Financial Aid and Billing Info

Understanding Financial Aid

Attending college is an investment worth making for students who are ready to meet the challenge. The initial appearance of a lack of funds should not stop anyone from exploring the possibility of making such an investment. Tuition at SMC is half the cost of most four-year schools, and we offer students financial assistance to help make their dreams come true.

All full- and part-time students should apply for financial aid. Although many awards are based on financial need or on academic achievement, there are numerous scholarships available that are awarded based on a wide range of criteria.

The first step in applying for financial aid is completing the Free Application for Federal Student Aid (FAFSA). The FAFSA is processed through the U.S. Department of Education using eligibility criteria established by the federal government. Access the FAFSA at https://studentaid.gov/h/apply-for-aid/fafsa.

Federal financial aid is primarily need-based and designed to eliminate economic barriers to education. Those students not expecting to meet the need-based criteria should still complete the FAFSA since it is required for loan applications and most scholarships.

Most SMC students receive some type of financial aid. Financial aid at SMC falls into four main categories:

• Grants: Need-based awards that, in most cases, do not have to be repaid.
• Scholarships: Money that is awarded based on grades, talent, or donor criteria that does not have to be repaid.
• Federal Work Study: Wages earned for on-campus and limited off-campus student employment.
• Loans: Money borrowed for college that must be repaid.

In addition to financial aid, SMC has several payment options. For more information, contact the Student Account Specialist at 269-782-1298 or email ecashier@swmich.edu.

Financial Aid Eligibility and Eligibility Requirements

The requirements listed below apply to federal, state, and some institutional and private financial aid programs. Some programs may have additional requirements. In order to be eligible for financial aid, an applicant must have a complete financial aid file and:

• Complete the Free Application for Federal Student Aid (FAFSA).
• Submit proof of high school completion.
• Submit official transcripts from other college(s) attended.
• Be enrolled as a student working toward an eligible degree or certificate program at SMC.
• Be a U.S. citizen or eligible non-U.S. citizen.
• Not currently in a federal loan default or owe an overpayment on a federal grant.
• Not be receiving financial aid from another institution; and
• Be making Satisfactory Academic Progress (SAP).

Types of Financial Aid

Pell Grants

A Federal Pell Grant, unlike a loan, does not have to be repaid in most cases. Pell Grants are awarded to undergraduate students who have not earned a bachelor’s or professional degree. Pell Grants are considered a foundation of federal financial aid to which aid from other federal and nonfederal sources might be added.

There are limits on the maximum amount a student is eligible to receive each academic year and in total (aggregate Pell Grant limit). The maximum Pell Grant award amount for the 2024–2025 award year (July 1, 2024, to June 30, 2025) is $7,395. A student may receive less than the maximum award depending, not only on financial need, but also on status as a full-time or part-time student and plans to attend school for a full academic year or less.

Any Pell Grant-eligible student whose parent or guardian died as a result of military service in Iraq or Afghanistan after September 11, 2001, will receive the maximum annual award. The student must be under 24 years old or enrolled at least part-time in college at the time of the parent or guardian’s death.

IMPORTANT: A student may only receive a Pell Grant for up to a maximum of 12 full-time semesters or the equivalent. For more information, go to http://studentaid.gov/understand-aid/types/grants/pell/calculate-eligibility.

Federal Supplemental Educational Opportunity Grants (FSEOG)

The Federal Supplemental Educational Opportunity Grant (FSEOG) provides grant funds to qualified students who demonstrate exceptional financial need. The FSEOG is considered gift aid and does not need to be repaid.

To receive an FSEOG, the student must fill out the Free Application for Federal Student Aid (FAFSA) so the college can determine financial need. Students who will receive the Federal Pell Grant and have the most financial need will receive FSEOG first. For more information, go to https://studentaid.gov/understand-aid/types/grants/fseog.

FSEOG Facts:

• Students must meet the general federal aid eligibility requirements.
• Students must maintain Satisfactory Academic Progress (SAP).
• Both part-time and full-time students can receive the FSEOG.
• SMC award amounts are generally $250.00 per semester.

First priority is given to Federal Pell Grant recipients whose Expected Family Contribution (EFC) is zero. Remaining funds, if any, are awarded to students with ascending EFCs until funds are exhausted. Students should submit their FAFSA and other required documents (if any) as early as possible since SMC only receives a certain amount of FSEOG funds each year from the U.S. Department of Education Office of Federal Student Aid. Once the full amount of the school’s FSEOG funds have been awarded to students, no more FSEOG awards can be made for that year. Awards are generally $500 per academic year and are not automatically renewed. Students must complete the FAFSA and meet all eligibility requirements each year.

