Federal and Institutional Financial Aid Refund Facts
What is the law?
As part of the Higher Education Amendments of 1998, Congress passed new regulations governing what must happen to your federal financial aid if you completely withdraw from courses during the semester. Kenyon College must calculate how much federal financial aid you have earned if you withdraw or stop attending before completing 60% of the semester. Federal financial aid covered under this regulation includes the Federal Pell Grant, Federal SEOG, Federal Direct Subsidized Loan , Federal Direct Unsubsidized Loan , Federal Perkins Loan, and Federal Direct Parent Loan for Undergraduate Students (PLUS). In addition, the same refund calculation will be used to determine eligibility for Kenyon College funded need based financial aid.
Who does this regulation apply to?
This regulation applies to students who receive federal and institutional financial aid and withdraw or stop attending classes before completing 60% of the semester.
How is the financial aid you earn calculated?
If you receive federal or institutional financial aid you must "earn" the aid received by staying enrolled at Kenyon. The amount of federal and institutional financial aid assistance earned is determined on a pro-rata basis. If you withdraw or stop attending classes during the enrollment period, you may be required to return some of the financial aid you were awarded. For example, if you complete 30% of the semester, you earn 30% of the aid you were originally scheduled to receive. This would mean that 70% of your scheduled awards remain unearned and must be returned to the federal government, or to Kenyon College.
Percent earned = number of calendar days completed up to the withdrawal date divided by total calendar days in the semester (less any scheduled breaks)
Percent unearned = 100% minus percent earned
When should I withdraw?
The timing of your decision to withdraw should not be based on the impact to your financial aid. You should contact the Dean of Students' Office to discuss the reason(s) for your decision to withdraw as well as the academic consequences of your decision. Any required adjustments to your financial aid will be based on the withdrawal date as described above. The Office of Financial Aid cannot perform the withdrawal calculations until your withdrawal date is determined by the Dean of Students' Office.
Who returns the unearned funds?
Kenyon College and the student are both responsible for returning unearned funds to the appropriate programs in specific loan/grant order. Kenyon College must return the lesser of:
1. the total amount of unearned aid; OR
2. institutional charges multiplied by the unearned percentage.
Amounts that must be returned will first be applied to federal loans and then to grants. Loan borrowers will be permitted to repay loans based on the terms of the promissory note.
The student will also be billed for any amount due to Kenyon College resulting from Kenyon's return of federal aid funds. For example, if Kenyon College is required to return federal or institutional aid which was used to pay a portion of your charges for the enrollment period, you are required to pay Kenyon College for the unpaid portion of the charges.
How do I repay unearned funds?
For all outstanding charges owed to Kenyon, you must make payment arrangements with the Accounting Office at (740) 427-5178.
What happens if I don't repay?
If you do not repay Kenyon for the charges resulting from this refund policy, your records will be placed on financial hold. This means you will not be permitted to register for classes or receive transcripts until the balance is paid in full.