Refunds and the Return of Funds Policy
Financial aid recipients who completely withdraw from or stop attending a term prior to the 60% point of that term are subject to the federal return of Title IV (R2T4) fund rules for any federal aid not earned, and to the Minnesota Office of Higher Education refund calculation for Minnesota State grant, scholarship or loan aid. Examples of both calculations are available from the Payments and Billing Office at the student’s request in person. Students may also be eligible for a refund of a portion of the tuition and fees paid to Normandale for the semester, according to the Normandale refund policy. If the student received financial aid, then a portion of the refund will be returned to the grant or loan program from which it was received and the student may owe Normandale for a portion of the tuition and fees.
Students withdrawing completely from a term must do so according to Normandale’s withdrawal policies. For an official withdrawal, the transaction must be completed via Normandale's online system, eServices, or in person. Financial aid recipients who withdraw through eServices should contact the Payments & Billing Office at 952-358-8424 or the Financial Aid and Scholarships Office at 952-358-8250 to determine the impact of the withdrawal on their aid award. The student's withdrawal date is the date the student begins the school's withdrawal process.
The withdrawal date for students who unofficially withdraw (stop attending without completing the formal withdrawal process) will be considered the student's last date of attendance (LDA) once grades have been posted for the term and no later than 30 days after the end of the payment period. Grades of FN are reported by faculty who indicate the student never attended. When the student has attended at least one class session, faculty report the student's last day of attendance and assign a grade of FW or NC, as determined by the course's grading method. Because Normandale is not required to take attendance, the withdrawal date for a student who has unofficially withdrawn is either the mid-point of the term or the actual LDA if beyond the mid-point, up to the 60% point. The Financial Aid and Scholarship Office, Records Office and Payments and Billing Office work together to determine which students are subject to R2T4 and the date to be used.
Normandale’s refund policy exists for calculating the refund of institutional charges. The federal Return of Title IV Funds formula dictates the amount of federal Title IV aid that must be returned to the federal government by the school and the student.
The federal formula requires a return of Title IV aid if the student received federal financial aid and withdrew or stopped attending all classes on or before completing 60% of the semester. The percentage of Title IV aid to be returned (that which is unearned) is equal to the number of calendar days remaining in the semester divided by the total number of calendar days in the semester. Scheduled breaks of more than four consecutive days are excluded.
If the student has received less Title IV aid than the amount earned, the student is due a post-withdrawal disbursement. Title IV grant funds will be applied to any unpaid tuition and fees balance for the term. If Title IV loan funds are part of a post-withdrawal disbursement, the student (or parent, in the case of a Direct PLUS loan) will be contacted in writing to approve or decline any post-withdrawal disbursement amount. If the post-withdrawal disbursement creates excess financial aid on the student's account, the funds will be disbursed to the student in the manner selected within 4 days of the funds being applied to the account.
The responsibility to repay unearned aid is shared by the institution and the student in proportion to the aid each is assumed to possess. The institution’s share is allocated among the Title IV programs, before the student’s share, in the following order: Federal Direct Unsubsidized Loan, Federal Direct Subsidized Loan, Federal Direct PLUS Loan, Federal Pell Grant, Federal SEOG and Federal IASG. Any remaining unearned aid is the responsibility of the student, must be collected from the student, and then must be allocated among the Title IV programs in the order indicated above.
Normandale will calculate its share of unearned Title IV funds and notify the student no later than 30 days after it determines that the student withdrew and will return the funds within 45 days. Students return their share of unearned aid attributable to a loan under the terms and conditions of the promissory note. Normandale may allow the student to repay unearned aid attributable to a grant under a payment arrangement satisfactory to Normandale. However, the student is not responsible for returning funds to any grant program to which they owe $50 or less.