Financial Aid Rules regarding Withdrawals, Failing Grades, and Refunds (R2T4)

Please review the Terms of Agreement and either drop it in the drop box in the front of our office on the wall, fax or mail it to us.

Important Information Regarding Withdrawals

Classes Dropped

If you withdraw from all of your classes before 60% of the semester, you may be expected to repay all or a portion of your financial aid.

Dropping Below 6 Units

If you receive a financial aid check based on six (6) or more units and then drop below six units to less than half-time prior to receiving your second check, you will be required to repay all or a major portion of your financial aid. For example, if your original Pell Grant for the semester was $2000 and you received your first disbursement of $1000 (50%), you would have to repay a significant amount if you dropped to less than half-time status.

Withdrawing Without Completing A Withdrawal Form

If you do not officially withdraw from your classes and receive all F’s, NC’s, I’s and W’s and did not attend classes through 60% of the semester, you may be expected to repay all or a portion of your financial aid.

Student Loan Borrowers

Withdrawing from all of your classes or dropping below 6 units will terminate your “IN-SCHOOL” status. Failure to re-enroll within the next six months will place your student loan in “REPAYMENT” status where you must begin making payments on your loan. Federal loans must be repaid regardless of whether you complete your college program or are able to find employment.

Avoid Repayment

If you dropped units, consider enrolling in short term, mid-semester classes. If you are thinking about dropping classes, contact the financial aid office to see if and how it may affect your eligibility. The Counseling Department is available to assist you in developing or modifying your class schedule.


Upon acceptance of financial aid (cashing a check or accepting direct deposit), I hereby certify that:

  • I will enroll in an eligible program and attend classes at one (or more) of the campuses/centers through State Center Community College District.
  • I understand that my financial aid award is subject to change according to my enrollment status.
  • I understand that if repayment is required, I will be ineligible to receive any additional grant money until repayment is complete. I understand that under repayment or default status, academic transcripts will not be released to other institutions.
  • I have read SCCCD’s Financial Aid Satisfactory Academic Progress Policy and understand I must meet these standards in order to continue receiving financial aid.
  • I will promptly answer all letters related to my financial aid.
  • I will notify the Financial Aid Office if I change financial aid unit status, change attending institution or enroll in more than one institution.
  • I realize payment of EOPS or OASIS funds are contingent upon compliance with all applicable guidelines.
  • I realize I must be in the proper number of units approximately ten days before check disbursement date in order to receive my financial aid and I understand that I may NOT be paid for short-term or wait-list classes until officially enrolled in and actually attending them.
  • I agree to repay any funds disbursed to me in error, or for any period of time I was not eligible to receive funding or was not enrolled.
  • I also understand that any fees owed to the institution will be subtracted from my financial aid check unless alternate payment arrangements have been made with the Campus Business Office.

Terms of Agreement

I authorize SCCCD to release and / or transmit all information contained in my application for aid and / or concerning my prior year’s awards to any governmental agency, institution of higher education, scholarship donor or lending institution upon request of those agencies.

To the best of my knowledge, the information contained in my application is correct and complete. SCCCD has my permission to verify this information and I agree to release to the Financial Aid Office copies of my Federal Income Tax Return and other income and asset verification upon request. By accepting financial aid (cashing a check), I acknowledge that I have read and fully understand the provisions stated above. I certify that I am in full compliance with the terms listed above.

Withdrawals and Return of Title IV Funds Policy

Title IV funds are awarded to a student under the assumption that the student will attend school for the entire period for which the financial aid is awarded. When a student withdraws from all classes, the financial aid award amount for the student is affected. When a student receives a combination of F/Ws or all Fs, we must treat it as if the student dropped all classes.

According to Federal Student Aid regulations:

  • When a student fails to begin attendance in all classes but receives financial aid, the entire amount must be returned. The student is considered a “no show”. The institution will return all federal funds disbursed to the student back to the Department of Education, and the student will be billed the amount returned.
  • When a student withdraws before completing more than 60% of the term, the student may no longer be eligible for the full amount of Title IV funds that the student was originally scheduled to receive. The financial aid office will perform a return of funds calculation to determine how much the institution and the student must return. If the institution is required to return funds on the student’s behalf, the student will be billed and a hold will be placed on the student’s account, which will prevent students from registering from classes and obtaining academic transcripts.
  • When a student withdraws after completing more than 60% of the term, the student will not owe any repayment to the institution or the Department of Education. The student has earned 100% of the financial aid received.
    When a student withdraws and the return of Title IV funds calculation performed indicates that a student has not received all financial aid entitled to, it is called a post-withdrawal disbursement. Our office will notify you by email.

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