Disbursements and Adjustments

  

Eligibility

Financial Aid Disbursements
Students must submit all required verification documents within two weeks of the date requested. Aid will be disbursed after the verification is complete.

First-time Federal Direct loan borrowers must complete a Master Promissory Note (MPN) and Entrance Counseling before loans can be disbursed. Both documents can be completed here. 

The U.S. Department of Education requires institutions to verify that students are in attendance at an academically-related activity prior to disbursing aid (Verification of Presence). In addition, we must also confirm student’s enrollment status and cost of attendance for the academic year or term before disbursing aid.

Annual financial aid awards are generally disbursed in two payments during the fall and spring semesters. Outstanding balances from tuition and fees, housing and food and other direct charges are paid with financial aid. Bursar office issues refunds (if applicable) to students by direct deposit or check.

Financial Aid Adjustments
Any of the following situations would change a student’s financial aid eligibility prior to or after aid has already been disbursed. 

Additional Aid Received
Total aid received cannot exceed the cost of attendance for the academic year or semester. Late arriving aid like an external scholarship may create an over award. In such cases, total aid will be reduced so that there is not an over award or the student is not exceeding the need.

Attendance Verification
The U.S. Department of Education requires institutions to verify that students are in attendance at an academically-related activity prior to disbursing aid (Verification of Presence). Aid will be reduced/adjusted for students who are not attending a class for which they are registered. 

Enrollment
We initially award financial aid assuming full-time enrollment (12 or more credits for undergraduates; nine or more for graduates). Adding or dropping courses during the add/drop period can change your enrollment status affecting aid eligibility. If certain enrollment requirements are not met, financial aid may be adjusted or cancelled. Please see enrollment requirements below:

  • Federal Pell Grant is prorated for three-quarter time, half-time and less-than-halftime status
  • Scholarships (NJIT and external) generally require full-time enrollment
  • NJ State Aid such as Tuition Aid Grant (TAG) requires full-time enrollment (12+ credits)
  • Federal Direct Loan borrowers must be enrolled at least half-time (six or more credits for undergraduates; 4.5 or more for graduates)
  • Aid is also adjusted if a student is enrolled in courses that are not part of their program of study. For example, an undergraduate student taking graduate level courses. In this scenario, credits for graduate level courses will be excluded from total credits to calculate enrollment for aid purposes

Housing Status Changes
Changes to housing status impact annual or semester cost of attendance which may impact award amounts. Federal Supplemental Educational Opportunity (FSEOG) and Educational Opportunity Fund (EOF) grants are adjusted based on the housing status. 

Late Starting Courses
Federal and State Aid disbursements for students whose award is based on half-time or full-time enrollment in one or more late starting courses will be delayed until the student starts attending the late start course. If a course(s) is dropped before disbursement, awards will be reduced or canceled accordingly. 

Repeat Coursework
Federal financial aid regulations allow students to receive financial aid for retaking (repeating) a previously passed course, one time only. For financial aid purposes, a “D” grade is considered passing.

Because a previously passed course can only be repeated once for financial aid purposes, if a student retakes a previously passed course, it will be included in the enrollment status and would be eligible for financial aid. However, if the student enrolls in the same course again for a second retake, this course will not be counted towards student’s enrollment status and would not be eligible for financial aid. Awards will be adjusted to reflect adjusted enrollment.

Scholarship Adjustments
When tuition-based grants (like TAG Grants) and NJIT tuition-based scholarships are part of the package, students are limited to receiving these awards up to the cost of tuition. While other NJIT merit scholarships (like Honors scholarship and Freshmen Highlander Scholarships) are restricted to tuition and fees, the combination of other tuition and fee based awards cannot exceed the value of tuition and fees. In these cases, scholarships will be adjusted. For more information, click here. 

Verification
The U.S. Department of Education selects some applications for Verification. In this review process, information reported on the FAFSA is verified by having the student and parents submit federal tax returns and other documents. As per federal and state regulations, FAFSA information is corrected as necessary and this may result in changes to the estimated awards for incoming freshmen and transfer students. Continuing students are not awarded until verification is complete. After verification is completed, affected students are notified if their awards are revised. Continuing students will not receive a financial aid award until all requested documents are submitted and verification has been completed.

Withdrawal from Classes
NJIT is required by federal and state regulations to recalculate aid when a student completely withdraws or is dismissed before the end of the term. This includes students who are unofficial withdrawals that is they stop attending their classes and do not earn a single passing grade for the semester.