Application Procedures: United States citizens and Permanent Residents of the United States are encouraged to apply for federal financial aid. Federal student loans are awarded to those who qualify.
To apply, submit the following documents each academic year:
Free Application for Federal Student Aid (FAFSA), available online at www.fafsa.gov. List Babson College, Babson Park, MA, in the school listing section of the FAFSA. Babson’s Title IV School Code is002121. Babson recommends selecting the option to use the IRS Data Retrieval Process.
Additional documents may be requested to complete the verification of the financial aid application. Financial aid deadlines for each degree and certificate program are listed on Babson’s website at http://www.babson.edu/admission/tuition-aid/graduate/Pages/deadlines.aspx.
Maintaining Eligibility: Students must be enrolled at least half time each semester to maintain eligibility for federal aid. Blended Learning students who progress on schedule with their cohort are considered half- time. CAM and MSF students enrolled in a minimum of 4.5 credits are considered half-time, and for all other programs a minimum of 6 credits is considered half-time.
The Academic Policies section of this handbook outlines the F.W. Olin Graduate School of Business policies on satisfactory academic requirements. According to federal regulations and Babson College policy, students must be making satisfactory academic progress to be eligible for financial aid. The eligibility depends on making progress toward the degree and maintenance o a satisfactory grade point average.
Students who are not on pace to complete the program within 150 percent of the published timeframe will receive a warning letter. Pace is determined by dividing the cumulative number of hours the student has successfully completed by the cumulative number of hours the student has attempted.
If the cumulative grade point average (GPA) falls below the required minimum, the student will be placed on financial aid warning status for the following semester. If the GPA is not brought up to the required level by the end of the warning semester, the student may lose funding in future semesters.
Students who are denied financial aid may appeal the decision in writing to the Director of Financial Aid within 30 days of receiving notification. Decisions on appeals will be made within two weeks of the appeal. In no case will funds be awarded to a student who has completed and/or attempted credits in excess of 150 percent of those required for the degree.
Earned vs. Unearned Financial Aid: For a student receiving financial aid who withdraws from the College, Babson will calculate the portion of the semester’s financial aid that must be returned to the funding source, because it is unearned, as follows:
- If the approved date of withdrawal is before or during the official drop/add period, 100 percent of the financial aid will be considered unearned and will be returned.
- If the approved date of withdrawal is after the last day of the official drop/add period, and on or before the 60 percent point in the semester, the earned financial aid will be calculated on a pro-rated basis, equal to the percentage of the semester that was completed before the student withdrew or took a leave of absence. The balance is considered unearned and will be returned.
- If the approved date of withdrawal is after the 60 percent point in the semester, 100 percent of the financial aid will be considered earned, and none will be returned.
Return of Financial Aid Funds: Babson will return the lesser of either: a) the unearned amount of financial aid, or b) the amount of unearned institutional charges. In the case where the unearned aid is greater than the unearned institutional charges, the student is obligated to return the difference.
Federal Title IV aid will be returned in the following sequence:
- Federal Direct Unsubsidized Loan
- Federal Direct Graduate Plus Loan
Any other unearned financial aid will be returned to the funding source.
Please keep the following points in mind when considering a leave of absence or withdrawal.
- You are eligible for institutional financial aid for only “one time through” the academic requirements you must complete in order to graduate from Babson. If you leave during the middle of an academic period and have to repeat it in order to graduate, you will not receive institutional financial aid for the repeated academic period.
- If you have a federal student loan, repayment begins after you leave school or drop below half- time, and after your grace period has been utilized. If you return, you will be eligible to defer your payments as long as you remain enrolled at least half-time.
- If you decide to return to Babson, please contact Student Financial Services in advance of your expected date of return to request financial aid information.