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VA Education Benefits

VA Education Benefits. The Post-9/11 G I Bill: School Payments and Debts (Chapter 33 of title 38 U.S.C.). Post-9/11 GI Bill Payments and Debts Overview. Tuition and Fees Payment Issues Special Payment Issues Debt Creation and Overpayment Issues.

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VA Education Benefits

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  1. VA Education Benefits The Post-9/11 G I Bill: School Payments and Debts (Chapter 33 of title 38 U.S.C.)

  2. Post-9/11 GI Bill Payments and Debts Overview Tuition and Fees Payment Issues Special Payment Issues Debt Creation and Overpayment Issues

  3. After 9/10/01 an individual must serve: % of Maximum Benefit Payable At least 36 months 100 100 At least 30 continuous days on active duty and discharged due to service-connected disability At least 30 months but less than 36 months 90 At least 24 months but less than 30 months* 80 At least 18 months but less than 24 months 70 At least 12 months but less than 18 months 60 At least 6 months but less than 12 months 50 At least 90 days but less than 6 months 40 Active Duty Service Requirements

  4. Payments To Schools • Tuition and Fees capped at $17,500.00 per year for Private School (subject to the student’s Eligibility Level). The Cap will be paid first until it has exhausted. • All In-State Tuition and Fees paid at Public School (subject to the student’s Eligibility Level). • Yellow Ribbon payment for student’s eligible at the 100% level. Will pay up to 50% of the unmet net charges, not to exceed what the school pays. • “Restored Rates” (Grandfather) tuition and fees payments for some students at Private Schools.

  5. Tuition and Fees Payments Effective Aug. 1, 2011: • VA will pay the actual net cost for tuition and fees charged per term. • The net cost can only be charged (and reported to VA) after an assessment has been made by the school, identifying any and all waivers, scholarships, grants or other benefits that would cause a reduction in tuition and fees for the student during the term being certified. • This includes any scholarship(s), or other Federal, State, institutional or employer-based aid or assistance (other than loans and any funds provided under section 401(b) of the Higher Education Act of 1965 (Title IV)) that is provided to the institution and is specifically designated for the sole purpose of defraying tuition and fees.

  6. Tuition and Fees Payments TAP and VTA funds: • New York State TAP and VTA are not to be subtracted from the net tuition and fees that are reported to VA. • TAP and VTA should only be applied to the student’s tuition and fees after the VA has made the Post 9/11 GI Bill payment for that term. • If VA has paid the entire tuition and fees for the student, any TAP or VTA money should be returned. 6

  7. Annual Tuition & Fees Cap Rates For Private Schools Eligibility Tier Max T&F Cap Payable/Year 100% $17,500 90% $15,750 80% $14,000 70% $12,250 60% $10,500 50% $ 8,750 40% $ 7,000 VA will pay a percentage of the reported net tuition and fees per term based on Eligibility Level, not to exceed what the student has remaining under their yearly Cap.

  8. Tuition and Fees Payments Reporting tuition and fees (Private School) • For each term, report actual net cost for tuition and fees to VA: • Tuition and Fees for 12 credits (full-time) = $12,000.00 School Veteran Tuition Waiver = ($1,000.00) Private Tuition Scholarship = ($1,000.00) Net tuition and fees = $10,000.00 • School will report $10,000.00 to VA as the tuition and fees for the 12 credits for this term. If the student received any Title IV funds, such as a Pell Grant or a Student Loan or assistance not specifically designated for the payment of tuition and fees; that aid doesn’t have to be deducted from the amount reported to VA. (Apply any TAP or VTA funds after Post 9/11 GI Bill funds have been paid.)

  9. Tuition and Fees Payments Payment of T&F: Multiple Terms (Private School) Assuming a student is at the 100% Eligibility Level. • Fall term student taking 15 credits and net tuition and fees are $15,000.00. VA will pay the entire $15,000.00. • Spring term student taking 12 credits and net tuition and fees are $12,000.00. VA will pay $2,500.00 (that is the amount remaining under the $17,500.00 cap). VA may pay up to an additional $4750.00 under the Yellow Ribbon (up to 50% of unmet charges) for a total of $7250.00 for the Spring term. • Summer term student taking 6 credits and net tuition and fees are $4000.00. Only VA payment allowed would be a Yellow Ribbon payment of up to 50% of tuition and fees or $2000.00. (TAP or VTA could also be used for tuition and fees not paid for by GI Bill.)

