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MD Program Tuition Refund Policies

Medical students who withdraw or drop credits will have their tuition charges adjusted and may have to refund financial aid dollars to the appropriate Title IV student aid sources, as required by federal law.

Medical School policy states that all financial aid recipients must meet with a financial aid officer before leaving the school for an approved leave of absence, a withdrawal or a dismissal.

Students who think they may need to leave medical school are strongly encouraged to meet with a financial aid officer first to review their refund or repayment calculations and figure out the correct amount of their tuition refund.

Withdrawing from Medical School

Occasionally, a student may need to withdraw from all classes during a semester. Depending on when this happens, students may be refunded all or part of their tuition and fee charges.

If the student received financial aid, the Financial Aid Office and the student may be required to return to the federal government all or a portion of the aid that had been disbursed to the student directly or to the student’s account.

Students who wish to withdraw or apply for an approved leave of absence from the University of Michigan Medical School must submit a written statement to the Assistant Dean for Student Services.

A statement requesting to withdraw from school must include the student’s acknowledgment that the withdrawal is voluntary and permanent.

U-M Tuition Refund Policy

The University of Michigan has a tuition refund policy that specifies the amount of tuition and fees that is refunded to a student who withdraws from all classes during a term.

The Registrar's Office determines specific refund dates each term and publishes them in the U-M course schedule.

The percentage of charges refunded is based on the time of withdrawal:

  • Prior to the 1st day of the term: 100% tuition, 100% mandatory registration fees
  • Within the first 3 weeks of the term: 100% tuition, 0% mandatory registration fees*,
  • After the first 3 weeks but before the 6th week of the term: 50% tuition, 0% mandatory registration fees
  • After the 6th week of the term: 0% tuition, 0% mandatory registration fees

*Students who register and subsequently withdraw after the term begins may be charged a registration and dis-enrollment fee of $130.

Return of Federal (Title IV) Financial Aid

The federal government mandates that students who withdraw from all classes on or before the 60 percent point in the term may keep only the financial aid they have "earned" up to the time of withdrawal.

Title IV funds that were disbursed in excess of the earned amount must be returned by the University and/or the student to the federal government. This situation could result in the student owing aid funds to the University, the government or both.

To determine the amount of aid the student has earned up to the time of withdrawal, the Financial Aid Office will divide the number of calendar days the student attended classes by the total number of calendar days in the semester (less any scheduled breaks of five days or more).

The resulting percentage is then multiplied by the total federal funds that were disbursed (either to the student's university account or to the student directly by check or direct deposit) for the semester.

This calculation determines the amount of aid earned by the student, which he or she may keep. For example, if the student attended 25 percent of the term, the student will have earned 25 percent of the aid disbursed.

The unearned amount (total aid disbursed, less the earned amount) must be returned to the federal government by the University or the student. The Financial Aid Office will notify and provide instructions to students who are required to return funds to the government.

Allocating Returned Federal (Title IV) Aid

Funds that are returned to the federal government are used to reduce the outstanding balances in individual federal programs. Financial aid returned (by the University and/or the student) must be allocated in the following order:

  1. Federal Direct Stafford Loan
  2. Federal Perkins Loan
  3. Federal Direct Graduate PLUS Loan

Students who need to withdraw from all classes are strongly encouraged to contact or meet with their financial aid counselor first. The counselor can provide refund examples, further explain refund policies, and help students understand the ramifications of withdrawing.