Dropping Classes: How It Impacts Your Aid

Dropping classes or stopping attendance can affect your current and future financial aid eligibility. Your enrollment level, the length of your classes, the timing and even the sequence of your withdrawal from classes are all factors that impact your financial aid. Because financial aid is earned through class attendance, unearned financial aid you have already received may need to be returned to the federal or state government.

We are here to help you navigate this process. Be sure to visit the Enrollment Center and meet with a Financial Aid specialist if you are considering dropping or stopping attendance in one or more of your classes. For more information, view the Withdrawal and Return of Title IV Funds (R2T4) Policy below.

We must calculate how much federal financial aid you have earned if you:

  • Completely withdraw.
  • Stop attending before completing the semester.
  • Do not complete all modules. Modules are courses which do not span the entire semester.
  • Do not earn any credit in the semester that aid was received.
  • Are enrolled in a Job Training (clock hour) program and receive an unsuccessful grade of W (withdrawal) or U (unsuccessful).

Based on this evaluation, you may be responsible to repay a portion of the financial aid you received if the amount disbursed is greater than the amount earned. If you have earned more than the amount disbursed, you may be eligible to receive a post-withdrawal disbursement.

Withdrawal & Return of Title IV Funds Policy - Calculating How Much Financial Aid is Earned

The amount of federal financial aid a student earns is determined on a prorated basis. GRCC uses the following Department of Education formulas to determine the percent of unearned aid that has to be returned to the federal government:

For Students in Credit Hour Programs

The percent of aid that is earned is equal to the number of calendar days completed up to the withdrawal date, divided by the total calendar days in the payment period (except for scheduled breaks that are at least five consecutive days long).

Formula: Percent of earned aid = the number of calendar days completed / total calendar days in the payment period.

The payment period for all students is the number of course days for which the student initially registered, with the exception of scheduled breaks of five or more consecutive days.

Formula: The percent unearned = 100 percent – the percent earned.

If you complete more than 60 percent of the payment period or semester, no Title IV aid is required to be returned.

For Students in Job Training (Clock Hour) Programs

For students who withdraw, the percent earned is equal to the number of hours attended divided by the total hours in the enrollment period. In each instance, if the student completed more than 60 percent based on the above calculations, no Title IV aid is required to be returned.

Formula:The percent earned = number of hours attended /  the total hours in the enrollment period.


Withdrawing from a Module Course

Module courses are those that do not span the full length of the semester (i.e., a seven week course). Your sequence of withdrawal impacts the return of funds calculations. If you enroll in two module courses but decide to withdraw from the later starting module while still attending the current module, a return of funds calculation is not required. However, a recalculation of aid may be required based on your change in enrollment status.

If you enroll in two modules and complete the first but withdraw or do not start a later module, a return of funds calculation would be required. Recalculation of aid based on this enrollment change must be performed before the calculation of the R2T4 amount.

If you provide written notice to the Financial Aid office at the time of withdrawal from a current module that you plan to attend a later module in the same payment period, this is not considered as a withdrawal. If the student does not provide that written confirmation, it is considered a withdrawal and the R2T4 recalculation of aid will be done. However, if you return in a later module in the same payment period, regardless of whether prior written confirmation was received, the R2T4 process will be reversed and you will be awarded the funds you are eligible to receive at the time of return.

The Withdrawal Date

Classes are officially dropped through the Online Center or by visiting the Enrollment Center. If you unofficially withdraw or stop attending classes, the withdrawal date will be the last date of attendance as officially reported by the instructor(s). Instructors are also required to report a last date of attendance for students who have failing grades in their classes.

The withdrawal date used in a return of funds calculation is the date you officially drop your class(es), or your last date of attendance as reported by your instructor(s), whichever is earlier.

Post-Withdrawal Disbursement

A post-withdrawal disbursement may be made if you withdraw from all classes prior to the disbursement of federal financial aid.

The amount of the disbursement (if any) is determined during the federal Return of Title IV funds calculation process. If applicable, GRCC will offer a post-withdrawal disbursement in writing to an eligible student within 30 days after the college determines the withdrawal. The notice will include the type and amount of financial aid funds that make up the post-withdrawal disbursement and explain that you may decline all or a portion of those funds.

You will have 14 calendar days from the date GRCC sends the notification to accept or decline the post-withdrawal disbursement. If you accept all or a portion of the post-withdrawal disbursement, GRCC will disburse the funds to the student’s account as soon as possible but no later than 180 calendar days from the determined withdrawal date.

If you fail to respond to the notice GRCC is permitted to credit a student’s account with the post-withdrawal disbursement of Title IV grant funds without your permission for current term charges for tuition, fees, and room and board up to the amount of outstanding charges.

A school must obtain your authorization to credit your account above the total current term charges regardless if it creates a credit to your account. GRCC must still obtain confirmation from you or your parent before making any disbursement of loan funds from a post-withdrawal disbursement. If confirmation is not received any outstanding loan funds will be canceled.