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Federal regulations require Title IV financial aid funds to be awarded under the assumption that a student will attend the institution for the entire period in which federal assistance was awarded. When a student withdraws from courses for any reason, including medical reasons, he/she may no longer be eligible for the full amount of Title IV funds that he/she was originally scheduled to receive.
Cal State East Bay students who receive federal financial aid and do not complete their classes during a term could be responsible for repaying all, or a portion, of the aid they received. Students who do not begin attendance must repay all financial aid disbursed for the term.
We encourage students to read all the information below prior to making a decision to withdraw.
Please review the Institutional Withdraw Policy
When the student withdraws (officially, unofficially, or is dismissed from Cal State East Bay prior to the end of the term), they may no longer be eligible for the full amount of funds that were originally awarded.
If a student withdraws before completing more than 60% of the term, the amount of financial aid earned must be determined, by performing a Return of Title IV (R2T4) funds calculation. A student must complete more than 60% to avoid repayment. All unearned aid MUST be returned (canceled from the student's account). The student will be notified in writing if any aid must be returned and their total amount owed to the university.
The amount of unearned aid is determined by a daily prorated ratio. Once the student has completed more than 60% of the term, they are considered to have earned all of their federal assistance they were scheduled to receive.
Students considering withdrawing from Cal State East Bay are encouraged to contact the Office of Financial Aid to determine any financial aid impacts.
Unearned financial aid funds will be returned in the following order:
- Federal Direct PLUS Loan
- Federal Unsubsidized Direct Stafford Loan
- Federal Subsidized Direct Stafford Loan
- Federal Pell Grant
- Federal SEOG Grant
- Federal Iraq and Afghanistan Service Grant
- Other Title IV Programs
*Work-study wages earned are not included in the return of federal financial aid calculations.
Any grant overpayment identified in the R2T4 calculation must be repaid by the student within 45 days of receiving notification from the Financial Aid Office. If the grant overpayment cannot be paid in full, a repayment plan may be arranged with the Student Financials Office. If a student does not repay the grant funds or make a satisfactory payment arrangement within 45 days, the account will be turned over to the U.S. Department of Education (ED) as an overpayment of federal funds.
Students who owe an overpayment of Title IV funds are ineligible for further disbursements from federal financial aid programs at any institution until the overpayment is paid in full.