  10. Tuition and Fees Payments Payment At Less Than 100% Eligibility Level (Private School) Example of student at 80% Eligibility Level: VA will pay up to 80% of net tuition and fees per term; not to exceed $14,000 (80% of $17,500) per school year. • Fall term student taking 12 credits and net tuition and fees are $12,000.00. VA will pay 80% of $12,000 or $9600. (TAP or VTA could also be used for tuition and fees not paid for by GI Bill.) • Spring term student taking 12 credits and net tuition and fees are $12,000.00. VA will pay $4400 because this is all the student had remaining under their $14,000 yearly cap and it is less than 80% of the net tuition and fees. • Summer term student taking 6 credits and net tuition and fees are $6000. VA cannot pay any benefits because the yearly cap has been paid. (TAP or VTA could also be used for tuition and fees not paid for by GI Bill.) 10

  11. Tuition and Fees Payments Reporting tuition and fees (Public School) • For public schools, VA will pay the net In-State tuition and fees for a student (undergrad and grad) eligible at the 100% Eligibility Level. For students eligible at less than 100%, VA will pay a percentage (based on the student’s Elig. Level) of the net In-State tuition and fees. • For public schools, there is no maximum yearly benefit that a student may receive ($17,500.00 cap does not apply). • For Non-Resident students, VA will pay up to the net In-State tuition and fees for a student eligible at the 100% Eligibility Level. For students eligible at less than 100%, VA will pay a percentage (based on the student’s Elig. Level) of the net In-State tuition and fees. Up to 50% of the unmet charges (the difference between the net Out-of-State tuition and fees and the net In-State tuition and fees) may be under Yellow Ribbon.

  12. Tuition and Fees Payments Reporting tuition and fees (Public School) • For each term, report actual net cost of the In-State tuition and fees to VA: • Tuition and Fees for 12 cr (In-State) = $5,000.00 School Veteran Tuition Waiver = ($1,000.00) Net tuition and fees = $4,000.00 • School will report $4,000.00 to VA as the tuition and fees for the 12 credits for this term. If the student received any Title IV funds (such as a Pell Grant or a Student Loan) or assistance not specifically designated for the payment of tuition and fees; that aid doesn’t have to be deducted from the amount reported to VA. (TAP or VTA could also be used for tuition and fees not paid for by GI Bill.)

  13. Chapter 33 Yellow Ribbon Program • The Yellow Ribbon Program is only for veterans eligible at the 100% Level or their designated transferees (child transferees of active duty members are also eligible if the servicemember is at the 100% Level). Under the Yellow Ribbon Program, VA may pay up to 50% of the unmet charges. VA will match what the school pays, not to exceed 50% of unmet net charges. • For private IHLs, the Yellow Ribbon Program will pay up to 50% of the unmet net charges above the $17,500 yearly cap. • For public IHLs, Yellow Ribbon will pay up to 50% of the unmet met charges for out-of-State tuition and fees (difference between net In-State and net out-of-State T&F).

  14. Restoring GI Bill Fairness Act of 2011 “Grandfathering” Eligibility • The new legislation authorizes VA to pay more than $17,500 (or the appropriately reduced amount based on the student’s eligibility percentage) in tuition and fees under the Post-9/11 GI Bill for certain students attending private collegesand universities in seven states - Arizona, Michigan, New Hampshire, New York, Pennsylvania, South Carolina and Texas. • To qualify for the increased payment (also referred to as the “grandfathered” tuition and fee amount), students must have been enrolled in the same college or university since January 4, 2011, and have been enrolled in a program for which the combined amount of tuition and fees for full-time attendance during the 2010-2011 academic year (Aug. 1, 2010 to July 31, 2011) exceeded $17,500. • Eligible students will receive the “grandfathered” rate for tuition and fees for all terms that begin before August 1, 2014, as long as they are continuously enrolled at the same institution. If they transfer to a different institution, even if it’s located in the same state, they will no longer qualify for the “grandfathered” rate. • School certifying officials will need to submit an enrollment certification or amended enrollment certification to VA with remarks stating “Student eligible for restored rates”to verify that the student was enrolled in that school since January 4, 2011 and that the tuition and fees for full-time attendance in that program exceeded $17,500 during the 2010-2011 academic year. 14

