FINANCIAL AID INFORMATION
- Federal Financial Aid Programs
- Types of Federal Student Aid
- Financial Aid Disbursement Schedule
- Financial Aid Prior to Attending MPI
- Financial Need
- Credit Balances
- Financial Aid Holds
- Loan Default Prevention
- Institutional Refund Policy
- Refund Calculation
- Refund Return Period
- Institutional Refunds for VA Certified Students
- Return to Title IV Policy
- Late Fees
- Satisfactory Academic Progress
Federal student aid is awarded based on the applicant’s need and factors such as income, assets, and benefits. Financial aid applications and a guide to financial aid are available from MPI Financial Aid. The guide provides general information regarding eligibility, application processes, and Federal financial aid programs.
Students interested in applying for federal financial assistance must complete the Free Application for Federal Student Aid (FAFSA) online at www.fafsa.gov and list our school code OPEID: 042938.
The FAFSA may be completed online at www.fafsa.ed.gov NOTE: Special status and students who do not meet eligibility and/or citizenship status on the FAFSA may not be eligible for federal student financial assistance. For additional eligibility information, please visit http://studentaid.gov/eligibility
Once a valid and processed FAFSA is received, this information will be reviewed to determine if additional information and updates are required (a process called VERIFICATION). If no additional information or updates are required, the FAFSA will be used to determine a student’s eligibility for various aid programs. Your eligibility will depend on the following items:
Cost of attendance (COA)
Expected Family Contribution (EFC)
Year in school; and
Enrollment status (full, ½ time)
For more information about the FAFSA and how information is used to determine student aid eligibility, amounts, and other detailed information, please visit studentaid.ed.gov.
Students receive a financial aid award letter when their application for financial aid has been processed that states the type, amount, and conditions of financial aid offered. The student must be admitted to MPI, remain in good academic standing, and meet all other general eligibility requirements for student financial assistance.
In addition to the FAFSA, students who anticipate using federal financial aid may also need to complete and submit these documents:
— Master Promissory Note (MPN) (if student loans are being requested).
— Entrance Counseling (if student loans are being requested).
— If selected for verification, a tax transcript from the prior year is required. For
example, the 2020-2021 FAFSA verification requires the student or parent’s 2018 tax
Students are responsible for payment of tuition and course materials fees not covered by federal financial aid prior to the start of each course.
Federal Student Aid includes Pell Grants, Subsidized and Unsubsidized Stafford Loans, and Parent PLUS Loans.
Federal Pell Grants:
The Federal Pell Grant Program provides need-based grants to low-income undergraduate students. Financial need is determined by the U.S. Department of Education which is dependent on the student's expected family contribution, the cost of attendance, the student's enrollment status, and whether the student attends for a full academic year or less. MPI will advise students as to your eligibility after having completed the Free Application for Federal Student Aid (FAFSA). A Federal Pell Grant does not have to be repaid.
The Federal Direct Loan Program:
The Federal Direct Loan Program is a Student Financial Assistance program provided by of the U.S. Department of Education that provides students with a simple, convenient, and flexible way to borrow money to pay for Postsecondary education. Schools that participate in the Federal Direct Loan Program receive loan funds directly from the U.S. Department of Education and disburse them to eligible students. Direct loans are: simple—borrow directly from the federal government; convenient—access Direct Loan resources and your account information online, 24 hours a day, 7 days a week; flexible—choose from several repayment options.
Federal Student Aid (FSA) will be disbursed in two (2) equal disbursements. Each disbursement will be approximately half ( ½ ) of the FSA that the student has been awarded. Since origination fees are charged to Stafford and PLUS loans, disbursements of FSA loan funds will be of the net amount the awarded loan amount.
The first disbursement of Direct Stafford loans will occur approximately thirty (30) days after a student begins attending classes. Pell grants and PLUS loans typically disburse after the 1st week of class. The second and final disbursement will occur once a student has successfully completed 338 clock hours and at least 23 weeks of instruction.
Federal regulations require an institution to determine all previous Federal Title IV aid received by the student prior to disbursement of funds when a FAFSA is processed. The Central Process System matches students against the National Student Loan Data System (NSLDS).
MPI will review all NSLDS data reported by each school at which a student was previously enrolled. Financial aid awarded at other schools could limit the amount of financial aid available at MPI.
Financial need is defined as the difference between the cost of attending school and the student’s (and/or family’s) expected family contribution (EFC). A Central Processor to whom the student’s Free Application for Federal Student Aid (FAFSA) is submitted conducts determination of the EFC, based on federal guidelines. MPI staff then determines the student’s Cost of Attendance. An average cost of attendance for a student attending MPI consists of tuition and fees, room and board allowance, transportation allowance, personal and miscellaneous allowance, and books/supplies allowance. Tuition and direct academic costs are assessed for one academic year.
Living expenses are estimated using nationally approved living expense guidelines. These components of the cost of attendance are estimates and will vary from student to student depending on the student’s living arrangements (students living with parents, roommates, or living on their own).
For specific details on calculating cost of attendance, contact the Financial Aid Director.
