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Financial Aid
Financing the Training for Ministry
A decision to enroll at Martin Luther College involves not only a willingness to serve one’s Lord in an area of Christian ministry but also a commitment of time and money. To help students reach that goal of Christian ministry, Martin Luther College maintains a comprehensive financial aid program consisting of grants, scholarships, loans, and work study.
A Family Responsibility
The financial aid philosophy of both the federal government and Martin Luther College is that paying for a college education is primarily the responsibility of the student and his or her family. However, because student and family resources are not equal, MLC’s financial aid program exists to help students.
Synod Subsidy
The Wisconsin Evangelical Lutheran Synod provides a subsidy for the operating costs of Martin Luther College which reduces the cost of education for each student and is a way the WELS supports its ministerial education students. Martin Luther College’s tuition figure reflects this reduction; it does not appear on the student’s financial statement or financial aid letter.
Need-Based Financial Aid
Much financial aid may be described as need-based; that is, a student’s family financial resources are considered. Need-based financial aid requires a need analysis (see Application Deadlines). Allowances are made for family income, assets, size, for other family members in college, and for special expenses and circumstances. The need analysis may not be a perfect measure of a family’s ability to meet costs, but it does serve to compare student and family resources and helps to distribute financial aid equitably.
Need as it relates to financial aid does not necessarily mean needy. Many students qualify for some form of needbased aid, and in the 2016-17 academic year, approximately 95% of the students at Martin Luther College received some form of financial aid. Unless a student applies for financial aid, no need-based aid can be
awarded.
Merit Based Financial Aid
The college provides scholarship opportunities to incoming freshmen entering fall semester who graduated from high school the previous spring. Eligibility is determined by cumulative GPA or ACT score. Continuing students earn merit scholarships on the basis of cumulative GPA from the previous year. See MLC’s Financial Aid section of the MLC website for specific information.
Grant and Scholarship Sources
• Martin Luther College trust fund income and reserves • Synod special and budgetary funds for financial aid • Federal Pell Grant • Federal Supplementary Educational Opportunity Grant • Minnesota State Grant Program for Minnesota students
Loan Sources
• Federal Direct (Stafford) Loan • Federal Parent Loans for Undergraduate Students (PLUS) • Martin Luther College special loan funds • Student and Parent Alternative Loan Sources
Work Programs
• On-campus jobs • Off-campus jobs • Federal Work Study • Minnesota State Work Study
Other Benefits
Martin Luther College is certified for Veteran Benefits and Native American programs for students who qualify.
Application Deadlines for Institutional Grants
Application deadlines for institutional grants are April 15, 2019, for August (fall semester) enrollment and November 1, 2019, for January (spring semester) enrollment. • Complete and file a Free Application for Federal Student Aid (FAFSA). This is the need analysis document which is used by all colleges. Martin Luther College’s ID number is 002361. Students and parents can complete and submit a FAFSA on the Web by going to www.fafsa.gov. • Complete and file a Martin Luther College Financial Aid Application. This form collects needed information, including special family expenses and circumstances, which may be used to make adjustments.
The FAFSA may be filed right up to the end of the second semester, and it may be possible to get financial aid from federal programs late in the year. However, in order to be considered for Martin Luther College Grant Funds, both the FAFSA and the Martin Luther College Financial Aid Application must be filed by April 15, 2019, for the
fall semester for the 2019-2020 academic year (November 1 for spring semester).
Federal regulations require Martin Luther College to establish satisfactory academic progress standards for Title IV financial aid. Satisfactory Academic Progress (SAP) is measured after each semester by reviewing the student’s qualitative progress as measured by cumulative GPA as well as the quantitative progress as measured by determining the percent of credits attempted that are completed. The Financial Aid Office is responsible for ensuring that all students who receive federal, state, and institutional financial aid are meeting these standards. The standards of satisfactory academic progress apply for all financial assistance programs including Federal Pell Grant, Federal Perkins Loan, Federal Work-Study (FWS), Federal Supplemental Educational Opportunity Grant (FSEOG), Federal Direct Student Loans (Stafford and PLUS), Corporation for National & Community Service (AMERICORP), as well as assistance from the state and the institution.
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Qualitative Progress
In order to retain financial aid eligibility the student must maintain a semester and a cumulative GPA of: Following semester I 1.70 Following semester II 1.80 Following semester III 1.90 Following semester IV 2.00 Subsequent semesters 2.00
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Quantitative Progress
The maximum time frame for a student to complete a program of study can be no longer than 150% of the published length of the program in the Martin Luther College Undergraduate Catalog as measured in credit hours. Martin Luther College evaluates satisfactory academic progress at the end of each semester. Each semester the student needs to earn 67% of credits attempted in order to complete the student’s program within the 150%-time frame.
