Total Withdraw and Return of Title IV Aid Policy


Federal regulations require the college to have a fair and equitable refund policy for students receiving financial assistance who officially or unofficially withdraw from all classes.  When a recipient of Title IV grant or loan assistance totally withdraws or ceases to attend, the institution must determine the amount of Title IV grant or loan assistance that the student earned as of the student's withdrawal date in accordance with Federal regulations.  The following will explain the process and the consequences to students. Students may also contact the Director of Student Financial Assistance at BMCC, 541-278-5753, if they have questions regarding this policy or the process through which it is enforced.

Financial Consequences of Total Withdrawal or Passing No Classes

If the student does not complete more than 60% of the term, then a calculation is completed by the financial assistance office to determine the percentage of assistance the student has earned. Any unearned assistance must be returned to the U.S. Department of Education (USDE) and/or the student's lender.  This may result in financial debt for the student to repay and will also make them ineligible for future financial assistance (including loans) due to a lack of satisfactory academic progress. Because of these serious consequences, we strongly urge students to consult with an academic or financial assistance advisor to help them with decisions about withdrawing.

Attendance and Calculation of Aid Earned

In general, federal regulations assume that the student "earns" federal financial assistance in direct proportion to the percentage of the term they complete (attend and participate). Once the student has completed more than 60% of the term, they have earned 100% of their financial assistance. This calculation counts all calendar days including the first and last day of each term, weekends and holidays. 
To earn 100% of their assistance, students must attend and participate in classes through the dates listed on the “Dates and Deadlines” page of the BMCC website. To see these dates click here:
If the student completely withdraws during the term, the financial assistance staff will calculate the percentage of the term the student completed. If the student does not attend and participate for more than 60% of the term, the unearned portion of financial assistance grants and loans funded, excluding Federal Work Study, which must be returned the USDE will be based on:
  • Date of withdrawal as determined by the college based on one of the following:
    • The date the student completes and returns the add/drop form, or
    • A date made known to the college that the student ceased attendance
The college will use this date to calculate, according to a federally-mandated formula, the portion of the total scheduled financial assistance the student has earned, and therefore is entitled to receive up to the time of withdrawal.  If the student or BMCC receive more assistance than is earned, the unearned excess funds must be returned to the USDE. On the other hand, if less financial assistance was received than the amount earned, additional funds may first be applied toward outstanding institutional charges and any excess paid to the student. Students will be notified in writing of these actions.
If withdrawal occurs after the student has completed 60% of the term, the student will have earned all of the financial assistance received and no refund will be required.
If students still have questions after viewing the “Total Withdrawal and Return of Title IV Aid” policy and the dates and deadlines above, they should check with the BMCC Service Center or a financial assistance staff regarding the deadlines and the ramifications to their future assistance eligibility and potential repayment of assistance.


Students have 30 days from the date of their bill to:

  • Pay in full the amount shown, or
  • Make written payment arrangements with the Business Office to repay the amount in full within no more than 2 years.

Should a student fail to pay the amount shown, or if they make payment arrangements but do not make their payments as scheduled, the balance will be turned over to FSA collections.

Unearned financial aid will be applied in the following order:

  1. Federal Unsubsidized Stafford Loan*
  2. Federal Subsidized Stafford Loan*
  3. Federal Perkins Loan*
  4. Federal PLUS Loan*
  5. Federal Pell Grant**
  6. Federal Supplemental Educational Opportunity Grant**
  7. Other**

*Student repayment according to terms of the loan

**No more than fifty percent of the amount received by the student

Policies are applied to all students receiving Title IV (Federal Student Aid) funds.