What is a credit balance and how do I know if I have one?

When you pay for school at Platt College using Federal Student Aid (FSA) the total amount of your award (loan or grant) is paid directly to Platt College to cover your tuition and fees.  A credit balance from excess federal student aid, also known as a Title IV credit balance, results when the following conditions are met:

• Total federal Title IV financial aid disbursed to a student's account for a specific loan period exceeds the charges for tuition and mandatory fees charged by the College for the same loan period.
  • (For example, Susan enrolls at Platt College as a nursing student and her total allowable charges for the summer quarter is $1,500.  Platt College credits $2,000 to Susan's account, comprised of $1,000 in FSEOG, $500 in a private scholarship fund, and $500 in Pell Grant funds.  Although there is an excess of $500 on Susan's account, this example does not constitute a financial aid credit balance because the total amount of financial aid funds ($1,500) credited to Susan's account does not by itself exceed the amount of allowable charges ($1,500). 
  • (In this example above, if Platt College credited $600 of Pell Grant funds, rather than $500, a financial aid credit balance of $100 would be created because the total financial aid funds credited to the account ($1,600) would exceed the allowable charges ($1,500).  The order in which these funds were credited is not applicable. 
• The Title IV aid has been disbursed to the student's account. Pending aid is not refundable.

What are my options if I have a credit balance?

If financial aid disbursements to a student's account creates a credit balance, in accordance with Policy 03:19:00 Credit Balance Retention Policy, the student may (1) grant permission to Platt College to retain the credit balance to be applied to future tuition and fee expenses or (2) the student may elect to receive the excess funds, which will be paid in check form from the Financial Services office within fourteen calendar days of the credit balance occurence.  

If a student elects to receive the excess funds, s/he is responsible for paying any outstanding balance on his/her ledger. 

Students may elect to grant permission to Platt College to retain the credit balance by signing the Permission to Retain Credit Balance Form.  Students may elect to rescind the form by completing a Rescind to Retain Credit Balance Form.