”… [S]tudents must be dropped from class rolls if the student has not paid or financial aid has not been affirmed by the drop/add date.”
In our audits and reviews of accounts receivable we have noted inconsistencies in the practice of “purge protection.” These inconsistencies include a) timing of when students are dropped from class roles, and b) allowing students to remain in class with a balance due. Deferment of student payments past published deadlines while waiting for approved financial aid awards is defined as a “purge protection.” Purge protect directly impacts revenue, admissions, use of personnel resources, and compliance with BOR policies and procedures.
The practice can lead to the following:
The granting of credit is not a primary function of USG. Credit is granted only as indicated below:
All tuition and fees (mandatory and elective) are due and payable upon registration. Exceptions to the time of payment are as follows:
All students must be dropped from class rolls if the student has not paid or financial aid has not been affirmed by the drop/add date. If the student filed for financial aid past the deadline, the student should be required to pay out-of-pocket when they register and be reimbursed when the financial aid is awarded. It is therefore important that students complete financial aid paperwork by published deadlines and are aware that they will be dropped for nonpayment.
Posted by Ted Beck
Published in: Audit Findings