Terms and Conditions

When you receive the financial aid offered by U-M, you agree to fulfill the responsibilities associated with receiving those awards. This page summarizes the terms and conditions established by federal regulations for financial aid.


If you receive additional funds not listed on your Award Notice (scholarships, departmental awards, Michigan Education Trust, veterans' benefits, etc.), report them immediately to the Office of Financial Aid (even if you believe the awarding department or organization is notifying us).

From Wolverine Access select Student Business > login > Student Center > Financial Aid > Aid Year > Awards > View/Report Additional Aid. If there is a change to your eligibility because of additional assistance, a Revised Award Notice will be issued and you will receive email notification. Whenever you receive additional assistance, your aid awards may be adjusted or reduced, even if your financial aid has already been disbursed. 


You must not be in default on any federal educational loans nor owe any refunds on federal grants you have received at any post-secondary institutions.


You may use funds listed on your Award Notice only for education-related expenses incurred at UM-Ann Arbor for the respective academic year. Financial aid awarded for a specific term can only be used to pay for charges for that term and the aid can only be disbursed to you/your account during that term. Also, financial aid does not cover certain charges, so check your account balance at least once a month to be sure you do not have unpaid charges.

The university applies your financial aid awards directly to charges on your university student account (including tuition, fees, housing, and other charges). Funds in excess of these charges will be released to you in a direct deposit or check (this is called a "refund"). If subsequent charges are made to your university account, it is your responsibility to pay them. See Disbursement of Aid.

Some scholarships, such as the Michigan Competitive Scholarship and the Detroit Compact Scholarship, have tuition-only stipulations and cannot be used for expenses other than tuition.


We assume that you will enroll full-time, so your financial aid budget sets tuition at a full-time rate. You may enroll less than full-time, but you must be enrolled at least half-time in classes that count for degree credit to be eligible for any financial aid. Not-for-credit classes are not eligible for financial aid. 

You must enroll in a course by the University’s drop/add date each term to be considered for financial aid for that course. If your program has a flexible enrollment policy, be sure to register before the drop/add deadline. Not-for-credit courses do not qualify for financial aid.  If you are repeating a course, take care that your School or College has not designated it as not-for-credit. If so, it is not eligible for aid and you may be required to repay some of your already disbursed financial aid.

Our Satisfactory Academic Progress policy addresses situations such as enrollment in incomplete courses, repeated courses and withdrawal from classes and the impact on financial aid. Visit our SAP page for details.

If you decide to reduce your enrollment level, keep in mind:

  • If you enroll less than full-time but at least half time, your aid may be reduced based on your enrollment level.
  • Less-than-full-time enrollment not only reduces the amount of aid, it may also affect future eligibility and your satisfactory academic progress
  • Some scholarships require full-time enrollment before disbursement, so you could lose your scholarship if you reduce your courseload.
  • If you drop courses and fall below the minimum credit hour requirements, you may be required to repay all or part of your aid.
  • Courses for which you are wait-listed and classes that you are auditing are not included in your level of enrollment. 

Dropping Classes and Withdrawal from the University

The Office of Financial Aid monitors enrollment levels (number of credit hours taken) each term. Discuss your situation with a financial aid officer prior to dropping any classes. Aid adjustments are not made until after drop/add for each term.

When a failing grade is given due to a student not attending a class (or when a student stops attending), it is considered an unofficial withdrawal and you could be required to repay your aid. If you have questions about your enrollment and aid eligibility, contact our office.

If you withdraw or are asked to withdraw from the university, you must inform the Office of Financial Aid immediately. If you have received a federal student loan, you will be sent information on completing required loan repayment exit counseling. Depending upon when you withdraw, you might be required to repay all or part of your aid . See Withdrawing and Your Financial Aid.

Wait Listed Classes

Wait Listed courses are not included in your credit hour total. They are added to your total when you are admitted to the class. So while you may intend to enroll full-time, your course load may be considered part-time while you are on the waiting list. 

What you can do:

  • Carefully track your enrollment level if you are on a waiting list.
  • If you are not admitted to your wait-listed class and have not received all of your aid by the time your bill is due, pay your bill to avoid a late fee.
  • Once you are admitted to the wait-listed class and you are enrolled full-time, remaining aid funds will be credited to your student account. If you have already paid your bill and you would like a check for the credited amount, contact Student Financial Services.
  • If your are admitted to the class, you will be billed for those additional credit hours.

Required Attendance

Enrolling in courses is not enough to secure your financial aid.  You must also attend the courses in which you enroll.  The Office of Financial Aid is required to verify that students who receive a non-passing grade (any grade other than A, B, C, D, I, P, S or Y) actually attended or participated in the class. For example, if you receive an E or an NR in a course, or no grade is reported, we will follow up to determine whether or not you attended or participated. 

Failure to attend can be expensive: your aid could be reduced retro­actively and you could be required to repay aid you have received.  If you have any questions about your enrollment and eligibility for financial aid, please contact the Office of Financial Aid for assistance.


To remain eligible for financial aid, students must make "satisfactory academic progress" toward completion of a  degree. Federal regulations require the Office of Financial Aid to monitor the progress of each student toward their degree completion. Students who fall behind in their coursework or who fail to achieve minimum standards for grade point average and completion of classes may lose their eligibility for all types of federal, state, and university aid. See Satisfactory Academic Progress.


Depending upon the cost of the study abroad program in which you enroll, we may or may not be able to meet your full demonstrated financial need to attend the program.  See Students Studying Abroad. For more information about your specific program, contact the Office of Financial Aid.


Undergraduate students who have received one bachelor's degree and are pursuing a second degree in another program will only be eligible for loans. However, a student enrolled in an approved dual-degree program or who is a double major may qualify for aid.


Students who are enrolled in combined Bachelor/Master degree programs designed specifically to grant both a BA/BS and MA/MS within a five-year time period should discuss financial aid eligibility with the Office of Financial Aid.  Eligibility for undergraduate aid varies in the fourth year of these programs and is based upon both the type of coursework for which you will be enrolled and how that coursework will be counted.  Students in the fifth year of these programs are always considered to be Graduate Students and will be packaged with graduate-level assistance.

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