Withdrawal, Refund & Return of Title IV Funds

Townsend Barber Institute is committed to providing clear information about cancellation, withdrawal, institutional refunds, and the Return of Title IV Funds process. The information below summarizes how withdrawals are handled and how refunds may be calculated for eligible students enrolled in programs greater than 40 hours under a written enrollment agreement.

Cancellation Before the Program Begins

If an applicant is not accepted by Townsend Barber Institute, all tuition, fees, and other charges paid to the school will be refunded in full. Students who cancel within five business days after the enrollment agreement becomes effective are also entitled to a full refund of tuition, fees, and other charges.

If a student cancels more than five business days after signing the enrollment agreement, but before the program begins, the student will receive a refund of all tuition, fees, and other charges minus 15% of the total cost of the program, up to a maximum of 50 dollars. The enrollment agreement becomes effective when the school notifies the student of acceptance and the agreement has been signed; if acceptance is mailed, the effective date is the postmark on the acceptance letter.

Withdrawal After the Program Begins

If a student withdraws after the program starts and more than five business days have passed since signing the enrollment agreement, Townsend Barber Institute calculates a prorated institutional refund based on the student’s last date of attendance. The refund may be reduced by the initial student permit fee, up to 50 dollars, and the lesser of 25 percent of total tuition, in accordance with the school’s published policy.

For clock-hour programs, the completion percentage is determined by dividing the number of clock hours attended by the number of clock hours in the program. For term-based programs, the completion percentage is determined by dividing the number of calendar days attended by the total number of calendar days in the program. If a student withdraws after completing 75 percent or more of the program, no refund of tuition, fees, or other charges is provided.

Official and Unofficial Withdrawal

A student may officially withdraw by notifying the school in writing, by email, or verbally, including voicemail, to a school official. For mailed notices, the effective date is the postmark date; for hand-delivered notices, the effective date is the date the notice is received by the school.

A student may be considered unofficially withdrawn if the student stops attending and does not contact the school for 14 consecutive calendar days. In that case, the withdrawal date used for institutional refund and federal aid calculations is the student’s last date of physical attendance.

Refund Processing

The school provides written acknowledgment of a withdrawal request within 10 business days after notice is received. Any eligible institutional refund of tuition, fees, and other charges is issued within 30 business days after receipt of the withdrawal notice.

Students may also be eligible for a refund of equipment and supplies if items are returned within 10 days of withdrawal in a condition suitable for resale. If supplies are not returned, or are not in resalable condition, the cost may be deducted from any refund otherwise due.

Return of Title IV Funds

Students who receive federal financial aid are also subject to the federal Return of Title IV Funds policy. This federal calculation is separate from the school’s institutional refund policy and determines how much unearned federal aid must be returned if a student withdraws during a payment period.

For clock-hour programs, the percentage of Title IV aid earned is based on the percentage of scheduled clock hours completed as of the withdrawal date. Once a student completes 60 percent or more of the payment period, the student is considered to have earned 100 percent of the federal assistance for that period.

If unearned federal aid must be returned, the school returns funds to the U.S. Department of Education in the order required by federal regulations: Unsubsidized Direct Loan, Subsidized Direct Loan, Direct PLUS Loan, Federal Pell Grant, and Federal SEOG. Returns must be made no later than 45 days after the school determines the student withdrew.

Student Responsibility for Federal Aid

If the school is not required to return the full amount of unearned Title IV aid, the student may be responsible for returning the remaining balance. Loan funds are repaid according to the terms of the Master Promissory Note, while any Pell Grant overpayment may require repayment arrangements with the school or the U.S. Department of Education.

If a student owes a Title IV overpayment, the school will notify the student within 30 days of the determination that the student withdrew. If the overpayment is not resolved, the student may lose eligibility for future federal student aid.

Post-Withdrawal Disbursements and Credit Balances

If a student earned more federal aid than was disbursed before withdrawal, the student may be eligible for a post-withdrawal disbursement. Grant funds may be applied to outstanding institutional charges, and loan funds require student or parent authorization before being credited to the account.

If a credit balance remains after the Return of Title IV calculation is completed, the balance may first be applied to any grant overpayment or remaining institutional charges. Any remaining credit balance is paid to the student within 14 days after the Return of Title IV calculation is performed.

Additional Information

This webpage is a summary of the school’s published Withdrawal, Refund, and Return of Title IV Funds policies. Students should review the full catalog and enrollment agreement for complete policy details and contact the school with questions about how a withdrawal may affect tuition, charges, or financial aid eligibility.

Contact Information

Townsend Barber Institute
694 County Rd B W
Roseville, MN 55113
Phone: 651-330-9098
Website: www.townsendbarberinstitute.com