State of Michigan Scholarships and Grants

Michigan residents and their dependents may qualify for aid programs through the State of Michigan, including the Tuition Incentive Program (TIP), the Michigan Achievement Scholarship, Michigan Reconnect, Fostering Futures, and the Children of Veterans Tuition Grant. Application and eligibility criteria vary by program. Proof of high school graduation/GED will be required. Visit https://www.michigan.gov/mistudentaid/programs for more information.

Michigan Indian Tuition Waiver

This program provides tuition waivers to North American Indians who have proper documentation of heritage and who have been Michigan residents for at least 12 months. Certification is received through the appropriate tribe and the Michigan Department of Civil Rights.

Federal Work Study

The Federal Work Study award is the maximum eligibility amount that the student may earn if a qualified student employment position is secured. The college cannot guarantee employment or that the student will receive the amount initially awarded. The student receives this award in the form of wages which may be used to assist with education-related expenses. Students interested in working on campus must be enrolled, have a completed financial aid file, and complete an online Student Employment Application.

Scholarship Programs

SMC offers scholarships based on a wide range of qualifications that extend beyond academic performance. Learn more about SMC scholarships and complete scholarship applications at https://www.swmich.edu/cost-aid/financial-aid/scholarships/.

Financial Aid Loan Programs

If grants, scholarships, and student employment are not sufficient to cover the student’s necessary education-related expenses, loan options are available. Because loans are financial aid that must be repaid, a student should think carefully about how much to borrow for educational expenses. SMC does not automatically package loans for students, but students may request a Federal Direct Loan at https://www.swmich.edu/cost-aid/financial-aid/loans/federal-direct-loans/.

Federal Direct Loan

The Direct Loan program provides low-interest loans that are funded by the federal government. There are two different types of Federal Direct Loans, subsidized and unsubsidized. It is very important to understand the differences between these two. The Subsidized Federal Direct Loan is considered a need-based loan. Need is defined as the difference between the institution’s Cost of Attendance (COA) and the Expected Family Contribution (EFC) that was determined from the Free Application for Federal Student Aid (FAFSA).

Funding from the Subsidized Federal Direct Loan programs can never exceed the student’s need. Because the Subsidized Federal Direct Loan is considered a need-based loan, the federal government pays the interest on the loan while the student is in school (a minimum of half-time enrollment is required as defined by the federal regulations and institutional policies).

The Unsubsidized Federal Direct Loan is considered a non-need-based-loan. The Unsubsidized Federal Direct Loan is awarded to students who do not have a demonstrated need or whose need portion of their budget has been met but still have room in their overall Cost of Attendance for more funding and have remaining Federal Direct Loan eligibility.

Because the Unsubsidized Federal Direct Loan is considered a non-need-based loan, the federal government does not pay the interest while the student is in school. It is the student’s responsibility to pay accrued interest while in school or choose the option to capitalize the interest.

Capitalization of interest means the accrued interest on the Unsubsidized Federal Direct Loan will be added to the principal balance of the loan. The loan will not go into default to non-payment of interest while the student is in school or in the grace period, but the interest will build, and the student will pay interest on interest during repayment. It is suggested that, if at all possible, the student pay the interest while in school.

As of July 1, 2023, interest rates for both Subsidized and Unsubsidized Direct Loans for undergraduate students disbursed between July 1, 2023, to June 30, 2024, is 5.50%. The interest rates are based on the 91-day U.S. Treasury Bill index (subject to change). The interest rates are variable and change annually on July 1. The interest rate is capped at 8.25%.

Federal Direct PLUS Loan

This is a non-need-based source of loan funds available to parents of dependent students who are enrolled for six or more credits per semester. In this program, the parent is the borrower, a credit check is performed on the applicant, and repayment of interest and principal begins within 60 days of disbursement of the loan unless the parent requests a deferment of payments while the student is enrolled at least half-time in school. The Parent PLUS loan application and promissory note can be completed by going to https://studentaid.gov/plus-app/.

Private Alternative Education Loan

Private Alternative Educational Loans are student loans offered through agencies other than the federal government. These loans are based on the credit worthiness of the borrower and/or co-signer, if applicable.