  15. Definitions and Clarifications • ‘Academic Year’ - August 1 through July 31 • ‘Enrolled since Jan 4, 2011’ – Registered in courses at your institution since that date or accepted at your school. • ‘Continuous Enrollment’ – Attendance solely at your school (guest student attendance for transfer credit is permissible) • ‘Program Cost Exceeded $17,500’ – individual student cost didn’t have to exceed cap to qualify The following were not affected by HR 1383: • Schools in states other than the aforementioned states • Net Payer provision does apply to ‘Grandfathered’ students • Active Duty students are paid at eligibility tiers, no YRP • Out-of-state tuition rates at public institutions

  16. Restoring GI Bill Fairness Act of 2011 What Will VA Pay If a student is eligible for the “grandfathered” rates for tuition and fees and their tuition and fee charges for the academic year exceed $17,500, they will receive payments authorized for “grandfathered” participants. VA will pay them a percentage (based on their eligibility level) of the greater of $17,500, or the amount they would have been paid for their training during the 2010-2011 academic year (based on the tuition and fee in-State Maximums). The 2010-2011 in-State maximums are listed on our website at: http://gibill.va.gov/gi_bill_info/ch33/tuition_and_fees_2010.htm. The new law does not authorize an individual to opt-out of receiving the “grandfathered” rate for tuition and fees. “Grandfathered” participants will receive the same rate as all other Post-9/11 GI Bill participants beginning August 1, 2014. 16

  17. Restoring GI Bill Fairness Act of 2011 How VA Will Determine Payments • VA will determine how much the student is entitled to receive under the remaining $17,500 Cap (or prorated Cap for less than 100% eligible students) for the term. • VA will then determine how much the student is entitled to receive for the term under the 2010-2011 In-State undergraduate per credit hour cost and per term fee cost (Grandfather Rate). Calculated payment will be lesser of the actual Net Tuition and Fees or what the max. In-State undergraduate per credit hour cost and max. per term fee cost. (Tuition: $1010.00/credit. Fees per term: $12,293.00) 3. VA will pay the greater of 1 or 2 above. (VA will never pay more than the certified Net Tuition and Fees.) 17

  18. Grandfather Example – 100% Elig. • Fall 2011 term student is taking 12 credits at New York School. (New York maximum In-State per credit cost is $1010 and max. per term fees are $12,293 for 2010-2011.) • Net Tuition is $15,000 and net Fees are $1,000 (total of $16,000). • Student has $17,500 remaining under cap. • Under Cap, VA would pay the lesser of amount remaining under Cap or Net Tuition and Fees charged. VA T&F Cap payment would therefore be $16,000 ($15,000 Tuition + $1000 Fees). • Under In-State max costs (Grandfather rate), student would receive Tuition payment of: • lesser of $12,120 (12 cr X $1010 per credit) or actual Net Tuition charges of $15,000. • Under In-State max cost (Grandfather rate), student would receive Fees payment of: • lesser of In-State max $12,293 per term or actual Net Fees of $1,000. • Total T&F payment under In-State Grandfathering would be: • $13,120 ($12,120 for tuition and $1,000 for fees). • VA payment will be greater of $16,000 Cap or $13,120 Grandfathered rate. • VA payment therefore will be $16,000 for the Fall 2011 term. 18

