For the Pell Grant program (undergraduates only), a Pell eligible student’s expected family contribution (EFC) and enrollment level determines the award amount and will be based on the following:
|Number of Credits
RETURN OF TITLE IV FUNDS
Loans and grants issued by the U.S. Department of Education (ED) are classified by the federal government as Title IV funds; this includes Pell Grant, and William D. Ford Direct Loans: Subsidized/Unsubsidized Stafford loans, and PLUS/Graduate PLUS loans.
If a student withdraws (officially or unofficially) after the start of classes and is receiving federal financial aid, a Return of Title IV calculation determines the type and amount of aid that is earned and the amount that must be returned to the ED.
The amount of Title IV aid that is earned is based on the percentage of the semester completed by the student. This percentage is computed by determining the total number of days the student attended in the semester (excluding breaks that are five or more consecutive days in length) and then dividing this number by the number of days in the semester. For example, if there are 106 days in the semester and a student withdraws after attending 30 days, the percentage of Title IV funds earned is 30/106 or 28.3%. After a student has attended more than 60% of the semester, that student is considered to have earned the aid awarded for the semester.
The Registrar is responsible for notifying the Office of Student Financial Assistance of a student’s official withdrawal date. If a student unofficially withdraws, the Registrar will examine the student’s situation and sets a withdrawal date if circumstances such as illness, accident, or grievous personal loss warrant it. If a student takes a Leave of Absence (see Leave of Absence detailed under Academic Policies) during any semester, the school is required to perform this Return of Title IV calculation. Longy will follow ED rules for all other unofficial withdrawals, and the mid-point of the semester shall be considered the withdrawal date.
The order in which Title IV funds are returned are first grants (Pell Grant), second Direct Loans (Unsubsidized Loan, Subsidized Loan), and finally PLUS loans.
Students who owe a balance after they withdraw will receive a bill from Longy. Until the bill is paid, students will not be able to register for classes or obtain copies of their academic transcripts.
A student who must return funds to the Department of Education as determined by this calculation must repay the funds to the school and/or to the U.S. Department of Education within the timeframe dictated by ED. If the student is required to return unearned funds, they have 45 days from the date of the bill to do one of the following: pay in full or make satisfactory repayment arrangements. If the student has not repaid or made satisfactory repayment arrangement within 45 days, the overpayment will be reported to the National Student Loan Data System (NSLDS) and referred for collection to the Department of Education.
Funds returned to the ED based on this calculation have no relationship to the student’s incurred institutional charges (see the Tuition and Fees section for details [link to Tuition and Fees]). Students planning to withdraw may visit the Office of Student Financial Assistance for further information.
TITLE IV CODE OF CONDUCT
- Longy does not participate in revenue-sharing arrangements with any lender. Longy does not engage in any arrangements that would result in a lender paying a fee or other benefits, including a share of the profits, to the school, its officers, employees, or agents, as a result of the school recommending the lender to its students or families of those students.
- Longy bans employees of the Office of Student Financial Assistance from receiving gifts from any lender, guaranty agency, or loan servicer. This is not limited just to those providers of Title IV loans but also private education loans offered to students. Lenders, guarantee agencies, or servicers may offer specific types of activities or literature including:
- Brochures or training material related to default aversion or financial literacy
- Food, training, or informational materials as part of training that contributes to professional development
- Entrance and exit counseling as long as the institution’s staff is in control and provides neutral information about student debt
- Philanthropic contributions from a lender, guaranty agency, or servicer unrelated to education loans
- State education grants, scholarships, or financial aid funds administered by or on behalf of the state
- Longy bans contracting arrangements whereby an employee of the school’s financial aid office would accept a fee, payment, or financial benefit as compensation for any type of consulting arrangement or contract to provide services to or on behalf of a lender relating to education loans.
- The school is prohibited from steering borrowers to particular lenders or delaying loan certifications. This includes assigning any first-time borrower’s loan to a particular lender as part of their award packaging or other methods.
- Longy does not request or accept offers of funds in exchange for private loans. This includes any offer of funds for loans to students at the institution, including funds for an opportunity pool loan, in exchange for providing concessions or promises to the lender for a specific number of loans, or inclusion on a preferred lender list.
- Longy bans staffing assistance from a lender. This includes any assistance with call center staffing or financial aid office staffing. Lenders may offer assistance related to:
- Professional development training for financial aid administrators
- Providing educational counseling materials, financial literacy materials, or debt management materials to borrowers, provided that such materials disclose to borrowers the identification of any lender that assisted in preparing or providing such materials
- Staffing services on a short-term, nonrecurring basis to assist the school with financial aid-related functions during emergencies, including state-declared or federally-declared natural disasters, and other localized disasters and emergencies identified by the Secretary of the Department of Education.
- Longy bans advisory board compensation. Longy employees may not receive anything of value from a lender, guarantor, or group in exchange for serving in this capacity. They may, however, accept reimbursement for reasonable expenses incurred while serving in this capacity.
A post-withdrawal disbursement of Federal Title IV aid occurs when the amount of Title IV aid earned by the student is greater than the amount of the Title IV aid disbursed for the semester. A student eligible for a post-withdrawal disbursement will receive written notification. Students have the right to accept or decline, some, or all, of the post-withdrawal disbursement that is being offered. Students are given 14 days from the date of the notification to respond. Students are encouraged to seriously consider whether it is beneficial to accept a post-withdrawal disbursement. If the Title IV disbursement is the result of a Federal Direct Loan, it must be repaid under the terms of the appropriate promissory note. Also, any disbursement received from Title IV funds may reduce award eligibility for the corresponding award(s) at Longy or another college attended during the same award year. Any opportunity to keep loan debt at a minimum should be considered.