Student Aid Reference Desk | Institutional Eligibility

The law defines the characteristics and requirements that institutions must meet to be considered Title-IV eligible. The requirements vary somewhat among the three fundamen...

The law defines the characteristics and requirements that institutions must meet to be considered Title-IV eligible. The requirements vary somewhat among the three fundamental types of eligible institution, which are: public or private nonprofit institutions of higher education; proprietary (for-profit) institutions of higher education; public or private nonprofit postsecondary vocational institutions. Regulations elaborate on the basic statutory requirements, which address such factors as admissions criteria, type and length of academic program, accreditation, and state authorization to operate.

Related terms: Administrative Capability; Financial Responsibility; Program Eligibility; Program Participation Agreement

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The law defines the characteristics and requirements that institutions must meet to be considered Title-IV eligible. The requirements vary somewhat among the three fundamental types of eligible institution, which are: public or private nonprofit institutions of higher education; proprietary (for-profit) institutions of higher education; public or private nonprofit postsecondary vocational institutions. Regulations elaborate on the basic statutory requirements, which address such factors as admissions criteria, type and length of academic program, accreditation, and state authorization to operate.

Related terms: Administrative Capability; Financial Responsibility; Program Eligibility; Program Participation Agreement

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Academic Year Administrative Capability Audit and Program Review Cash Management Cohort Default Rate (CDR) Consumer Information Cost of Attendance (COA) Direct Loans Disbursement Enrollment Status Expected Family Contribution (EFC) Federal Supplemental Educational Opportunity Grant Program (FSEOG) Federal Work-Study Program (FWS) Financial Responsibility of Institutions Institutional Eligibility Loan Counseling Misrepresentation Need Analysis Overawards and Overpayments Packaging Payment Period Pell Grant, Iraq and Afghanistan Service Grant (IASG), and Children of Fallen Heroes Scholarship (CFHS) Perkins Loan Program Professional Judgment (PJ) Program Eligibility Program Participation Agreement (PPA) Recordkeeping Return of Title IV Funds (R2T4) Satisfactory Academic Progress (SAP) Student Eligibility TEACH Grant Third-Party Servicers Verification Written Arrangements

Statutory Authority

Web URL U.S. Code, Title 20—Education Chapter 28—Higher Education Resources and Student Assistance Subchapter I—General Provisions > Part A—Definitions §§ 1001 – 1003 [HEA §§ 101 – 103]

Web URL U.S. Code, Title 20—Education Chapter 28—Higher Education Resources and Student Assistance Subchapter IV—Student Assistance > Part H—Program Integrity, Subpart 3—Eligibility and Certification Procedures § 1099c Eligibility and certification procedures [HEA § 498]

Web URL 34 CFR Part 600

See also Subtopics for more specific references.

PDF 2022-23 FSA Handbook, Vol. 2, August 2022

Web URL Federal Register, 10/28/22

PDF 2022 Federal Student Aid New School Guide

PDF 2022-23 Foreign Schools Handbook

Web URL ED’s E-App Web Page

Publications, Articles & Other Resources

PDF How to Graduate High-Risk Students

(Trellis Company)

Web URL Institutional Eligibility AskRegs Knowledgebase Q&As

(National Association of Student Financial Aid Administrators)

PDF Institutional Eligibility for Participation in Title IV Student Financial Aid Programs

(Congressional Research Service)

PDF Institutional Eligibility for Participation in Title IV Student Aid Programs Under the Higher Education Act: Background and Reauthorization Issues

(Congressional Research Service)

PDF With Great Challenges Come Great Opportunities: Promising Practices of Texas Community Colleges

(Trellis Company)

Accreditation or preaccreditation

Change of accrediting agency

Web URL 600.11(a)

Web URL GEN-22-11

Web URL GEN-22-10

PDF 2022-23 FSA Handbook, Vol. 2, Ch. 5, August 2022

Definitions of “Accredited,” “Nationally recognized accrediting agency,” and “Preaccredited”

Web URL 600.2

PDF 2022-23 FSA Handbook, Vol. 2, Ch. 1, August 2022

Institution of higher education (public and private nonprofit)

General requirement

Web URL 600.4(a)(5)

Arbitration stipulation

Web URL 600.4(c)

Multiple accreditation, primary accreditor, and programmatic accrediting agencies

Web URL 600.11(b)

Web URL GEN-22-11

PDF 2022-23 FSA Handbook, Vol. 2, Ch. 1, August 2022

Postsecondary vocational institution

General requirement

Web URL 600.6(a)(5)

Arbitration stipulation

Web URL 600.6(d)

Proprietary (for profit) institution of higher education

General requirement

Web URL 600.5(a)(6)

Arbitration stipulation

Web URL 600.5(d)

Religious exception

Web URL 600.11(d)

