Refund and Repayment Policy
CNM Recoup Policy
An important issue that can affect financial aid eligibility involves dropping courses before the census date. This date can be found in the Schedule of Classes under the heading, “Last Day to Drop without a W.”
Classes dropped before the census date are not eligible for financial aid.
When a student drops a class before the census date we must reduce the student’s grant eligibility by the amount that the student was paid for that class. Students are billed for this amount with a “hold” placed on their registration until it is paid in full. This process is called “Recouping.”
Students who wish to withdraw completely from CNM must officially drop all their classes. All classes can be dropped online or in person at any Registration Office. Students who do not drop all their classes by the published deadlines (see the Schedule of Classes) will receive final grades.
According to federal Return of Title IV Funds provisions, students who receive financial aid and then withdraw from all coursework before 60% completion of the term may have to pay back a portion of their Title IV grants and/or loans received. The amount is determined by a federal formula.
Federal Student Aid may not cover all unpaid institutional charges due to the institution upon the student's withdrawal.
Officially withdrawn students are notified of any grant or loan over-payment within two weeks by CNM's billing cycle.
Students who are in modular programs (less than full term length classes), and who drop at least one class, may have to repay a portion of Title IV aid. It depends on the answers to the following questions:
- At the time the student dropped the class, was he/she enrolled in another class?
- Has the other class already started?
If the other class has not yet started, the student will be asked to provide a written confirmation of future attendance. If the student does not provide this confirmation of future attendance, he/she will be considered a modular withdrawal.
If the other class has started, and the student is attending, the student is not considered a modular withdraw.
Students who are modular withdraws are notified of any grant or loan over-payment within two weeks by CNM's billing cycle.
Students who earn no passing grades in a given term are assumed to have unofficially withdrawn. Unofficially withdrawn students are students who receive Title IV financial aid and then stop attending all coursework. Unofficially withdrawn students may be required to repay a portion of their Title IV financial aid received unless the school can document that the student participated in academically related activities through 60% completion of the term.
Unofficially withdrawn students are notified of any grant or loan over-payment within two weeks by CNM's billing cycle.
Return of Title IV Funds
Students who withdraw from the College either officially, unofficially, are modular withdraws will be subject to the Federal Return of Title IV Funds Policy.
When a student withdraws, the amount of financial aid that has been "earned" by a student is based on the number of days attended. If the amount of aid disbursed to the student is less than the amount the student earned, he or she may be eligible to receive a post-withdrawal disbursement of the earned aid that was not received.
Post-withdrawal disbursements are subject to proof of attendance through the date of withdrawal.
Students are not eligible to receive aid for classes dropped before the census date as described above.
If the amount of aid disbursed to the student is greater than the amount the student earned, he or she may need to repay a portion of the aid that was not earned.
Student Responsibility for all unearned Title IV Program assistance
When a return of Title IV Funds is due, both the school and the student have a responsibility for returning funds to the Department of Education (ED).
The repayment distribution depends on the type of funds received by the student and is repaid by CNM in the following order:
- Unsubsidized Federal Stafford Loan
- Subsidized Federal Stafford Loan
- Federal Perkins Loan
- Federal PLUS Loan
- Federal Pell Grant
- Federal SEOG
After forty-five days, if the student fails to pay the refund to CNM, the debt may be referred to the Department of Education for collection. The student is ineligible for any further federal financial aid at any school in the country until that debt is paid off.