  19. Grandfather Example – 100% Elig. • Spring 2012 term student is taking 13 credits at New York School. (New York maximum In-State per credit cost is $1010 and max. per term fees are $12,293.) • Net Tuition is $17,000 and net Fees are $2,000 (total of $19,000). • Student has $1,500 remaining under cap (was paid $16,000 for Fall 2011). • Under Cap, VA would pay the lesser of amount remaining under Cap or Net Tuition and Fees charged. VA T&F Cap payment would therefore be $1,500 (amount remaining under Cap). • Under In-State max costs (Grandfather rate), student would receive Tuition payment of: • lesser of $13,130 (13 cr X $1010 per credit) or actual Net Tuition charges of $17,000. • Under In-State max cost (Grandfather rate), student would receive Fees payment of: • lesser of In-State max $12,293 per term or actual Net Fees of $2,000. • Total T&F payment under In-State Grandfathering would be: • $15,130 ($13,130 for tuition and $2,000 for fees). • VA payment will be greater of $1,500 remaining Cap or $15,130 Grandfathered rate. • VA payment therefore will be $15,130 for the Spring 2012 term. (Note: Unmet charges of $3870 may be paid under Yellow Ribbon.) 19

  20. Grandfather Example – 80% Elig. • Fall 2011 term student is taking 12 credits at New York School. (New York maximum In-State per credit cost is $1010 and max. per term fees are $12,293.) • Net Tuition is $15,000 and net Fees are $1000 (total of $16,000). • Student has $14,000 remaining under cap (80% of $17,500 Cap). • Under Cap, VA would pay the lesser of amount remaining under Cap or 80% of Net Tuition and Fees charged. VA T&F Cap payment would therefore be $12,800 (80% of total Tuition and Fees of $16,000). • Under In-State max costs (Grandfather rate), student would receive Tuition payment of: • lesser of $9,696 (12 cr X $808 per credit) or $12,000 (80% of Net Tuition charges). ($808 per credit is 80% of In-state max of $1010 per credit.) • Under In-State max cost (Grandfather rate), student would receive Fees payment of: • lesser of $9834.40 per term (80% of max $12,293) or $800 (80% of Net Fees). • Total T&F payment under In-State Grandfathering would be: • $10,496 ($9696 for tuition and $800 for fees). • VA payment will be greater of $12,800 Cap or $10,496 Grandfathered rate. • VA payment therefore will be $12,800 for the Fall 2011 term. 20

  21. Grandfather Example – 80% Elig. • Spring 2012 term student is taking 13 credits at New York School. (New York maximum In-State per credit cost is $1010 and max. per term fees are $12,293.) • Net Tuition is $17,000 and net Fees are $1,000 (total of $18,000). • Student has $1,200 remaining under cap (already paid $12,800 for Fall 2011). • Under Cap, VA would pay the lesser of amount remaining under Cap or 80% of Net Tuition and Fees charged (which is $14,400). VA T&F Cap payment would therefore be $1,200 (amount remaining under Cap). • Under In-State max costs (Grandfather rate), student would receive Tuition payment of: • lesser of $10,504 (13 cr X $808 per credit) or $13,600 (80% of Net Tuition). ($808 per credit is 80% of In-state max of $1010 per credit.) • Under In-State max cost (Grandfather rate), student would receive Fees payment of: • lesser of $9834.40 per term (80% of max $12,293) or $800 (80% of Net Fees). • Total T&F payment under In-State Grandfathering would be: • $11,304 ($10,504 for tuition and $800 for fees). • VA payment will be greater of $1,500 remaining Cap or $11,304 Grandfathered rate. • VA payment therefore will be $11,304 for the Spring 2012 term. 21

  22. Restoring GI Bill Fairness Act of 2011 Additional Information • It should be noted that the examples given earlier are based on payments for terms where the entire term was eligible for payment. Payments may be prorated should a student exhaust entitlement or establish eligibility to the benefit after the term began. • In addition, a reduction or increase in credit hours; a complete withdrawal from school; or a change in the Net Tuition and Fees charged could also impact the payment calculations that are made by VA. • Any payments made, to include the Grandfather Rate payments, will be counted against the student’s yearly private school cap of $17,500 (or prorated cap based on eligibility level) should the student attend another school during that same year. For example if the student received a Grandfather payment of $15,000 during the Fall term and then transferred to another private school for the Spring term, that $15,000 would be counted against their yearly cap. Therefore, for the Spring term, the student would only be eligible for an additional cap payment of $2,500 (or prorated amount based on eligibility level). 22

