If a financial aid recipient withdraws from the university before completing at least 60% of the semester, federal regulations require that the "unearned" portion of any federal financial aid received be returned to the appropriate federal aid source. For example, a student who withdraws at the end of the fourth week of a semester will have "earned" approximately 25% of their aid (completed 4 weeks of a 16 week semester). The remaining 75% must be repaid. Federal rules specify that repayment first apply toward federal loans, then federal grants. The return of state aid follows federal regulations.
Depending on the withdrawal date, the student may incur charges from the university, the repayment of which the student is responsible. The unearned portion of financial aid that must be repaid has no relationship to any refund of required fees or housing charges that might be credited to the student's account based on the date of withdrawal. For more Information on university withdrawal procedures, See Academic Regulation
If a student withdraws before the first day of classes, 100% of aid received must be returned to the appropriate source. If a student withdraws at any point in the semester and the university determines that the student never attended classes, 100% of the aid received must be returned and university charges may be incurred.
At the time withdrawal documents are submitted, the student will be counseled about potential repayment obligations. The student will also be formally notified in writing of the amounts to be repaid by program and who is responsible for making the payment. Repayment of federal grant funds must be made to Missouri State University within 45 days of notification. If payment is not made, the student will need to establish a repayment plan with the Department of Education. Eligibility for additional aid is dependent upon the student repaying the grant(s) in full or abiding by the repayment plan. Loan funds are repaid in accordance with the terms and conditions of the promissory note.
If a student does not officially withdraw and fails to earn a passing grade in at least one enrolled course during the semester, Office of Student Financial Aid will verify if the failing grades were earned or were the result of non-attendance. If non-attendance is determined, the "unearned" calculation will be applied based on the last date of a documented academically related activity or the mid-point of the semester.