Student Refunds & Credit Balances
Definitions and general information
- A credit balance occurs when the total credits posted to a student's account (e.g., payments, loan disbursements, scholarships, etc.) exceed the total charges to the account for a specific term.
- A credit balance eligible for a refund is one where all applicable charges and credits have been posted to the account and the student’s eligibility for such funds has been reviewed and confirmed or adjusted based on current eligibility, enrollment or any other applicable conditions.
- Anticipated funds, including anticipated financial aid, are not considered credits to a student's account until the funds have actually been posted to the account.
- Accounts of students on a payment plan are not eligible for a refund unless the payment plan has been completed and paid in full, and payments exceed the applicable charges.
- Wake Tech does not hold credit balances on account for use in a future term.
- If a refund is issued and subsequently a balance is created in the student’s account, it is the student’s responsibility to return the funds to Wake Tech. A hold will be placed on the student’s account until paid in full.
- Credit balances may be related to payments from several sources, including from personal funds, Title IV federal student aid and non-federal aid funds, such as private loans and grants and other external awards.
- Wake Tech’s policies and procedures for handling student account credit balances adhere strictly to federal and other regulatory requirements, as applicable, and vary depending on whether a credit balance is related to federal aid funds or not.
Common reasons/causes for credit balances
- If a student withdraws from any or all classes, the level of federal student aid, or Title IV funds, (e.g., Direct Loans, Plus Loans and Pell Grants) awarded or earned may need to be recalculated by the Financial Aid Office. Depending on the situation, funds may need to be returned to the federal source or refunded to the student. The amount of federal aid that may need to be adjusted and the pro-ration of the tuition, if any, is based on the date of withdrawal.
- Credit balances may also be related to and affected by changes in a student's expected enrollment status prior to a term, including non-enrollment.
- If a student's enrollment status changes as a result of adding or dropping classes, the student's federal aid award may need to be adjusted, and this may affect the amount of any refunds.
Credit balance and refunds due to federal financial aid
- For students who have a credit balance and are recipients of Title IV federal aid, the level of aid awarded may need to be recalculated by the Financial Aid Office depending on the specific situation.
- Wake Tech will credit Title IV federal aid funds to a student's account only against allowable institutional charges, including the following:
- Current charges for tuition and fees
- Other educationally related charges incurred by the student at the college, such as the bookstore, with written authorization (provided at time of purchase)
- Prior-year charges, up to and not exceeding $200 with written authorization (provided in financial aid terms and conditions)
- Wake Tech will automatically issue refunds for eligible credit balances related to Title IV funds.
- Wake Tech processes and posts financial aid to student accounts after the beginning of the term. Any credit balances related to Title IV funds will be refunded no later than 14 days after the date the credit balance has posted on the student's account, per federal regulations.
Credit balance and refunds due to other reasons
- If a student or parent overpays the student's account, related credit balances will be refunded to the student, regardless of the source of the payment.
- If a credit balance on a student's account is related to non-Title IV funds (e.g., scholarships, grants or private loans), the credit balance in the account may be reduced, may be returned to the source or may be refunded to the student, depending on the specific situation and the conditions of the award.
- If a credit balance on a student's account is related to payments by a third party sponsor for whom Wake Tech has billed, the credit balance may be sent to the sponsoring organization, depending on the conditions of sponsorship.
Disbursement of credit balances and refunds
Refunds are disbursed via BankMobile for both federal and non-federal student refunds. For the quickest release of your funds, a student should designate a refund preference selection prior to the refund disbursement. Visit BankMobile for more information.