Rights & Responsibilities for Federal Aid

Please read the items outlined below so that you are fully informed about your responsibilities and obligations when receiving federal aid. Additional information about federal aid can be found on Federal Student Aid.

1. Tuition Payment, Refunds and Deadlines

Tuition is due before the start of each term. Financial aid accepted on MyUSU will count as payment before it disburses.
You are solely responsible for paying any remaining university charges beyond your financial aid payment before fee payment deadline.
University charges including tuition, fees, housing, meal plans, etc. will be deducted from your financial aid.
Your financial aid payment may adjust as you drop and add classes at the beginning of the term.
Leftover financial aid, if any, is generally sent to you at the beginning of the semester by direct deposit or USPS mail.
New: Federal aid cannot be disbursed until the week before you begin attending classes. If you do not have any courses that start on the first day of the semester, your refund will be postponed until your classes begin.
There are established federal and school deadlines for accepting and receiving financial aid. Missing deadlines will make you ineligible for financial aid.

2. Enrollment Affects Federal Aid Eligibility

Eligibility for Federal Pell Grants, federal or private student loans, Federal Work-Study, Federal TEACH and supplemental grants will be based on your enrollment each term.
Undergraduates taking 12 or more credits will generally receive the full amounts of aid they were offered on MyUSU/Banner.
Undergraduates taking less than 12 credits each term may have their aid adjusted (including student loans) to account for lower tuition costs.
Graduates taking 5 or more credits will generally receive the full amounts of aid they were offered on MyUSU/Banner.
Graduates taking less than 5 credits each term may have their future aid adjusted to account for lower than estimated tuition costs.
Students will be notified of any changes in their eligibility and may need to pay back a portion of their federal aid.

3. Federal Pell Grants

Grants adjust or prorate as you add or drop classes during the first three weeks of the term (to full-time 3/4-time, half-time, or less than half-time depending on eligibility).
Summer semester grants adjust or prorate based on what sessions you are taking.
Grants may not adjust for any classes added after the first three weeks of fall and spring semesters even if the class has not started.
If you are eligible, Federal Pell and Supplemental Grants are automatically accepted for you at the time you receive your financial aid award notification.
You must notify us in writing if you want to decline your Federal Pell Grant.
The amount of Federal Pell Grant you may receive over your lifetime is the equivalent of 12 full-time semesters.

4. Federal Student Loans Have Additional Requirements

Please be aware of annual and lifetime student loan limits. You may be eligible for additional loan funds that do not appear on MyUSU/Banner.
Undergraduate federal student loans at USU require half-time enrollment (at least six credits) for disbursement and loan deferment regardless of grade level or semester.
Graduate federal student loans at USU generally require half-time enrollment (at least five credits) for disbursement and loan deferment.
You are fully responsible for repaying your student loans, all accrued interest, and meeting all other terms and conditions of the loan.
To receive a student loan, you must also sign an online promissory note and complete online loan counseling before your funds can be disbursed.
Federal Direct Student Loans are charged about 1% in origination and guarantee fees. These fees are deducted from the loan before they are sent to USU.
Dropping below half-time enrollment any time during the semester will initiate the six-month grace period before Federal Direct Loan repayment begins.
Undergraduate loans may be reduced if the borrower is only attending one semester of an award year and is scheduled to graduate. Reductions generally occur when a student is below full-time enrollment and are proportional to the number of enrolled credits.

5. Dropping, Failing and Repeating Courses

You can only receive federal aid for a single repeat of a class you have already passed.
Grants adjust or prorate as you add or drop classes during the first three weeks of the term (to full-time 3/4-time, half-time status, or less than half-time status depending on eligibility.)
You must begin attendance (participating academically) in every class while receiving Federal Pell Grants. For online classes, academic participation means submitting assignments, quizzes, or tests. For federal aid purposes, logging into the course, and/or watching online content does not count as academic participation.
If you drop classes during the first three weeks, you may be required to repay a portion of your grant funds immediately.
Summer semester grants adjust or prorate based on what sessions you are taking.
If you withdraw from or fail a class and USU is not able to verify class participation, you may be required to repay the grant you received for that class. Please note that grants cannot be reinstated for NF grades without a grade change and verification of participation.
You may be required to immediately repay USU all or a portion of your financial aid if you completely withdraw from your classes during the semester.
You may be required to immediately repay USU all or a portion of your financial aid if you receive failing grades in all your classes after receiving financial aid funds.
If you don't plan on attending any courses for which you are already enrolled, you are responsible for dropping those courses.