Additional Factors
The following are considered when evaluating a student’s satisfactory academic progress: • Withdrawn Classes: Under special circumstances, a student may drop a course with the approval of
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6. the dean after the first two weeks of the semester and up to two weeks after midterm. For these courses the student’s record shows W and is not counted in computing the grade point average. An unauthorized withdrawal from a class is recorded as an F. This F is counted in the GPA. Incomplete Classes: Incomplete grades are temporary grades given when a student doing otherwise acceptable work is unable to complete the course assignments for reasons acceptable to the instructor. A first semester incomplete must be converted to a permanent grade by mid-term of the second semester, a second semester incomplete by July 31, and a summer session incomplete by mid-term of the first semester, or the permanent grade is recorded as an F. Pass/Fail Classes: Passing credits received for pass/fail courses are considered attempted and earned credits; failing grades in pass/fail courses are considered attempted but not earned. Repeated Classes: Classes for failed courses may be repeated until they are passed. Repeated courses are included in the calculation of attempted and earned hours. Audit Classes: Audited courses are not considered credits attempted or earned. Remedial Classes: Remedial courses are included in the calculation of both attempted and earned hours. Transfer Students: Transfer credits do not count in the calculation of the GPA. However, transfer credits accepted are included in both hours attempted and hours completed. Change of Major: If a student changes majors, the hours attempted under all courses of study are included in the calculation of attempted and earned hours.
Definition of Terms
• Warning: This is the status assigned to a student who for the first time fails to achieve satisfactory academic progress at the end of a semester. • Probation: This is the status assigned to a student who in the previous semester was on warning status and subsequently again failed to achieve satisfactory academic progress but whose appeal to have eligibility restored has been granted.
Warning and Ineligibility
Students who fail to achieve the qualitative or quantitative requirements for satisfactory academic progress will be on warning status and will receive financial aid one additional semester. The warning semester is meant to inform the student of academic problems and provide for corrective action. The student will be informed of the warning status via a letter. Students, who achieve the GPA requirement in the subsequent semester, have their financial aid eligibility fully restored.
Students, who do not achieve satisfactory academic progress following the warning semester, will be ineligible for Title IV, state, and institutional financial aid for the following semester or summer session or for as long as the student has not achieved satisfactory academic progress. The Director of Financial Aid will send a letter to the student explaining the status and the conditions under which the student can appeal to have financial aid restored. The letter will inform the student that the appeal must include why the student failed to meet satisfactory academic progress and what has changed that will allow the student to achieve satisfactory academic progress at the next evaluation.
Students, who are on warning status, and subsequently achieve Satisfactory Academic Progress, and then again fall below satisfactory academic progress standards, return to warning status a second time.
Appeals and Reinstatement
To appeal the financial aid suspension a student must submit, to the Financial Aid Office, a signed and dated letter of appeal explaining why financial aid should be reinstated. A student notified of ineligibility to aid may appeal to have their eligibility reinstated up to three times. A student that has appealed and been approved after the third appeal is required to maintain appropriate progress in a program plan. The program plan will be outlined and monitored by the Dean and advisor for that student, and ensures their GPA will attain acceptable SAP standards within three semesters. If at any time the student does not attain the necessary requirements of the 3-semester program plan, they will be permanently ineligible
7. for institutional, state and Title IV financial aid. Acceptable reasons for an appeal include the following: • Medical • Family problems • Death of a relative • Emotional problem • Learning disability • Interpersonal problems with friends, roommates, or significant others • Difficulty balancing such things as work, athletics, family responsibilities, and course work • Financial difficulties • Change in or addition to a program • Other special, significant or unusual circumstances
Documentation verifying the situation may be requested. The Financial Aid Committee will consider the appeal and render a decision, which the Director of Financial Aid conveys to the student in writing. If the appeal is not granted, this does not preclude a student from enrolling but no financial aid is available. Students will have their financial aid eligibility reinstated once satisfactory academic progress standards are met.
Publicity
Martin Luther College’s SAP policy is published in the college catalog and on the MLC website under Financial Aid. Award letters include information directing the student to the college’s web address where SAP policy can be reviewed. During the week of fall midterm break, a notice is posted on the MLC Portal reminding all students of the college’s satisfactory academic progress policy and directing them to the complete policy posted on the intranet or to printed copies available in the Financial Aid Office.