  23. How VA Makes Payments For Tuition and Fees What VA will pay for each term is dependent on many things, such as: What is the student’s Eligibility Level (on the first day of the term) and the student’s Eligibility Date How much entitlement does the student have remaining when the term began How much of the $17,500 Cap (or prorated Cap) is remaining Is the student eligible for “Restored Rates” Did the student make any changes in enrollment during the term Did the net tuition and fees change during the term Were enrollments and any changes accurately reported to VA Many of the above instances may result in a prorated tuition and fees payment or prorated Yellow Ribbon payment. 23

  24. How VA Makes Payments For Tuition and Fees VA pays based on terms (or sessions, or mini-terms) and each term is treated as a separate entity for payment purposes. Even if these terms overlap each other or if the school bills the student a single cost for several terms, VA will still treat the terms separately for processing purposes. For example a student is enrolled as follows: 09/06/2011 to 12/12/2011 for 9 credits – Tuition = $900.00, Fees = $500.00 09/06/2011 to 10/11/2011 for 1 credit – Tuition = $100.00, Fees = $0.00 10/17/2011 to 12/12/2011 for 1 credit – Tuition = $100.00, Fees = $0.00 The school charges $1100.00 for the tuition ($100.00 per credit hour) and $500.00 for the fees for the Fall 2011 enrollment and considers the student to be enrolled in the Fall 2011 term for 11 total credits at a total cost of $1600.00. For VA payment and processing purposes, we consider the student to be enrolled in 3 separate and distinct terms and will process the enrollment as 3 separate payments. 24

  25. Changes To Enrollments Report all reductions and increases, even if the Tuition and Fees remain the same. Under Chapter 33, all changes to credit hours have the potential of impacting payment. For a complete withdrawal, the Tuition and Fees payment will be prorated based on the length of time the student attended. The fact the school refunded money has no bearing on the VA payment. VA will pay for the time attended. For a reduction or an increase, the school should report the Tuition and Fees for the new credits as if those were the number of credits the student originally enrolled in. Don’t factor in any refunds or current balance due. The payment that is due the student (or overpayment created) will be based on the time spent at each number of credits and the cost associated with those credits.

  26. Changes To Enrollment For a student who attends a term and then withdraws, reduces or increases after the first day of the term; the adjustment to the Tuition and Fees will be pro-rated based on the length of time attended. For a complete withdrawal, the VA will determine the length of time that a student attended as a percentage of the total length of the term (based on 30 day months). This will determine the percentage of the Tuition and Fees that the student will be entitled to receive. For a reduction or increase, where the change occurred after the term began, the Tuition and Fees will be prorated based on the number of days that the student was enrolled in original number of hours certed and the number of days the student was enrolled in the reduced or increased hours. The end of the month/term rule will apply. This means (that for VA payment purposes only) the reduction will be effective the first day of the month following the reduction or the end of the term, whichever comes first.

  27. Changes To Enrollment Example of a complete withdrawal overpayment: Term runs from 8/27/2011 to 12/18/2011 and the Tuition and Fees payment was $10,000. The student withdraws from all courses on 10/02/2011 (LDA). Total length of the term (based on 30 day months) = 112 days Total days attended (8/27/2011 to 10/02/2011) = 36 days Percentage of term attended = 36/112 = 32% Amount student is due for period attended = $10,000 x 32% = $3200 Overpayment to student = $6800 No overpayment of Books and Supplies if the student attends any part of the term. Monthly Housing Allowance will terminate effective Last Date of Attendance.

