Refunds Involving Financial Aid

It is important that you consider very carefully the consequences of withdrawing from all of your classes.

If this is not your first enrollment period at Lone Star College System and you received Title IV financial aid, your refunds for course withdrawals are calculated according to the following procedures. These procedures applies only to Title IV students who totally withdraw prior to the 60 percent date in the enrollment term.

1. The percent of the term that you complete will be the percent of the amount of Title IV assistance that you will be permitted to keep.

2. The percent will be calculated and the remaining amount that you received must be returned to the Title IV funds as prescribed by law.

3. You will be notified by the financial aid office of the amount you owe to the Department of Education (ED). You will be allowed 45 days to pay in full to Lone Star College System the debt owed to ED. After the 45 day period, the debt will be referred to the Departement of Education for collection.

4. You must either pay the debt in full to Lone Star College System or make payment arrangements with ED in order to maintain eligibility for Title IV funds.

5. If you receive Title IV assistance, you will need to carfully consider the ramifications of completely withdrawing from your classes. Examples and information are available in the financial aid offices.

6. Once your Title IV refund amounts are determined, they will be refunded to the Title IV programs in the following order:

• Unsubsidized Stafford student loans
• Subsidized Stafford student loans
• Plus Loan program
• Pell Grant program
• Federal SEOG grant program
• Federal SSIG/LEAP grant program