How Financial Aid is Affected by Student Withdrawal

If you are planning to withdraw from a class or from the university entirely, it may result in the return of your financial aid awards to the Department of Education or the removal of your institutional aid. It is important to contact your financial aid advisor via email before proceeding so we can help you understand how this decision will affect your financial aid and overall financial situation.

The calculation of Federal Aid will be determined according to the definitions and procedures outlined by federal regulations. Please note that the Return of Title IV (R2T4) calculation may differ from other procedures used at Houston Christian University.

Dropping below half-time enrollment (six credit hours for undergraduates and five credit hours for graduate students) will make you ineligible for loans.

Dropping below full-time enrollment as an undergraduate (12 credit hours) will cause you to lose your merit, state and institutional aid.

If you drop or fail all of your classes this semester, you may be required to repay some of your financial aid. If you fail all classes with F’s, Incompletes, or W’s will cause you to repay some of your financial aid also. Visit Return and Repayment of Title IV Funds for more details.

How a Withdraw may affect future enrollment

If you are on financial aid warning or probation, dropping a class may result in the suspension of your financial aid for upcoming semester(s). Please contact the Financial Aid Office to verify your status before making any changes to your schedule.

Dropping or withdrawing from classes can impact your academic progress as an undergraduate or graduate student, and you will receive a ‘W’ (withdrawal) grade on your transcript for each class you withdraw. Having too many ‘W’ grades may lead to financial aid warning, probation or suspension statuses. Each case varies by student academic standing, so it is important to work closely with your Instructors, Academic Advisors, Academic Records, Financial Aid Counselors and the Students Account Office to explore all of your options before making any final withdraw decisions. In addition, withdrawals may cause you to owe funds and future holds on the students account.

What is considered a Withdraw?

Under federal regulations, a student is considered withdrawn when they cease enrollment during a semester, even if they have completed courses in a prior session of the same semester. Withdrawals can occur either through student official requests or due to an administrative withdraw from courses (such as suspension, lack of participation or overdue account balances). Additionally, a student who fully withdraws from the university is also considered withdrawn. Students who stop attending classes without formally requesting to withdraw may also be treated as withdrawn for the semester and it is called an Unofficial Withdraw.

Official Withdrawals

A student is considered ‘officially‘ withdrawn on the date they notify either the Office of Academic Records or contacts their Academic Advisor with their intent to withdraw.

The university reserves the right to use the student’s last date of participation in an academically related activity as the withdrawal date for the purposes of the Return of Title IV Funds (R2T4) calculation if this date more accurately reflects the student’s withdrawal than the date the student began the official withdrawal process.

A student may rescind their withdrawal notification in writing to the Office of Academic Records and continue in the program. However, if the student later drops or withdraws, the original withdrawal date or the date of notification of intent to withdraw, will be used for any subsequent withdrawal processing.

Unofficial Withdrawals

Students who do not receive a passing grade in any courses during a term and have not officially withdrawn will be evaluated for an unofficial withdrawal. The instructor will report the last date of attendance when assigning any failing grades. If a student is found to have ceased attendance prior to the last scheduled class date, resulting in a failing grade, the student will be considered to have unofficially withdrawn. In such cases, the Office of Financial Aid will calculate a Return of Title IV Funds (R2T4) to determine the amount of earned and unearned aid.

What is the student’s withdrawal date?

The official withdrawn date by the Office of Academic Records will be used to determine how much Federal Aid was earned is based on one of the following:

  • The date the student initiated the institution’s withdrawal process (as described in the University catalog) or officially notified the institution of their intent to withdraw.
  • The student’s last date of attendance in a documented academically related activity (i.e. submitting assignments, responding to discussion boards, per instructors reports at the end of the term).

How Federal Aid Is Earned

Federal aid is earned on a prorated basis depending on the length of time you participated in your courses. The institution will calculate the amount of earned aid using the Department of Education’s prorate schedule, based on your withdrawal date. Any unearned funds will be returned to the Department of Education within 45 days. Additionally, Pell Grant funds may be adjusted downward before being included in the Return to Title IV (R2T4) calculation if the student failed to begin attendance in all courses for which the Pell Grant was awarded.  The academic calendar may assist you with dates to consider.