  28. Changes To Enrollment Example of a reduction that occurs during the term and the overpayment: Term is: 8/27/2011 to 12/18/2011 for 12 credits Reduction from 12 to 6 credits effective 11/21/2011 Using the End of Month/Term Rule, the reduction is effective 12/01/2011 Tuition and Fees for 12 credits is $3000.00 and tuition and fees for 6 credits is $1500.00 Total length of the term (based on 30 day months) = 112 days _______________________ Number of days enrolled for 12 credits = 94 days (8/27/2011 to 11/30/2011) Percentage of term at 12 credits = 94/ 112 = 84% Percentage of $3000.00 tuition and fees for 12 credits due = $3000.00 X 84% = $2520.00 Number of days enrolled for 6 credits = 18 days (12/01/2011 to 12/18/2011) Percentage of term at 6 credits = 18 / 112 = 16 % Percentage of $1500.00 tuition and fees for 6 credits due = $1500.00 X 16% = $240.00 _____________________________ Add $2520 + $240 = $2760.00is the new amount the student is entitled to receive for this term based on the reduction from 12 to 6 credits. Overpayment on the student will be $240.00 ($3000.00 paid for 12 credits minus the $2760.00 that student is due as a result of the reduction to 6 credits on 11/21/2011).

  29. Changes To Enrollment When tuition and fees have been paid for multiple terms and then a termination occurs, you may have a situation where both the student and school will be charged an overpayment. BeginEndCrs.Tuition Fees 05/15/2011 06/16/2011 3 $600.00 $50.00 06/18/2011 07/20/2011 3 $600.00 $50.00 07/25/2011 08/16/2011 3 $600.00 $50.00 In this example, the VA paid the school $1950.00 for the three summer sessions. Student then withdraws from school on 06/28/2011 (LDA) and doesn’t return. Student is responsible for overpayment of T&F for the period from 06/29/2011 to 07/20/2011; which will be 67% of T&F for that session or $435.50. Student is only entitled to payment for time attended during that second session. Since the student completed the first session, student was entitled to all the T&F paid for that session. School will be responsible for overpayment of $650.00 in T&F paid for the third session (07/25/2011 to 08/16/2011) since student withdrew prior to beginning of that session.

  30. School Payment Notifications And Returning Payments to VA

  31. Benefits Overpayment With CH33, overpayments tend to be far more complex and much larger than with other benefit types. Responsibility (either student or school) for the overpayment will depend upon the circumstances that caused the overpayment. Overpayment of TOE benefits can be collected from both the student and the veteran/serviceperson who transferred the entitlement. Report all changes as soon as possible to the VA to avoid unnecessary overpayment of the Monthly Housing Allowance. If a student attends and then reduces or withdraws, the Books and Supplies payment will not have to be repaid. (If the student did not attend or reduced before the beginning of the term, the Books and Supplies payment, if paid, will have to be repaid.) VA will not pay a Private School more than $17,500.00 (or the prorated amount based on the student’s Elig. Level) during any School Year.

  32. School Debts (Net Payer Rules) • Private school reports student will be enrolled for Fall 2011 term for 12 credits • Net cost of tuition and fees is $12,000.00 and that is what VA pays • Student subsequently receives tuition scholarship for $2,000.00 • School submits amended certification showing new net T&F of $10,000.00 • VA creates $2,000.00 overpayment on the school ** It should be noted that the amount remaining under the $17,500.00 cap will be increased as a result of the above overpayments. ________________________________________________________ • Public school reports student will be enrolled for Fall 2011 term for 12 credits • Net cost of tuition and fees is $5,000.00 and that is what VA pays • Student subsequently receives tuition scholarship for $2,000.00 • School submits amended certification showing new net T&F of $3,000.00 • VA creates $2,000.00 overpayment on the school

  33. When To Return Payments to VA Never return money to the VA unless specifically requested to do so by VA. VA will send a letter requesting repayment.  The student did not attend classes as certified for the enrollment period. The student was not enrolled in your school. The student withdrew from all classes or terminated enrollment on or before the first day of the certified enrollment period (if the student reduces, the debt is a student debt). VA sent duplicate payments for the enrollment period. The school submitted an amended enrollment showing a reduction in tuition and fee charges or a reduction in Yellow Ribbon amount, or both (more likely under new net payer rules). VA paid more than the amount reported on the certified enrollment.* The student died before the term started or during the term.

