with remaining period greater than half an academic year Use the rule for one academic year for each full academic year in the program Remaining portion is divided into two equal payment periods, each with half the remaining hours/weeks Program: 1600 clock hours/46 weeks; AY 900 hours/26 weeks (attend 35 hr. wk.) PP1: 450 clock hrs/13 wks PP2: 450 clock hrs/13 wks PP3: 350 clock hrs/10 wks Program: 1440 clock hours/54 weeks; AY 900 hours/34 weeks (attend 27 hrs. wk.) PP1: 450 clock hrs/17 wks PP2: 450 clock hrs/17 wks PP3: 270 clock hrs/10 wks PP4: 350 clock hrs/10 wks PP4: 270 clock hrs/10 wks 13 Defining Payment Periods Schools cannot create more payment periods for a program than what is specified in the regulations These rules for defining lengths of payment periods do not change based on conditions such as Student progress through the program The award year in which the payment period falls 14 Defining Payment Periods A payment period ends only when an individual student successfully completes the clock hours AND the weeks in the payment period Successfully completes means the student has attended and passed the coursework associated with the clock hours/weeks in the payment period Students may complete payment periods at different times, for instance, due to absences or failing coursework 15 U.S. Department of Education 5

6 Defining Payment Periods If programs have individual courses within a payment period and a student fails a course, the student will take longer to complete the payment period 450 clock hours and 15 weeks of instruction 150 hr. course 150 hr. course 150 hr. course 150 hr. course Successfully completes the course Fails the course; fails to successfully complete 150 hrs. Scheduled to complete payment period Repeats failed course and passes or passes a different course of 150 hrs. Actually completes payment period Successfully completes the course 16 Excused Absences 34 CFR (b)(3) Optional Separate from attendance and SAP policies Written policy permitting excused absences An absence that a student does not have to make up Excused absences cannot exceed the lesser of Accrediting agency policy on excused absences State licensing agency policy on excused absences OR 10% of the clock hours in a payment period Example 45 hours in a 450 clock-hour payment period can be counted as excused absences (count as completed hours) 17 Crossover Payment Periods Defined as any payment period that begins prior to July 1 and ends on/after July 1 Process for defining length of payment periods DOES NOT CHANGE if the program or payment period crosses over award years Number and length of payment periods as originally determined remain the same even when payment periods fall into different award years 18 U.S. Department of Education 6

7 Crossover Payment Periods 1200 Clock Hour/32 Week Program 900 Clock Hour/26 Week A/Y 450 hrs/13 wks 450 hrs/13 wks 300 hrs/6 wks award year award year March 2013 July 1 Payment period that crosses over still retains the original length 19 Payment Period Disbursements As with term-based programs, may make the first disbursement up to 10 days prior to the first day of the first payment period Subsequent disbursements cannot be made until the student successfully completes the clock hours and the weeks in the previous payment period 20 Payment Period Disbursements Disbursements made by clock-hour payment period Cannot choose to have more payment periods than those defined in regulation Can make multiple installments of a disbursement within a payment period to best meet needs of the student; however, does not create more payment periods, nor does it change amount student is eligible to receive for the payment period Cannot delay making disbursement until the student has completed at least 60% of the payment period in order to avoid having to return funds from an R2T4 calculation 21 U.S. Department of Education 7

8 Pell Grant Calculations 22 Pell Ground Rules Fractions Multiply first, then divide Rounding COD accepts cents and whole dollars (for Pell) Round up if decimal is.50 or higher; round down if less than.50 For student enrolled in more than one payment period, alternate rounding up and down The amount used to round is carried forward to the next payment period and applied before the rounding calculation for that payment period School s policy must be applied equally to all students Rounding rule does not apply if the amount disbursed would exceed the Scheduled Award or put the student s LEU over 600% 23 Calculation of Pell Always use Pell Formula 4 for clock-hour/credit-hour non-term programs Five steps in the formula 1. Determine enrollment status 2. Calculate Pell COA 3. Determine annual award 4. Determine appropriate payment periods 5. Calculate aid amount for the payment period 24 U.S. Department of Education 8

