Returning Title IV Funds | GCTC

Return of Title IV Funds (R2T4)

According to federal regulations, the College is required to recalculate your eligibility for federal financial aid funds when you withdraw and/or receive all failing grades during a semester. This may happen when you officially withdraw and/or you fail to successfully complete your classes. A portion of the total amount of Federal Title IV aid disbursed on your behalf may be returned to the U.S. Department of Education. 

While passing even one class in a semester often allows a student to avoid a return of funds, it is possible for a student to pass a module class and still be subject to a return or reduction in aid. You are encouraged to contact the Financial Aid Office so your individual circumstances can be reviewed, and the correct information can be provided to you. 

At the time we are notified that you are unsuccessful or have withdrawn, a calculation will be completed to see if you have earned your right to the entire amount of federal financial aid that was disbursed or could have been disbursed or if your aid must be reduced. You will be notified of the amount of any unearned aid. The unearned aid must be returned to the U.S. Department of Education. This return of unearned aid will likely create a bill with Gateway. To make payment arrangements or for questions about your bill, you should contact the Business Office at

If it is required, funds will be returned in the following order:

  1. Unsubsidized Direct Student Loan
  2. Subsidized Direct Student Loan
  3. Direct Plus Loan
  4. Pell grant
  5. Iraq and Afghanistan Service Grant
  6. FSEOG

If you have any questions, contact the Financial Aid office at1-855-3GO-GCTC (1-855-346-4282).