  34. VA Paid School Too Much – First Steps Check with the VA Certifying Official at the school to see what was certified to the VA and that the enrollment information sent to VA was correct and current. VA will pay based on the information that is received from the school. If what VA has paid (adjusted for Eligibility Level) matches what has been reported by the school on the enrollment certification, there is no overpayment by the VA at this point: since VA has paid what the school has reported. 34

  35. VA Paid School Too Much – First Steps Check to see if the student’s enrollment has changed from what was originally certified to the VA. If there have been changes to the student’s enrollment, check to see if those changes were reported to the VA and the information regarding those changes (such as changed credit hours, new tuition and fees and effective date of a reduction or termination) was accurately reported to the VA. If the information regarding any change wasn’t reported to the VA, the VA Certifying Official should submit an Amended or Adjusted certification to show the change in the student’s enrollment or tuition and fees charged. If the VA Certifying Official has reported the necessary changes to the student’s enrollment, check to see when that Adjustment of Amendment was sent to the VA. It may take several weeks for the VA to process the change in the enrollment and create the overpayment. 35

  36. VA Paid School Too Much – First Steps Once VA does process the change(s) to the enrollment (please be aware that it may take several weeks for Amendments and Adjustments to be processed during peak enrollment periods), VA will send a letter to the school explaining the overpayment. You should wait for this letter before returning money to the VA. If you return money to the VA before the overpayment is set up in VA’s system, it may be returned to the school. (Please be aware that if the VA processes the changes to the enrollment and creates a debt on the student; the school will not be notified of this; schools are only notified when school debt is created). If you have sent the changes to the enrollment and have waited several weeks and still have not received an overpayment letter from the VA; review the circumstances that created the overpayment to ensure that the debt was actually school debt and not student debt. If it is legitimate school debt, then contact the ELR to see what the status of the debt is. 36

  37. When The VA Pays Too Little Or Pays Nothing There may be instances when the payment you receive from the VA may be less than what you were expecting. Although this may be due to an error on VA’s part, in most instances there will be a legitimate reason why the VA paid less than what was expected (most payments made by the Chapter 33 system have been automated to pay what is certified on the VA-ONCE certification based on what the student is entitled to receive for the term being paid). In those cases where you do receive a payment that is less than what you expected to receive, you should once again check with the VA Certifying Official to ensure that all Enrollment Certifications and Changes to Enrollments have been submitted to VA and that the information on the certifications are correct. If the all the necessary information has been sent to the VA and the VA has had enough time to process all the enrollment information (several weeks during the peak enrollment periods); then you should consider other issues that may have impacted the payment. 37

  38. When The VA Pays Too Little Or Pays Nothing Most underpayments are caused by one or more of the below: The student’s Eligibility Level may have changed. The student may have originally been informed that they were eligible at a higher level than they should have been. For example, a student is issued a COE showing 100% eligibility and the school certifies based on that but when the award is processed, VA notices that some of the active duty service the student had was not qualifying for Chapter 33 eligibility. VA would notify the student of this reduction in their Eligibility Level in the Award Letter we send. However, the VA would not notify the school. The student did not become eligible for Chapter 33 until after the term began. In this case the payment would also be prorated from the date of eligibility. The student may be receiving benefits under a program other than Chapter 33, such as the MGIB Chapter 30 program. Only Chapter 33 will provide payments to schools. All the other benefit programs pay the student a monthly stipend. 38

  39. When The VA Pays Too Little Or Pays Nothing The student may have exhausted all their Chapter 33 entitlement and therefore the tuition and fees payment for the term was prorated. For example, if a student only had 2 months of entitlement remaining and the term was 4 months long, VA would prorate the payment to only pay 50% of the tuition and fees (or a lesser amount for someone eligible as less than 100%). A student may have reduced their hours or withdrawn completely and then the school submits the Enrollment Certification and Change to Enrollment, showing the reduction or termination. In this case, VA would only pay for the period the student attended, even if the student wasn’t due a refund by the school, VA can only pay for what the student actually attended. A change in the student’s enrollment was reported with an effective date that is during the term. Changes to enrollments (such as a reduction or termination) that occur during the term will cause the VA payment to be prorated (or if there is an overpayment, the overpayment will be prorated as well). 39

  40. For Additional Information Visit our NEW website at:www.gibill.va.gov Sign up for FAQ updates! GI Bill Hotline: 1-888-GIBILL-1 (1-888-442-4551)

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