9 Calculation of Pell Step 1: Determine enrollment status Unlike credit-hour programs that have different payment charts based on enrollment status (full-time, ¾ time etc.), you will always use the full-time Pell payment chart for clock-hour programs, even if a student is attending at a part-time schedule (night classes, morning-only classes) Student must be enrolled at least half-time for loan eligibility (12 clock hours a week) If enrolled less than half-time, some COA components must be removed 25 Calculation of Pell Step 2: Pell cost of attendance Always use the cost for a full-time student for a full academic year (as you define it) If program shorter than an academic year, prorate Pell COA up to what it would be for a full academic year If program is longer than a full academic year and the COA is for the entire program, prorate Pell COA down to what it would be for a full academic year 26 Calculation of Pell Step 3: Determine annual award Always use the full-time Pell payment chart (GEN-14-01) 27 U.S. Department of Education 9

10 Calculation of Pell Step 4: Determine payment periods based on program academic year and program length Programs equal to or shorter than an academic year Programs longer than an academic year with a remaining portion equal to or shorter than half an academic year Programs longer than an academic year with a remaining portion greater than half an academic year but less than a full academic year Exception for transfer students with clock hours accepted 28 Calculation of Pell Step 5: Calculate disbursement by payment period Scheduled award is multiplied by the lesser of: Clock hours in the payment period Clock hours in the program s defined academic year OR Weeks of instructional time in the payment period Weeks of instructional time in the program s defined academic year 31 Calculation of Pell (Clock Hour) Academic Year Defined as 900 hours and 30 weeks Example 1: Program 1200 clock hours/40 weeks Payment periods: 450/15, 450/15, 300/10 Clock hrs. in the payment period (450) (300) Clock hours in the A/Y (900) OR Weeks in the payment period (15) (10) Weeks in the A/Y (30) Both fractions are the same for all 3 payment periods, so can use either fraction Scheduled Award: $ PP1: $5,730 x 450/900 = $2,865 PP2: $5,730 x 450/900 = $2,865 PP3: $5,730 x 300/900 = $1,910 U.S. Department of Education 10

11 Calculation of Pell All examples will use an A/Y definition of 900/30 Example #2: Program 720 clock hours/28 weeks Payment periods: 360/14, 360/14 Clock hrs. in the payment period (360) Clock hours in the A/Y (900) = 0.4 OR Weeks in the payment period (14) Weeks in the A/Y (30) = 0.46 Clock hours are lesser Scheduled Award: $5,280 PP1: $5,280 x 360/900 = $2,112 PP2: $5,280 x 360/900 = $2, Calculation of Pell All examples will use an A/Y definition of 900/30 Example #3: Program 1650 clock hours/48 weeks Payment periods: 450/15, 450/15, 375/9, 375/9 Calculation for second year Clock hrs. in the payment period (375) Clock hours in the A/Y (900) = OR Weeks in the payment period (9) Weeks in the A/Y (30) = 0.3 Clock hours/weeks are same for first 2 payment periods Scheduled award: $5,730 PP1: $5,730 x 450/900 = $2,865 PP2: $5,730 x 450/900 = $2,865 Weeks are lesser for last 2 payment periods PP3: $5,730 x 9/30 = $1,719 PP4: $5,730 x 9/30 = $1, Calculation of Pell Will a student always receive Pell each payment period? It depends on Pell LEU (600%) Number of payment periods in program and remaining eligibility in award year Crossover payment periods and eligibility in new award year 33 U.S. Department of Education 11

12 Final Step: COD Send origination records electronically to COD Send actual disbursement records electronically to COD No funds in G5 until COD accepts the records Disbursement date must reflect actual date of disbursement Resolve all rejects!! (see COD Technical Reference, Volume II, Section 4: Edits) 34 Pell Lifetime Eligibility Used (LEU) 35 Pell Grant Lifetime Eligibility Used (LEU) Student s maximum duration of Pell eligibility is 6 Scheduled Awards (600%) As measured by percentage of Lifetime Eligibility Used (LEU) field in COD Student is ineligible to receive further Pell Grant awards if he or she has reached or exceeded the 600% limit 600% limit is tracked to the beginning of the Pell Grant program ( ) Rounding rules do not apply if amount disbursed would place student s LEU over 600% 36 U.S. Department of Education 12