The federal need formula can be stated as follows: Cost of Attendance – EFC – estimated financial assistance not received under Title IV = Financial Need. Financial need determines eligibility for different sources of student aid.
If a student receives funding in excess of their tuition and fees, the student may choose to have the credit balance refunded directly to the student. If the credit balance is the result of student loan funds, students may choose to have the funds returned to the lender - doing so will reduce the loan amount.
Credit balances will be refunded per the student’s instructions within 14 days of the credit balance occurring. Payment of credit balances will be made by check. Students who plan to borrow additional funds for living expenses should be aware that funds will not be immediately available. Please refer to the financial aid disbursement schedule for details on when disbursements of aid are expected. Living expense checks will not be issued until a credit balance occurs on the student’s account.
The Department of Education randomly selects students for verification. Students who have had their FAFSAs selected for verification must submit all verification documents within 30 days of being selected for verification.
Applicants who are selected for verification prior to enrollment must complete all verification requirements before the first day of scheduled classes. The U.S. Department of Education encourages students and parents to use the IRS Data Retrieval Tool to import data from their tax return and not change it. It is the most efficient method of meeting verification requirements. If students cannot or will not use the IRS Data Retrieval Tool they must provide an IRS tax return transcript for the student and spouse or parents as applicable. Other documentation may include a signed statement, institutional certification, copy of the tax return, Form W-2, Form 4868, agency documentation, original government issued ID and signed statement of educational purpose or a copy of that ID and the statement notarized. Students will be notified of what documentation is required to meet their verification requirements.
No aid will be disbursed to students until the verification process is complete.
Students who are not meeting MPI’s Satisfactory Academic Progress standards will not be eligible to receive any disbursements of Federal Student Aid (see SAP policies). In such cases, disbursement of aid will be placed on hold until the student has regained a satisfactory academic standing.
Students are responsible to repay, in full, all loans used to pay for their education. Repayment of student loans helps ensure the availability of loan funds for the future. Borrowers are encouraged to take the responsibility of loan repayment seriously.
Some helpful hints on avoiding delinquency are as follows:
— Send in the required payment each month even if a bill was not received.
— Send in larger or additional payments to reduce the amount of interest paid on the loan. Be
sure to indicate that the extra amount should be applied to the principal or used as a future
— Remember that overpaying one month does not mean that the next month’s payment can
be skipped or reduced.
— Call your lender/servicer immediately if the payment will not be made on time or in cases of
financial hardship. The lender/servicer may be able to work out an alternative plan.
— Know deferment rights. After sending in the necessary forms, follow up with the
lender/servicer to confirm that the appropriate loan(s) has been deferred.
— Understand the borrower’s rights and responsibilities under each loan program. Keep all
paperwork such as promissory notes, lender correspondence, cancelled checks, etc.
— Always call to resolve a discrepancy.
— Never ignore correspondence or requests for payment from the lender/servicer. If a default
occurs on the loan(s), despite all arrangements available to prevent this from happening,
the following repercussions may occur:
— The default status may be reported to a national credit bureau and have a negative effect on
credit ratings for seven years.
— Deferment possibilities may be lost.
— Wages may be garnished.
— Federal and state income tax refunds may be withheld.
— Ineligibility status for any further federal or state financial aid funds.
— The entire unpaid amount of the loan, including interest and cost of collection, may become
due and payable immediately.
Students may obtain additional information about loan repayment and default prevention guidance from the MPI Financial Aid Office.
Refund Policy: MPI student refund policies are compliant with state law and post-secondary authorization licensing rules. All refund policies are printed in the MPI catalog and Enrollment Agreements.
Refund if MPI Cancels Classes: If tuition and/or fees are collected in advance of a start date and the school cancels the classes, all tuition and fees will be refunded.
Refund If MPI Rejects an Applicant: If an applicant is rejected by the school, he or she is entitled to a 100% refund of tuition (0% tuition charged) and all fees.
Students’ Right-To-Cancel: Applicants who have not visited the school prior to enrollment will have the opportunity to withdraw without penalty three business days following either the regularly scheduled orientation procedures or following a tour of the school facilities and inspection of equipment where training and services are provided.
All monies paid by an applicant must be refunded if requested within three business days after signing the enrollment agreement and making an initial payment. An applicant requesting cancellation more than three days after signing an enrollment agreement and making an initial payment, but prior to entering the school, is entitled to a refund of all monies paid minus a $150.00 registration fee.
An applicant may contact the Director of Enrollment or Student Advisor to cancel their enrollment.
Cancellation after the Start of Class: If a student cancels after starting class, student will be liable for the following:
1. The $150.00 registration fee and $150.00 technology fee.
2. Tuition as of the student’s last date of attendance (“the effective date”) based
on the refund policy outlined below.
Withdrawal or Termination after the Start of Class and after Cancellation Period:
Student shall be deemed to have withdrawn or terminated from the school once instruction has begun and when any of the following occurs: (1) student notifies the Director of Enrollment or a Student Advisor of his or her intent to withdraw or as of the effective date (last date of attendance) of Student’s withdrawal, whichever is later; (2) declared unofficially withdrawn if student fails to attend program activities for a period of 10 consecutive class days or 14 calendar days or both (3) the school terminates a student’s enrollment for failure to maintain satisfactory progress; failure to abide by the rules and regulations of the school including, the Student Code of Conduct; failure to meet financial obligations to the school; and/or for cause determined within the school’s sole discretion; (4) a student fails to return from an authorized leave of absence.