TEACH Grant accreditation

PDF 2022-23 FSA Handbook, Vol. 2, Ch. 1, August 2022

Additional locations

See also Expanding eligibility

Web URL 600.32

Admissions criteria

Dually enrolled in high school and college

PDF GEN-08-12 Attachment, p. 24

PDF 2022-23 FSA Handbook, Vol. 2, Ch. 1, August 2022

High school diploma

PDF 2022-23 FSA Handbook, Vol. 2, Ch. 1, August 2022

Home-schooled students

PDF 2022-23 FSA Handbook, Vol. 2, Ch. 1, August 2022

Institution of higher education (public and private nonprofit)

Web URL 600.4(a)(2)

Postsecondary vocational institution

Web URL 600.6(a)(2)

Proprietary (for profit) institution of higher education

Web URL 600.5(a)(3)

Recognized equivalent of a high school diploma (definition)

Web URL 600.2

Web URL GEN-14-06

Regular student (definition)

Web URL 600.2

Application and reapplication procedures

See also Recertification

Web URL 600.20

Branch campus

General rules

Web URL 600.8

PDF 2022-23 FSA Handbook, Vol. 2, Ch. 5, August 2022

Adding branches

Web URL 600.20(c)(4)

Conversion of location to branch campus

Web URL 600.20(c)(5)

Definition of branch campus

Web URL 600.2

Change in ownership and control

General rules

Web URL 600.31

Web URL Federal Register, 10/28/22

PDF 2022-23 FSA Handbook, Vol. 2, Ch. 5, August 2022

Preacquisition review

PDF 2022-23 FSA Handbook, Vol. 2, Ch. 5, August 2022

Temporary approval for continued participation

Web URL 600.20(h)

Web URL Federal Register, 10/28/22

PDF 2022-23 FSA Handbook, Vol. 2, Ch. 5, August 2022

Conditions of ineligibility and loss of eligibility

Bankruptcy

Web URL 600.7(a)(2)

Change in ownership and control

Web URL 600.31(a)

Cohort default rate

Web URL 668.206

Web URL 690.7(d)

Web URL GEN-14-03

Impact of Cohort Default Rates on Institutional Title IV Program Eligibility

Correspondence course limitation

Web URL 600.7(a)(1)(i)

Web URL 600.7(b)

PDF 2022-23 FSA Handbook, Vol. 2, Ch. 4, August 2022

Correspondence student limitation

Web URL 600.7(a)(1)(ii)

Web URL 600.7(b)

Web URL 600.7(e)(1)

PDF 2022-23 FSA Handbook, Vol. 2, Ch. 4, August 2022

End of institutional participation in Title IV programs: General information

Web URL 668.26

Expiration of program participation agreement

Web URL 600.20(f)

Web URL 668.14(g)

Fraud or crimes involving acquisition, use, or expenditure of Title IV funds

Web URL 600.7(a)(3)

Incarcerated student limitation

Web URL 600.7(a)(1)(iii)

Web URL 600.7(c)

Web URL 600.7(e)(1)

Web URL 600.7(e)(2)

Web URL Federal Register, 10/28/22

PDF 2022-23 FSA Handbook, Vol. 2, Ch. 4, August 2022

Location ceases to be part of a participating institution

Web URL 668.14(h)

Loss of accreditation or preaccreditation

Web URL 600.11(c)

Loss of eligibility: General rules

Web URL 600.40

Notifications and reports to ED due to loss of eligibility

Web URL 600.7(h)

Web URL 690.7(e)

Regular student admitted without high school credential limitation

Web URL 600.7(a)(1)(iv)

Web URL 600.7(d)

Web URL 600.7(e)(1)

PDF 2022-23 FSA Handbook, Vol. 2, Ch. 4, August 2022

Substantiation through audit

Web URL 600.7(g)

Termination by ED or the institution and emergency actions by ED

Web URL 600.41

Web URL 668.14(f)

Unpaid commitments of Title IV aid to students

Web URL 668.26(d)

Web URL 690.7(c)

Date, extent, duration of eligibility

Web URL 600.10

Drug abuse prevention program

Web URL 668.14(c)

Educational program

See also top list entry for Program Eligibility
See also Expanding eligibility

Definition

Web URL 600.2

Institution of higher education

Web URL 600.4(a)(4)

Postsecondary vocational institution

Web URL 600.6(a)(4)

Proprietary institution of higher education

Web URL 600.5(a)(5)

Web URL 600.5(e)

Eligible institution (definition)

See also Institution of higher education (public or private nonprofit), Postsecondary vocational institution, Proprietary (for profit) institution of higher education

General definition

Web URL 600.2

Sum of eligible programs only

PDF 2022-23 FSA Handbook, Vol. 2, Ch. 4, August 2022

Eligible nonparticipating school designation (for loan deferment and other purposes)

PDF 2022-23 FSA Handbook, Vol. 2, Ch. 1, August 2022

Expanding eligibility

See also Additional locations, Branch campus, Educational program

Adding locations

Web URL 600.20(c)(1)