13 Pell Grant LEU ED provides weekly Pell LEU reports through the SAIG Mailbox for school s Pell eligible applicants (and students listing the school s school code on their FAFSA) Only students with lifetime LEU greater than or equal to 450% Message Class PGLEXXOP (where XX= the year) COD website shows current LEU level for all aid recipients COD also provides LEU for Pell MRR*, Pell Reconciliation Report and Pell Year to Date file *Multiple Reporting Record. 37 Pell Grant LEU COD will return warning edit 177 or 178 where Pell LEU is near or exceeds 600% LEU data also in Common Record Response, CPS reports, SARS and ISIRS (LEU limit flags and percentages), and NSLDS COD calculates LEU to 3 decimal places Use conventional Pell rounding rules but may not round up if the result if it causes the student to exceed her Scheduled Award or 600% LEU 38 Pell Grant LEU on the ISIR Code N under Lifetime Limit Flag Student not on report Students in this category have LEU of less than 400% Code H under Lifetime Limit Flag LEU greater than 400% but less than or equal to 500% Code C under Lifetime Limit Flag LEU greater than 500% but less than or equal to 600% Code E under Lifetime Limit Flag LEU 600% or higher No Pell eligibility for award year covered by the ISIR Student may have already exceeded the maximum lifetime eligibility used amount 39 U.S. Department of Education 13

14 Pell Grant LEU: Reduced Eligibility Calculating an award for a student whose LEU will reduce his or her eligibility (LEU greater than 500% but less than 600% Subtract LEU percentage from 600%, then multiply the student s Scheduled Award by the result Example: Scheduled Award = $5,645; LEU = 534% 600% 534% = 66% Scheduled Award remaining $5,645 x.66 = $3, (may truncate to $3,725 or pay $3,725.70, but not round up) 40 Questions? 41 Direct Loans Clock Hours U.S. Department of Education 14

15 Direct Loan Basics William D. Ford Federal Direct Loan Program ( Direct Loan or DL ) Loan types include Subsidized Stafford (Sub) - Only for undergraduates Unsubsidized Stafford (Unsub) For undergraduates, graduates, and professional students PLUS Loan for Graduate and Professional Students (unsubsidized) PLUS Loan for Parents (unsubsidized) For parents of dependent students Direct Loan Basics Regulations at 34 C.F.R. 685 (link from IFAP) Source of funds is the U.S. Treasury Money is transmitted via ED s G5 system Signed MPN or empn required Counseling required Entrance & Exit 45 U.S. Department of Education 15

16 General Direct Loan Requirements Student must: Be enrolled at least halftime Meet eligibility requirements, except for: Preparatory coursework Teacher certification coursework Reminder: All general Title IV student eligibility requirements also apply School must: Determine Pell eligibility before loans Determine loan eligibility Subsidized eligibility before Unsubsidized No Adverse Credit history for PLUS borrowers Aggregate limits Other Title IV eligibility requirements Direct Loan Interest Rates Direct Loans first disbursed on or after July 1, 2014 but before July 1, 2015 Undergrad Sub and Unsub 4.66% (cap 8.25%) Grad Unsub 6.21% (cap 9.5%) PLUS 7.21% (cap 10.5%) Consolidated Loans weighted average of underlying loans rounded up to the next higher one eighth of one percent No cap Subsidized Stafford Loan Eligibility Subsidized loans are need-based COA EFC EFA = Loan Eligibility (Up to the Annual Subsidized Amount) Interest is subsidized during: In-School Grace periods Deferments School must determine eligibility before eligibility for unsubsidized loans U.S. Department of Education 16

17 Subsidized Loan Eligibility Limit Limit on how many years a first-time borrower may receive subsidized loans. Applies to first-time borrowers on or after July 1, A first-time borrower is one who - Has no balance on any FFEL or Direct Loan on July 1, 2013, or Receives first Direct Loan (any type) on or after July 1, 2013 Subsidized Loan Limit 150% Rule Condition - When student has received Direct Subsidized loans for a period of time that is equal to 150% of the published length of the student s current academic program Result - Student may not receive additional subsidized loans for enrollment in that program or any program of equal or lesser length Subsidized Loan Limit 150% Rule Students maximum time to receive subsidized loans is established based on the length of the program the student is enrolled in Remaining subsidized eligibility is calculated by subtracting from maximum eligibility for the program, the time the student has already received subsidized loans for enrollment in any program U.S. Department of Education 17