After the start of class, the following refund amounts apply:
1. A refund calculation will be prepared if a student has completed fifty percent (50%) or
less of the period of enrollment of the program.
2. Students will be charged according to the number of weeks attended per the chart
3. When determining the number of weeks completed by the student, the institution will
consider a partial week the same as if a full week was completed, provided the
student was present at least one day during the scheduled week.
4. If student completes more than fifty percent (50%) the entire tuition has been
considered earned. If a student is on a payment plan, the student is liable for the full
tuition and finance fees per any payment plan agreement which will continue in full
force and effect until completed.
5. The following policy will apply:
Weeks Attended % earned Amount Owed to Institution
1 10% $ 1,470.00
2-8 20% $ 2,940.00
9-14 30% $ 4,410.00
15-18 40% $ 5,880.00
19-23 50% $ 7,350.00
24-46 100% $14,700.00
REFUND RETURN PERIOD
Any applicable refund will be calculated within thirty (30) calendar days of the determination of withdrawal. A return of funds to be issued no later than forty-five (45) days of the date of determination of withdrawal.
INSTITUTIONAL REFUNDS FOR VA CERTIFIED STUDENTS
If a student receiving veterans’ benefits fails to enter a course or withdraws, or discontinues at any time prior to completion, the refund or advanced payments will be an appropriate pro rata portion of the changes for tuition, registration fee less $10.00, and other charges that the length of the completed portion of the program bears to its total length.
RETURN TO TITLE IV POLICY
The Federal Return of Title IV funds formula (R2T4) dictates the amount of Federal Title IV aid that must be returned to the federal government by the school and/or the student. The federal formula is applicable to an eligible student receiving federal aid when that student withdraws at any point in time during the payment period. If a student did not start or begin attendance at the school, the R2T4 formula does not apply.
For official withdrawals
Official Withdrawal Process: If a student wishes to withdraw from school, they must notify the Director of Enrollment or a Student Advisor of the school. The notification may be in writing or orally. A student’s withdrawal date is the date the school received notice from the student that they are withdrawing. The date the notification is received is the date of determination. The Director of Enrollment or Student Advisor must begin the withdrawal process.
For unofficial withdrawals a student’s withdrawal date is: their last day of physical attendance.
For Unofficial Withdrawals
The school’s determination that a student is no longer in school for unofficial withdrawals is determined after 10 consecutive class days or 14 calendar days or both of non-attendance.
Return of Title IV Calculation
The federal formula requires a Return of Title IV calculation if the student received or could have received (based on eligibility criteria) federal financial assistance in the form of Pell Grants, Direct Loans, Direct Plus loans, and Iraq Afghanistan Service Grants (IASG) during payment period. The percentage of Title IV aid earned is equal to the percentage of payment period that was completed as of the withdrawal date if this occurs on or before the 60% point of time. The percentage that has not been earned is calculated by subtracting the percentage of Title IV aid earned from 100%.
The percentage of the payment period completed is calculated by the hours scheduled in the payment period as of the withdrawal date divided by the scheduled hours in the payment period.
The amount to be returned is calculated by subtracting the amount of Title IV assistance earned from the amount of Title IV aid that was disbursed as of the withdrawal date.
If a student receives less Title IV funds than the amount earned, the school will offer the student a disbursement of the earned aid that was not received at the time of their withdrawal which is called a post-withdrawal disbursement. Post-withdrawal disbursements will be made from Pell Grant funds first, if the student is eligible. If there are current educational costs still due the school at the time of withdrawal, a Pell Grant post-withdrawal disbursement will be credited to the student’s account. Any remaining Pell funds must be released to the student without the student having to take any action. The funds must be released as soon as possible but no more than 45 days after the date of determination. Any federal loan program funds due in a post-withdrawal disbursement must be offered to the student and the school must receive the student’s authorization before crediting their account.
If a credit balance still exists on the student’s account after the R2T4 and institutional refund calculations are done, that credit balance must be used to pay any grant over payment that exists based on the current withdrawal within 14 days from the date that the R2T4 calculation was performed. The over payment must be eliminated prior to offering a credit balance to a student.
For official withdrawals
The following Title IV refund distribution is used for all FSA students due a refund:
1. Unsubsidized Direct Loan.
2. Subsidized Direct Loan.
3. Direct PLUS Loan (Parent).
4. Federal Pell Grant
Returns must be made as soon as possible to the federal programs but no later than 45 days after the date of determination. The statute requires that a student is responsible for all unearned Title IV program assistance that the school is not required to return. This is determined by subtracting the amount returned by the school from the total amount of unearned Title IV funds to be returned.
TUITION LATE FEES
Tuition payment late fees of 1.5% per month on all overdue tuition payments if student fails to make tuition installment payments on a timely basis (18% APR).
Students receiving federal and state financial aid must meet Satisfactory Academic Progress Standards as outlines in the Course Catalog.