Web URL 600.21(d)

Web URL 600.32(d)

PDF 2022-23 FSA Handbook, Vol. 2, Ch. 5, August 2022

Adding programs after designation as eligible institution

Web URL 600.10(c)

Web URL 600.20(c)(3)

PDF 2022-23 FSA Handbook, Vol. 2, Ch. 5, August 2022

Increasing level of educational programs

Web URL 600.20(c)(2)

Foreign institution

Web URL 600.51 to 600.58

PDF 2022-23 Foreign Schools Handbook, Ch. 1

Institution of higher education (public or private nonprofit)

See also Accreditation or preaccreditation, Admission criteria, Educational program, State, State authorization (“Legally authorized”)

Definition and requirements

Web URL 600.4

PDF 2022-23 FSA Handbook, Vol. 2, Ch. 1, August 2022

Definition of “Nonprofit institution”

Web URL 600.2

Simultaneous qualification as postsecondary vocational institution

PDF 2022-23 FSA Handbook, Vol. 2, Ch. 1, August 2022

Limitations imposed on eligibility due to compliance problems

Web URL 600.41

Postsecondary vocational institution

See also Accreditation or preaccreditation, Admissions criteria, Educational program, State, State authorization (“Legally authorized”)

Definition and requirements

Web URL 600.6

PDF 2022-23 FSA Handbook, Vol. 2, Ch. 1, August 2022

Two-year rule

Web URL 600.6(a)(6), (b)

Web URL 600.32(c)

PDF 2022-23 FSA Handbook, Vol. 2, Ch. 1, August 2022

Program participation agreement

See top list entry for Program Participation Agreement

Proprietary (for-profit) institution of higher education

See also Accreditation or preaccreditation, Admissions criteria, Educational program, State, State authorization (“Legally authorized”)

90/10 rule

Web URL 668.14(b)(16)

Web URL 668.28

Web URL Federal Register, 10/28/22

PDF 2022-23 FSA Handbook, Vol. 2, Ch. 4, August 2022

Definition and requirements

Web URL 600.5

PDF 2022-23 FSA Handbook, Vol. 2, Ch. 1, August 2022

Two-year rule

Web URL 600.5(a)(7), (b)

Web URL 600.32(c)

PDF 2022-23 FSA Handbook, Vol. 2, Ch. 1, August 2022

Provisional certification

Web URL 668.13(c)

Web URL 668.13(d)

Public or private nonprofit institution in Micronesia, Marshall Islands, Palau

Web URL 668.33(b)(2)

Qualification to participate in Title IV programs

Web URL 600.10(e)

Recertification

PDF 2022-23 FSA Handbook, Vol. 2, Ch. 5, August 2022

Regaining institutional eligibility

Web URL 600.7(i)

Reporting substantive changes

General information

PDF 2022-23 FSA Handbook, Vol. 2, Ch. 5, August 2022

Changes not requiring written approval from ED

PDF 2022-23 FSA Handbook, Vol. 2, Ch. 5, August 2022

Changes requiring written approval from ED

PDF 2022-23 FSA Handbook, Vol. 2, Ch. 5, August 2022

State

Definition

Web URL 600.2

Location in

Institution of higher education

Web URL 600.4(a)(1)

Web URL 600.4(b)

Postsecondary vocational institution

Web URL 600.6(a)(1)

Web URL 600.6(c)

Proprietary (for-profit) institution of higher education

Web URL 600.5(a)(2)

Web URL 600.5(c)

State authorization (“Legally authorized”)

See also State (Definition)

General rules

Web URL 600.9

PDF Federal Register, 7/3/18

PDF 2022-23 FSA Handbook, Vol. 2, Ch. 1, August 2022

Definition of “Legally authorized”

Web URL 600.2

Exceptions

PDF 2022-23 FSA Handbook, Vol. 2, Ch. 1, August 2022

Institution of higher education

Web URL 600.4(a)(3)

Postsecondary vocational institution

Web URL 600.6(a)(3)

Proprietary institution of higher education

Web URL 600.5(a)(4)

State Authorization Reciprocity Agreement

Web URL 600.2, , State Authorization Reciprocity Agreement definition

Web URL 600.9(c)

Web URL 668.50(b)(1)(ii)

PDF 2022-23 FSA Handbook, Vol. 2, Ch. 1, August 2022

Student complaint process

PDF Federal Register, 7/29/19

Web URL GEN-14-04

Web URL Electronic Announcement, 7/22/2019

PDF 2022-23 FSA Handbook, Vol. 2, Ch. 1, August 2022

TEACH Grant additional requirements

PDF 2022-23 FSA Handbook, Vol. 2, Ch. 1, August 2022

Updating application information

Web URL 600.21

Web URL Federal Register, 10/28/22

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