6. Warning: Don't Lose your Aid! Your Academic Responsibility

Financial aid comes with standards and limitations to encourage you to graduate in a timely manner.
To receive federal financial aid, federal law requires you to make satisfactory academic progress toward a degree.
Undergraduate students must maintain a minimum cumulative 2.0 USU GPA after each term.
Undergraduate students must also earn passing grades in at least 67 percent of the courses on their transcript - including all transfer credits.
Graduate students must maintain a minimum cumulative 3.0 USU GPA after each term.
Federal aid recipients can attempt a limited number of credits before their federal financial aid is discontinued:
- Certificate of Proficiency - 24 credits
- Certificate Program - 45 credits
- Associate Degree - 90 credits
- First Bachelor's Degree - 180 credits
- Second Bachelor's Degree - 60 credits
- Graduate Program - 60 credits
Appeals are available by request for students who had extenuating circumstances that are now under control.
Graduate students must also earn passing grades in at least 50 percent of the courses on their transcript.

7. Other Requirements and Responsibilities

Financial aid may only be used for education-related expenses, including tuition, books, fees, transportation, and room & board.
Federal Work-Study comes with additional Terms & Conditions.
Audited and year-long independent study classes do not qualify for financial aid including loans.
You must notify Student Financial Support with the amounts of any financial assistance which you may receive from other sources which do not appear on your application or MyUSU/Banner. This includes any scholarships, rehabilitation assistance, veterans educational benefits, assistantships, fellowships, stipends etc.
According to federal regulations, financial aid including student loans must be adjusted to make room for scholarships, waivers, third-party tuition assistance etc. This may result in a reduction of financial aid that must be returned immediately.
You cannot receive Federal Pell Grants from more than one school during the same or overlapping periods of enrollment.
Any loans received from more than one school may require adjustment to fit within federal loan limits.
You must notify Student Financial Support about any financial aid that you are receiving from another school.
We keep all comprehensive, accurate program and fiscal records related to use of FSA program funds, following the FSA Handbook, Volume 2, Chapter 7 specifications about Record Keeping, Privacy, & Electronic Processes.

8. Federal Financial Aid Is Awarded and Disbursed to You Provisionally

Important: Federal financial aid is subject to adjustment, cancellation, proration, or immediate repayment for the following reasons, even if it has already disbursed.

Any errors or conflicting information found during the application, verification, quality control, awarding, auditing, processing or disbursing of your aid.
Any changes you make to your FAFSA that result in the verification of your application data.
Failure to submit any requested documentation after federal aid has been offered or disbursed.
The addition or adjustment of scholarships, waivers, fellowships, stipends, outside financial assistance, living allowances, etc. at any time during the award year.
Changes in enrollment.
Only attending one semester in an award year before program completion.
Complete withdrawal, unofficial withdrawal (0.0 GPA), suspension from the university, or leave of absence during the term.
Insufficient academic progress including low GPA, excessive credits, or frequent dropping, failing, or repeating classes.
Changes in residency, tuition costs, program costs, etc.
Changes in your admission status, matriculation or degree/certificate program, grade level, or graduation status.
Changes made to your academic transcript, such as the late inclusion of transfer credits.
Changes made to your financial aid awards from other schools you have attended.
Notifications from the United States Department of Education about federal grant and student loan limits, default, overpayment, change or loss of eligibility, etc.
Changes in federal and state laws, regulations, or funding appropriations.

You will be notified by mail or email if you are required to immediately repay any financial aid that was adjusted for the reasons above. Payment plans can be arranged to accommodate your ability to repay federal financial aid.