Return to Title IV (R2T4) - Withdrawing from Classes

Federal financial aid (Title IV funds) is awarded to students with the expectation that they will attend and complete the entire period for which the aid is granted. When a student withdraws or stops attending all classes before completing more than 60% of the enrollment period, they are no longer eligible for the full amount of federal aid originally awarded.

Earned Funds

Federal financial aid is earned progressively throughout the semester based on attendance. The percentage of aid a student earns is calculated by dividing the number of days attended by the number of days in the semester (excluding scheduled breaks of five or more consecutive days).

If a student completes more than 60%, they are considered to have earned 100% of their federal aid.
If a student withdraws before completing 60%, they only earn the portion corresponding to the time attended, and the unearned portion must be returned to the U.S. Department of Education.

Consequences of Withdrawal

A withdrawal occurs when a student stops attending or officially drops all of their classes before completing the term. Withdrawing can affect your academic progress and may result in a reduction or repayment of financial aid, including federal (Title IV) funds.

OCC is required to determine the amount of earned vs. unearned aid and return the unearned funds.
This may result in the student owing a balance to the College.
The R2T4 calculation is independent of the OCC tuition refund policy. Receiving a tuition refund does not eliminate the obligation to return unearned federal aid.

OCC will first return the required amount to the federal programs. Any remaining unearned aid is the student’s responsibility:

Total Unearned Aid – Amount Returned by OCC = Amount Student Owes

If a student owes a balance after aid adjustment, they will receive a revised award letter and a billing statement from the Student Accounts Office.

Loan Eligibility and Attendance

Students must be enrolled in at least six credit hours at the time loan funds are scheduled for disbursement. If a student is no longer attending at least six credits, the loan will be canceled and the funds returned to the U.S. Department of Education.

Student Responsibility

It is the student’s responsibility to officially withdraw from classes by completing a Drop/Withdrawal Request by the posted deadline. Before making the decision to withdraw, students should carefully consider the academic and financial consequences.

Questions About Title IV Funds?

If you have questions about your federal financial aid (Title IV funds), you can contact the Federal Student Aid Information Center at 1-800-4-FEDAID (1-800-433-3243).

TTY users may call 1-800-730-8913.

Additional information is also available online at StudentAid.gov