18 Determining When 150% Limit is Met Maximum Eligibility Period Total Subsidized Usage Periods Remaining* Eligibility Periods *150% Limit is met when Remaining Eligibility Period equals zero or less than zero Unsubsidized Stafford Loan Eligibility Unsubsidized loans are not need based COA EFA = Unsubsidized Loan Amount (Not to exceed the annual loan limits) May replace EFC in packaging Borrower is responsible for interest May be paid or may allow to capitalize School determines eligibility AFTER awarding subsidized loans Direct Unsubsidized Loan Eligibility Student can only receive an unsubsidized loan (base or additional) for a loan period if the student has been awarded the full amount of his or her eligibility for a subsidized loan Student who is not awarded his or her full subsidized loan eligibility may not receive any unsubsidized loan for the same loan period U.S. Department of Education 18

19 Unsubsidized Loan Flexibility For dependent Undergraduates whose parents are unable to borrow PLUS loans Due to adverse credit or Due to exceptional circumstances May receive additional Unsubsidized loans (same amount as Independent Undergraduate) Flexibility extends for one Academic Year Unsubsidized Loan Flexibility FAA may use PJ to award Unsubsidized loans to dependent students without parental data Parent must certify cessation of support and refusal to complete the FAFSA School must document both items Not a Dependency Override (D/O) Student may receive up to his/her maximum dependent loan eligibility (Unsubsidized) Student not eligible for any other Title IV aid Annual Loan Limits Year Dependent Undergraduate 1 st $5,500 (maximum $3,500 subsidized) 2 nd $6,500 (maximum $4,500 subsidized) Independent Undergraduate And Dep. Undergrad whose parent can t borrow PLUS $9,500 (maximum $3,500 subsidized) $10,500 (maximum $4,500 subsidized) Graduate/ Professional Student Up to $20,500 each academic year (maximum $8,500 subsidized) 3 rd and Beyond $7,500 (maximum $5,500 subsidized) $12,500 (maximum $5,500 subsidized) U.S. Department of Education 19

20 Aggregate Loan Limits Dependent Undergraduate Independent Undergraduate* Grad/Professional $31,000 combined sub/unsub No more than $23,000 in sub $57,500 combined sub/unsub No more than $23,000 in sub $138,500 combined sub/unsub No more than $65,500 in sub * Also for dependent students whose parents are unable to obtain a PLUS loan. General Loan Awarding Principles Students are subject to annual and aggregate loan limits Student may not be eligible to borrow the full amount due to other aid in the student s aid package Must award subsidized before awarding unsubsidized Base Amount may be all subsidized, all unsubsidized, or a combination. Subsidized amount may not exceed the Base Amount Annual Loan Limit includes the Base Amount and Additional Unsubsidized Awarding Subsidized Loans COA EFC EFA = Need U.S. Department of Education 20

21 Subsidized Eligibility - Tom Tom is a 1st year Dependent Student (Annual Loan Limit = $5,550) COA $15,000 - EFC 1,200 - EFA $11,080 =Sub DL $ 2,720 Subsidized Loan can be up to $3,500 of $5,500, but cannot exceed need EFA is: Pell of $4,580 Scholarship of $6,500 Remaining Need = $2,720 Awarding Unsubsidized Loans COA EFA = Eligibility Unsubsidized Eligibility - Tom Tom is a 1st year Dependent Student (Annual Loan Limit = $5,550) Unsubsidized Loan can be up to $2,780 ($5,550 $2,720 in sub), but total aid cannot exceed COA COA $15,000 - EFA $13,800 =Unsub DL $ 1,200 EFA is: Pell of $4,580 Scholarship of $6,500 Sub Loan of $2,720 Remaining Eligibility = $1,200 U.S. Department of Education 21

