Background for Title IV Credit Balance

Anthology Student generates the Title IV credit balance report calculation based on the Department of Education's policy.

Proration Logic

For any students charged upfront for multiple payment periods (for example, an entire program or academic year), Anthology Student prorates the Title IV funds charges to determine the actual payment period (term/payment period) charges and to calculate whether a Title IV credit balance has occurred. These credit balances are posted to the student's ledger as stipends and the student can use them for non-institutional educational expenses in each payment period. This proration enables an institution to remain in compliance with the Department of Education's (ED) Program Integrity and Improvement Rule of October 30, 2015.

The prorated amount of charges associated with a current pay period are determined by:

  • If the program has substantially equal payment periods, the total institutional charges are divided by the number of payment periods in the program.

  • For other programs, the number of credits or clock hours in the current payment period is divided by the total number of credits or clock hours in the program. The result is then multiplied by the total institutional charges for the program.

Term-Based Students

Term-based students are students who enrolled in a program where the program’s Academic Calendar is one of the following:

  • Academic Calendar 1 – Non-standard terms (SE9W – terms substantially equal in length, with 9 or more weeks of instructional time for each term)

  • Academic Calendar 2 – Standard terms of quarters

  • Academic Calendar 3 – Standard terms of semesters

  • Academic Calendar 4 – Standard terms of trimesters

For term-based students, billed in advance by program, Anthology Student prorates the Title IV charges for each term in the current year (loan period or award year being evaluated) by dividing the total Title IV charges for the program by the total number of credits required to complete the program, then multiplying the result by the number of credits registered in the term.

Prorated Term Charge = (All Title IV charges / # credits required) X Credits registered in the term

For term-based students, billed in advance by academic year, Anthology Student prorates the Title IV charges for the academic year equally among all the terms in the academic year and also determines the number of terms in an academic year by dividing the credits defined by the number of expected credits per term, configured at the program version setup.

Prorated Term Charge = Academic Year’s Title IV charges / # of terms in the Academic Year

The use of perpetual terms for disbursing Title IV aid and/or course registration is not supported under this feature. Anthology Student determines the credits registered and the Title IV payments for each term to accurately calculate the credit balance. As a result, students carry the no proration of Title IV charges and the calculation for Title IV balance is in the same manner as it is for the students who are not billed in advance.

Non-Term-Based Students

Non-term-based students are those students who enrolled in a program where the program’s Academic Calendar is one of the following:

  • Academic Calendar 5 – Clock Hours

  • Academic Calendar 6 – Credit hours without terms

For non-term-based students billed in advance by Program, Anthology Student prorates the Title IV charges for each payment period in the current year by dividing the total Title IV charges for the program by the total number of credits required to complete the program, then multiplying the result by the number of credits defined for the payment period.

Prorated Payment Period Charge = (All Title IV charge / # of credits or hours required) X credits or hours defined for the payment period

For non-term-based students billed in advance by academic year, Anthology Student prorates the Title IV charges for each payment period in the current year by dividing the Title IV charges for the academic year by the number of credits/hours defined for the academic year, then multiplying the result by the number of credits/hours defined for the payment period.

Prorated Payment Period Charge = (Academic Year’s Title IV charges / # of credits or hours defined for the Academic Year) X credits or hours defined for the payment period

Non-Standard-Term-Based not SE9W Students

To prorate Title IV charges requires payment periods and to identify Title IV payments and accurately calculate the credit balance for each payment period. Non-term students carry the No proration of Title IV charges for those who are billed in advance if payment periods are not found. As a result, the calculation for Title IV balances occurs in the same manner as it is for students who are not billed in advance.

Credit Balance Waiver

To run the Title IV Credit Balances Report for students with credit balance waivers on file, you must set up a Credit Balance Waiver Document.

You must select that document as the credit balance waiver in the campus financial aid setup.

Upload the waiver documents ( Select the Students tile > select the name in the Students list > expand Contact Manager > select the Documents tile.)

Add the credit balance document to a specific enrollment, not to 'All Enrollments'.

To appear as a student on the Title IV Credit Balance Report with a waiver on file:

  • Select a document as the Title IV Credit Balance Waiver on the Financial Aid tab of the campus setup form

  • Related document to a specific student enrollment

  • In the document tracking folder, the On File Document Status for the Title IV Credit Balance document

  • The Date Expires field for the document on file must be null or later than the current date

All students who do not meet the above requirements are considered to not have a waiver on file with your institution.