Financial Aid Refund + Return to Title IV Policy

Financial Aid Refund Policy and Return To Title IV (R2T4) Policy
The student’s official enrollment status will be determined based on enrollment at the end of the 100% tuition refund period each semester.  Once enrollment status has been determined, financial aid will be reviewed.  If a student’s enrollment status changes after the student’s financial aid has been awarded, the financial aid award will be adjusted to reflect the current enrollment status.

If a student drops a class(es) after the end of the 100% tuition refund period, institutional aid may be adjusted according the Institutional Aid Refund Policy, but federal aid will not be adjusted.  However, Federal Stafford Loans require enrollment to be recertified at the time of disbursement.  Federal regulations state that if a student drops below half-time status or withdraws prior to the disbursement, the loan may not be disbursed.

CTS Institutional Refund Policy
When a student withdraws from Christian Theological Seminary (CTS) or drops a class, adjustments are made to CTS scholarships and grants which were awarded to the student.  Adjustments are done in coordination with the CTS Standard Refund Schedule for institutional charges.  In no case will a student receive CTS Scholarship or Grant funds in cash.

Return to Title IV (R2T4) Policy
When a recipient of Title IV aid (Federal Subsidized and Unsubsidized Stafford Loans) withdraws from all classes, drops out, or takes a leave of absence, federal regulations require Christian Theological Seminary (CTS) to determine the amount of Federal Title IV Aid (not including Federal Work-Study) that the student earned as of the student’s withdrawal date.  The return of funds calculation will be completed within 30 days of the student’s determined withdrawal date.

Determination of Withdrawal Date for Return of Funds
Official Withdrawals: The withdrawal date for students who complete the formal withdrawal process will be the date listed on the Withdrawal Form, the date the student contacted the Registrar to indicate that he/she planned to withdraw, or the date of the student’s last participation in a documented educationally related activity.

A student may provide official notification of the intent to withdraw and then change his/her mind. In order to rescind the intent to withdraw for purposes of this calculation, the student must provide in writing a statement of his/her intention to remain enrolled through the end of the payment period.  If the student withdraws after rescinding his/her intent to withdraw, the withdrawal date is the date on which the student provided notification of the intent to withdraw or began the original withdrawal process, or the date of the student’s last attendance at a CTS documented academically related activity.

Unofficial Withdrawals: If the student ceases attendance without providing official notification to CTS the withdrawal date will be considered to be the last date on which the student participated in a CTS documented academically related educational activity.

If it is determined that the student did not begin the official withdrawal process or did not notify the Registrar’s Office of the intent to withdraw due to illness, death, accident, grievous personal loss, or other circumstances beyond the student’s control, the withdrawal date is the date which CTS determines that the student ceased attendance due to the aforementioned applicable event.

For the purposes of this policy, an educationally related activity is defined as:

  • Physically attending a class where there is an opportunity for direct interactin between the instructor and students;
  • Submitting an academic assignment;
  • Taking an exam, an interactive tutorial, or computer-assisted instruction;
  • Attending a study group that is assigned by the institution;
  • Participating in an online discussion about academic matters;
  • participation at a SCOFE or CPE site, or
  • Initiating contact with a faculty member to ask a question about the academic subject studied in the course.


Calculation of Title IV Aid Earned
CTS will determine the percentage of Title IV funds earned by a student who withdraws by dividing the number of calendar days completed in a semester by the total number of days in the semester.  The number of days in the numerator and denominator includes all days within the period, except for institutionally scheduled breaks of five or more consecutive days.  If a student withdraws while on a scheduled break of five or more consecutive days, the withdrawal date is the last date of classes prior to the beginning of the break.  The day the student withdraws is counted as a completed day.

The amount of Title IV Aid earned by the student is then determined by multiplying the percentage of Title IV aid earned by the total amount of Title IV aid disbursed plus Title IV aid that could have been disbursed to the student or on the student’s behalf.

Title IV Aid to be Disbursed or Returned
If the student receives less Title IV Aid than the amount earned, CTS must offer a disbursement of the earned aid that was not received.  This is called a post-withdrawal disbursement.

Post-Withdrawal Disbursements
CTS will provide written notification to the student of his/her eligibility for a post-withdrawal disbursement.  This notification will:

  1. inform the student of post-withdrawal disbursement funds which were credited to the student’s account for tuition, fees, CTS apartment rent, CTS Hospitality House charges and other educational expenses for which authorization has been granted by the student
  2. request permission to credit the student’s account for other current charges for educationally related activities, if prior authorization was not obtained
  3. notify the student of the availability of any remaining earned Title IV programs assistance and ask the student if they wish to receive these remaining funds.

This written notification will be sent within 30 days of the student’s withdrawal and will require that the student respond within 14 days of the date on the written notification. if the student wishes to receive any remaining earned Title IV assistance in a refund check.  If the student does not respond to this notification within the timeframe, CTS will is not required to make these funds available to the student.  Responses received after the timeframe will be considered on a case by case basis. 

A post-withdrawal disbursement must be made within 120 day of the of student’s withdrawal.

Title IV Aid to be Returned
If the student receives more Title IV aid than the amount earned, CTS, the student, or both, must return the unearned funds.

CTS must return a portion of the excess funds equal to the lesser of:

  1. the institutional charges multiplied by the unearned percentage of funds or
  2. the entire amount of excess funds.

The funds will be returned within of the date of the determination that the student withdrew and will be returned in the order listed below:
  1. Unsubsidized Federal Stafford Loans
  2. Subsidized Federal Stafford Loans

 Unearned loan funds which must be returned by the student will be repaid in accordance with the terms of the promissory note.