Return to Title IV (Federal) Aid Policy

If you receive federal funds as part of your financial aid package and you either officially or unofficially withdraw from all classes during an academic semester, you may be required to return all or a portion of those federal funds. This is called the Return to Title IV Policy (Title IV is a federal statute that relates to federal financial aid).

This website provides basic information regarding the Return to Title IV Policy. The complete policy can be found in the HFC Financial Aid Return to Title IV brochure. The brochure contains very detailed information, as well as examples for how the required calculations are performed.

Withdrawing or Ceasing Attendance: Implications for Federal Financial Aid

It is very important that you attend and complete your classes. If you withdraw from school officially (drop all courses) or unofficially (fail to attend courses or stop attending and do not successfully complete ANY classes with a letter grade of either "A," "B," "C," "D," or "S") before the semester is completed, and you have already received federal financial aid funds, the U.S. Department of Education will initiate a Return of Funds Calculation. This calculation may result in all, or a portion of, your financial aid for that semester being returned to the U.S. Department of Education. This means you will owe those funds back to Henry Ford College. It will be your responsibility to repay these funds in a timely manner.

In addition, if you are assigned the grade of incomplete ‘I,’ this does not constitute completion of a course. Students are usually expected to complete the required work within a reasonable time to receive credit and a passing grade. For Return to Title IV purposes, in these cases a calculation must be performed by the 30 day deadline unless you receive a passing grade or a grade denoting completion of the course by the deadline.

New R2T4 Withdrawal Exemptions

Effective July 1, 2021, withdrawn students may qualify for one of three new withdrawal exemptions by:

  • Completing all requirements for graduation before completing the period they were scheduled to complete; or
  • Completing coursework greater than or equal to half-time enrollment [6 credits+] with passing grades; or
  • Completing one or a combination of modules that includes 49% or more of the number of days in the payment period excluding breaks of 5 or more consecutive days and all days between modules.

Example 1 | Confirmation of Future Attendance

During the Fall 2021 semester, a student is enrolled in one first 8-week class and one second 8-week class, but is not enrolled in any other classes. If the student drops the first 8-week class during the third week of the award period, a Return to Title IV Aid calculation must be performed within 30 days, even though the student is still enrolled in a second 8-week class, beginning in the ninth week of the award period. This calculation can only be avoided if the student provides written confirmation to the Office of Financial Aid of their intention to remain enrolled in the second 8-week class and to attend that class.

Example 2 | R2T4 Withdrawal Exemption

During the Fall 2021 semester, a student is enrolled in two first 8-week classes, and one 16 week class. The student completes 6 credit hours (half-time), and earns passing C grades in the first 8-week classes, but, then drops the remaining 16 week class after the ninth week of the award period. The student qualifies for a R2T4 Withdrawal Exemption since the student completed the equivalent of half-time enrollment (6 credits) with passing grades even though the student dropped the remaining 16 week class.

For more detailed information on R2T4 Withdrawal Exemptions, contact the Office of Financial Aid.

Repaying Financial Aid Received

If the Return of Funds Calculation determines that you must repay all or a portion of the financial aid you received, you will receive a letter from the HFC Office of Financial Aid notifying you of the amount, and the date for repayment. You can also view the amount you owe by looking at your account via Self Service (login through

The Return of Funds Calculation does not consider the reasons for your withdrawal. It is simply a calculation of how much you must repay. If you are notified to repay all or a portion of the financial aid you received for a semester, the decision is final. The U.S. Department of Education provides no appeal process for the amount you are required to repay. The amount is based on the Return of Funds Calculation due to your withdrawal from classes.

This policy is completely separate from the HFC Tuition Appeal Process.

If you are having trouble repaying required funds, please reach out to the office of Financial Aid to make repayment arrangements. Failure to repay Financial Aid funds owed will result in your not being able to register for subsequent classes, and may result in your being referred to a collection agency.

We encourage you to contact Financial Aid with specific questions regarding this policy.