Return to Title IV Policy
Federal regulations require Title IV financial aid funds be awarded under the assumption that a student will attend the institution for the entire period in which federal assistance was awarded. When a student withdraws from courses for any reason, including medical reasons, he/she may no longer be eligible for the full amount of Title IV funds that he/she was originally scheduled to receive. All Title IV funds must be returned to the Department within 45 days of the determination that the student withdrew. Martin Luther College (MLC) students who receive federal financial aid and do not complete their classes during a semester or term could be responsible for repaying a portion of the aid they received. Students who do not begin attendance must repay all financial aid disbursed for the term. All Title IV funds must be returned to the Department within 45 days of the determination that the student withdrew.
We encourage students to read all the information below prior to making a decision to withdraw.
Determination of Last Date of Attendance
1. For financial aid purposes there are two types of withdrawals: Official and Unofficial. a. Official withdrawal - leaving MLC by dropping all classes for the term or by going through the formal withdrawal from college process. b. Unofficial withdrawal - the student discontinues class attendance without going through the formal withdrawal from college process 2. Since MLC is a required attendance institution, the last date of attendance (for both official and unofficial withdrawals) is determined by the date the student last attended any class.
Leave of Absence
A student must meet the requirements for a leave of absence as outlined in the Academics Policies section of this catalog. MLC’s financial aid policies and federal regulations do not view a student on leave as a current student.
Post Withdrawal Disbursements
1. If the student did not receive all of the funds that were earned, they may be due a post-withdrawal disbursement. If the student’s post-withdrawal disbursement includes loan funds, MLC must get the student’s permission before it can disburse them. The student may choose to decline some or all of the loan funds so that they do not incur additional debt. a. The student’s school may automatically use all or a portion of the student’s post-withdrawal disbursement of grant funds for tuition, fees, and room and board charges (as contracted with MLC). b. MLC needs the student’s permission to use the post-withdrawal grant disbursement for school charges other than tuition, fees and room and board. If the student does not give permission, they will be offered the funds as a refund. c. MLC will return any Pell funds within 45 days of the determination that the student withdrew and
return any Title IV loan funds within 180 days.
How the Unearned Financial Aid is Calculated
1. Students who receive federal financial aid must “earn” the aid they receive by staying enrolled in classes.
The amount of federal financial aid assistance the student earns is on a prorated basis. Students who withdraw or do not complete all registered classes during the semester may be required to return some of the financial aid they were awarded based on the Return of Title IV (R2T4) Calculation. Once 60% of the semester is completed, a student is considered to have earned all of his/her financial aid and will not be required to return any federal funds. 2. The following formula is used to determine the percentage of unearned aid that has to be returned to the federal government: a. The percent earned is equal to the number of calendar days completed up to the withdrawal date, divided by the total calendar days in the payment period (less any scheduled breaks that are at least 5 days long) b. The payment period for most students is the entire semester. However, for students enrolled in modules (courses which are not scheduled for the entire semester or term), the payment period only includes those days for the module(s) in which the student is registered. c. The percent unearned is equal to 100 percent minus the percent earned d. Institutional funds are earned and recalculated based on the pro-rated policy as described for federal financial aid funds. Tuition/fee refunds also affect the recalculation of institutional financial aid.
MLC Responsibility for Returning Unearned Aid
1. MLC will return all unearned funds back to the aid program and the student will be responsible for any balance this creates.
Student Responsibility for Returning Unearned Aid
1. If MLC is not required to return all of the excess funds, the student must return the remaining amount.
For any loan funds that must be returned, the student (or the student’s parent for a PLUS Loan) must repay in accordance with the terms of the promissory note. That is, the student must make scheduled payments to the holder of the loan over a period of time. The requirements for Title IV program funds when the student withdraws are separate from any refund policy that MLC may have. a. Therefore, the student may still owe funds to MLC to cover unpaid institutional charges. b. MLC will also charge the student for any Title IV program funds that MLC is required to return. If the return of the funds creates a balance due on the student account, the student will be responsible to pay the balance on their account.
Order of Return of Title IV Funds
1. A school must return Title IV funds to the programs from which the student received aid during the payment period or period of enrollment as applicable, in the following order, up to the net amount disbursed from each source: a. Federal Unsubsidized Direct loans b. Federal Subsidized Direct loans c. Federal Parent PLUS Direct loans
2. d. Federal Pell Grants for which a Return is required e. Federal Supplemental Educational Opportunity Grants (FSEOG) for which a return of funds is required f. Federal TEACH Grants for which a Return is required g. Iraq and Afghanistan Service Grant for which a Return is required Any federal college work-study funds that the student has earned prior to their withdrawal are theirs to keep and will not be returned.
To request a brochure or an application, or if you have any questions, call, write, or email.
Director of Financial Aid Financial Aid Office Martin Luther College 1995 Luther Court New Ulm, MN 56073 Phone: 507-233-9154 Fax: 507-354-8225 Email: mlcaid@mlc-wels.edu