22 Awarding PLUS COA EFA = Eligibility PLUS Loans PLUS Loans: May replace EFC Have no Annual/Aggregate limit Borrower must have no adverse credit School must offer Sub and Unsub before awarding PLUS Amounts may not exceed COA EFA Available for: Parents of dependent undergrads Graduate/professional students Patrick s Parent PLUS Eligibility Patrick 1 st year Dependent student: COA $20,000 EFA $9,500 =PLUS eligibility $10,500 Loan limit = COA-EFA EFA now includes $4,000 Pell $3,500 Subsidized loan $2,000 Unsubsidized loan EFC not considered Patrick s parents may borrow $10,500 U.S. Department of Education 22

23 Patrick s Increased Unsubsidized Eligibility: (If Parents denied PLUS, or if Patrick were Independent) Patrick 1 st year student (loan limit $9,500) COA $20,000 EFA $7,500 = Remaining Need $12,500 EFA includes: $4,000 Pell $3,500 Subsidized loan EFC not considered Patrick may borrow the lesser of: COA EFA = $12,500, or $9,500 $3,500 = $6,000 (Annual Loan Limit Sub Limit = Eligibility) In an Unsubsidized loan Patrick s Aid Package (If Parents denied PLUS, or if Patrick were Independent) COA $20,000 - EFC 1,519 - Pell $4,000 - Subsidized Loan $3,500 - Unsubsidized Loan $6,000 = Remaining Unmet $4,981 Borrower Based Academic Year BBAY 3 U.S. Department of Education 23

24 BBAY 3 Attributes BBAY must meet minimum statutory definition of academic year 900 clock hours / 26 weeks 36 quarter credit hours / 30 weeks 24 semester/trimester credit hours / 30 weeks Academic year does not begin until the student begins enrollment A new annual loan limit is not regained until student completes both weeks & hours in definition of an academic year Loan Periods Maximum loan period Generally school s academic year If > an academic year, in some cases, loan is the length of the program Minimum loan period It s the lesser of The Academic Year, OR The student s program, OR The remaining portion of the program Payment Periods Cannot use more than two payment periods within a defined academic year Must complete BOTH hours and weeks to progress from one payment period to the next U.S. Department of Education 24

25 BBAY 3 Payment Periods If program is one academic year or less Academic Year Defined = 900 Clock-Hours/ 26 Weeks Program = 750 Clock-Hours/ 20 Weeks 375 clock-hours/ 10 weeks 375 clock-hours/ 10 weeks BBAY 3 Payment Periods If program is more than one academic year With remaining portion that is half an academic year or less Academic Year Defined: 900 Clock-hours / 30 Weeks Program Length is 1200 Clock-hours / 40 Weeks 450 hours / 15 weeks 450 hours / 15 weeks 300 hours / 10 weeks Remaining portion is a single payment period BBAY 3 Payment Periods If program is more than one academic year With remaining portion that is more than half an academic year but less than a full year Academic Year Defined: 900 Clock-hours / 30 Weeks Program Length is 1600 Clock-hours / 54 weeks 450 hours 15 weeks 450 hours 15 weeks 350 hours 12 weeks 350 hours 12 weeks Remaining portion is divided into 2 payment periods U.S. Department of Education 25

26 Prorating Annual Loan Limits Prorating Annual Loan Limits Annual loan limits must be prorated when The student is enrolled in a program that is shorter than a full academic year The student is enrolled in a program that is one academic year or more in length, but is in a remaining period of study shorter than a full academic year Loan Proration Proration is NOT required for PLUS loans Graduate students Teacher certification Preparatory coursework Regardless of loan proration, school must not award more than student s loan eligibility U.S. Department of Education 26

27 Programs Shorter than an Academic Year Multiply the applicable loan limit by the lesser of: Hours enrolled in program Hours in the defined academic year Or Weeks enrolled in program Weeks in the defined academic year Programs Shorter than an Academic Year Program Length is 600 Clock-hours / 22 weeks Defined AY is 900 Clock-hours / 30 weeks Hours: $3,500 X 600 = $2, Weeks: $3,500 X 22 = $2, Hours is the Lesser $2, Hours / 11 Weeks 300 Hours / 11 Weeks $1,167 $1,166 Remaining Periods Shorter than an AY If the remaining period of study consists of fewer clock or credit hours than required in academic year definition U.S. Department of Education 27

