Return of Title IV Funds
As an institution participating in programs under Title IV of the Higher Education Act of 1965 as amended (hereinafter referred to as the "Act"), UT Permian Basin is required to refund unearned tuition, fees, room and board, and other charges to certain students attending the institution for the first time who have received a grant, a loan, or work assistance under Title IV of the Act, or whose parents have received a loan on their behalf under 20 U.S.C. Section 1087-2. The refund is required if the student withdraws from, or otherwise fails to complete the period of enrollment (i.e. receives all failing grades in the semester) for which the financial assistance was intended. No refund is required if the student withdraws after a point in time that is sixty percent of the period of enrollment for which the charges were assessed.
A student who withdraws prior to that time may be entitled to a refund of tuition, fees, room and board, and other charges that is the larger of the amount provided for in Section 54.006, Texas Education Code, or a pro rata refund calculated pursuant to Section 484B of the Act, reduced by the amount of any unpaid charges and a reasonable administrative fee not to exceed the lesser of five percent, or one hundred dollars. If the student charges were paid by Title IV funds, a portion or all of the refund will be returned to these programs.
For example, a student withdraws on the 32nd day of classes of a 110 calendar day semester. The tuition and fee charges totaled $2,754. The student was awarded and received the following financial aid: $785 Federal Direct Unsubsidized Loan, $1,1141 Federal Direct Subsidized Loan and $1,387 in Federal Pell Grant. The Return of Title IV Funds policy allows that the student "earned" 32/110 of the federal financial aid requiring the remainder to be returned to the federal aid programs. Under the policy, $1,778 would be returned to the Federal Direct Loan by UT Permian Basin creating a balance with the University. The remainder of the loan would be repaid under the terms of the promissory note.