Understanding Return of Title IV Funds

Under the higher education amendment regulation called Return of Title IV Funds (RTIVF), all students receiving Title IV federal grant or loan assistance who withdraw from the institution in the first 60 percent of the term are subject to the RTIVF policy. This regulation affects the calculation of aid to be returned as well as repayment procedures. The percentage of aid earned by a Title IV student is determined by calculating the percentage of the period that the student completed. If the student completes up to 60 percent of the term, then the percentage of aid earned equals the percentage of the completed period. If the student completes 60.01 percent or more, then the student earns 100 percent of aid. The amount of Federal Title IV aid that students must return when they withdraw from school is no longer associated with the refund policy of an institution. Refund policy and return of funds procedures are independent of one another. Refund policy is defined by your institution, whereas Return of Title IV Fund is defined by law.