28 Remaining Periods Shorter than an AY For all program types, multiply the applicable loan limit by: Hours remaining in program of study Hours required for defined AY Unlike proration for programs that are shorter than an academic year, there is no comparison of weeks and hours Remaining Periods Shorter than an AY 1 st Academic Year 450 Hours 13 Weeks 1,200 Clock-Hour Program with 900 Clock-Hour / 26 Week Academic Year $3, Hours 13 Weeks $1,750 $1,750 1 st BBAY Remaining Portion of Program $4,500 X 300 = $1, Hours 9 Weeks $1,500 2 nd BBAY Transfer Students U.S. Department of Education 28

29 Transfer Students in Clock-Hour Programs When Overlapping Academic Years Occur Student withdraws from School A program before completing an academic year Student begins attendance at School B before academic year from School A is complete Solution to Overlapping Academic Years Student is limited to remaining portion of annual loan limit at School B until completion of the academic year from School A When the student completes School A s academic year at School B a new loan period may begin If new loan period is less than a defined academic year then it must be prorated Obtaining Academic Year Dates A school can obtain specific begin and end dates of the prior school s academic year by: obtaining documentation from the prior school, OR look for the academic year dates of Direct Loans originated by the prior school on the award detail information page in COD U.S. Department of Education 29

30 Transfer Student Example Student attends School A with an academic year beginning 9/18/14 and ending 3/13/15 Student withdraws from School A on 11/29/14 As grade level 1 student, this student received $1,750 in Sub and $1,000 in Unsub Student begins attendance at School B on 12/15/14 Student may only receive remaining portion of loan not used until completion of School A s academic year Transfer Student Example School A: Used $1,750 Sub and $1,000 Unsub School A s Academic Year 9/18/14 3/13/15 School B Loan Period 12/15/14 3/13/15 School B: Student eligible for remaining $1,750 Sub and $,1000 Unsub School B: New Loan period may 0begin on 3/14/15 Withdrew 11/29/2014 Withdrawals U.S. Department of Education 30

31 When a Student is Considered Withdrawn In the case of a program that is measured in clock hours, the student does not complete all of the clock hours and weeks of instructional time in the payment period or period of enrollment that the student was scheduled to complete. Institution Required to Take Attendance Outside entity requires that attendance be taken Institution has its own requirement that instructors take attendance Outside entity or institution has a requirement that can only be met by taking attendance All clock hour programs are required to take attendance Withdrawal Date / Date of Determination Must use its official attendance records to determine withdrawal date (WD) Last date of attendance must be withdrawal date Date of determination of withdrawal cannot be more than 14 calendar days after withdrawal date U.S. Department of Education 31

32 Date of Determination & Deadlines Within 30 days, school must perform R2T4 calculation notify student of grant overpayment notify student of eligibility for a post-withdrawal disbursement (PWD) School must return Title IV funds within 45 days of date of determination School must make PWD to student or parent within 45 days from date of determination for grants and 180 days for loans Reentry within 180 Days For programs measured in clock hours, a student who withdraws and then reenters the same program within 180 days is considered to be in the same payment period he or she was in at the time of the withdrawal. The student retains his or her original eligibility for that payment period and is treated as though he or she did not cease attendance. Resources U.S. Department of Education 32

33 Resources FSA Handbook Volume 3, Chapter 3 (Pell) Volume 3, Chapters 1 and 5 (Loans) Volume 5 (Withdrawals) Site Links Resources Direct Loan Training on IFAP www2.ed.gov/offices/osfap/training/specific.html Clock Hour Issues recorded webinar www2.ed.gov/offices/osfap/training/downloads.html Resources Research and Customer Care Center fsa.customer.support@ed.gov Reach FSA 855-FSA-4FAA -- 1 number to reach 10 contact centers! Campus Based Call Center ez-audit COD School Eligibility Service Group CPS/SAIG Foreign Schools Participation Division NSLDS Research and Customer Care Center G5 Nelnet Total & Permanent Disability Team U.S. Department of Education 33

34 QUESTIONS? Contact Information For questions about this training, contact me:, Training Officer, Federal Student Aid, Region IX For comments on training, contact: Annmarie Weisman, Training Supervisor Federal Student Aid, Region III Thank you for coming! U.S. Department of Education 34