Verification

Some students are selected for review in a process called “verification.” In this process, the Office of Financial Aid compares information from the FAFSA with copies of the student and/or parent(s) federal tax transcripts, W-2 forms (if applicable), Dependent or Independent Verification Worksheets, and other financial aid documents. The Office of Financial Aid is mandated by the federal government to ask for this information before awarding federal aid. If there are differences between the FAFSA and the financial documents, the student or the Office of Financial Aid may need to make corrections electronically. Once the FAFSA has been electronically downloaded, the student will be sent a letter listing the required verification documentation. The required documentation will also be posted on SMC Wired/Student Dashboard. Students should complete and return the required documents as soon as possible; financial aid awards cannot be determined until the verification documents are received and processed by the Office of Financial Aid. If verification documents are submitted and there are found to be incomplete/missing items, the student will be notified by email, and documents will be filed as incomplete.

Once the complete documents are received, the financial aid staff will review the information. If a correction does not need to be submitted and the file is complete, the student will receive an award letter and email notification. If the documents are received and a correction needs to be made to the FAFSA, the Office of Financial Aid will submit the change electronically. Once the correction is electronically downloaded and the information is correct, the student will receive an award letter and email notification. Sometimes students need to make corrections to the FAFSA before the financial aid office can review the information. In this situation, the student will be notified that corrections must be made to the FAFSA.

Conflicting Information

If at any time SMC financial aid staff discovers conflicting information, they are required by federal law to obtain whatever documentation is necessary to resolve the conflict. The following are examples (not all-inclusive) of common areas reviewed for conflicting information: number of people in household, number of people in college, tax filing status, child support paid, and marital status.

Satisfactory Academic Progress

Federal regulations require that students receiving financial aid maintain progress toward the completion of a certificate or associate degree. The student must complete, with a passing grade, a minimum of 67% cumulative attempted credit hours and maintain a minimum cumulative 2.0 GPA. The student must also complete the program of study within 150% of its published length. Additional information can be found at https://www.swmich.edu/media/website/content-assets/documents/sap-policy-ADA.pdf.

Return of Title IV Policy

This policy is for students who completely withdraw from classes. In accordance with the federal code of regulations 34 CFR 668.22, the Office of Financial Aid is required by federal statute to recalculate federal financial aid eligibility for students who withdraw, cease attendance, or take a leave of absence prior to completing 60 percent of a payment period or term. The federal Title IV financial aid programs must be recalculated in these situations. Title IV aid includes the Pell Grant, Subsidized and Unsubsidized Direct Loans, Perkins Loans, FSEOG, Federal Work-Study, and Parent PLUS Loans.

The calculation is made for all federal financial aid recipients to determine whether a student who completely withdraws during a term has “earned” the monies disbursed. A student “earns” aid based on the period of time they remain enrolled. During the first 60% of the term, funds are earned in direct proportion to the length of time the student remains enrolled. After the 60% point in the payment period or period of enrollment, a student has earned 100% of the Title IV funds scheduled for the period. Any aid received in excess of the earned amount is considered unearned. If a student earned less aid than was disbursed, the institution would be required to return a portion of the funds, and the student may be required to return a portion of the funds. For more information regarding SMC’s withdrawal process, please refer to the Academic Policies section of the catalog or contact the Records Office at 269-782-1351 or records@swmich.edu. For more information regarding SMC’s Return of Title IV policy, please refer to SMC’s Consumer Information (https://www.swmich.edu/media/website/content-assets/documents/return-title-iv-funds-ada.pdf) or contact the Office of Financial Aid at 269-783-2143 or finaid@swmich.edu.

Repeated Coursework

Federal regulations limit the number of times a student may repeat a course and receive aid for that course. A student may receive financial aid for only one repetition of a previously passed course, even if a higher grade is needed as a prerequisite for the next-level course. If a student enrolls for a third time in a course after receiving a passing grade, there will be a recalculation of aid to exclude the credits for the repeated course.

Overaward Policy

An “overaward” is when a student’s need-based awards exceed their financial need, or the total of their awards exceed your Cost of Attendance. If a student has been overawarded, federal regulations require SMC to adjust the awards accordingly. If the unrevised awards have already been disbursed, the revision may result in a bill to recover the overaward. Need-based aid includes federal grants, Federal Work-Study, Subsidized Loans, and some outside resources. Non-need-based aid includes Unsubsidized Loans, Federal Parent PLUS Loans, and private education loans.

There are several possible reasons that an overaward can occur:

• The student receives additional financial aid.
• The residency status changes.
• The enrollment status changes.
• The Cost of Attendance changes.
• The student reports changes to your financial circumstances
• The verification process results in changes made to the student’s FAFSA data.

The federal overaward regulations require colleges to take into account any resources they know about or can anticipate when awarding or disbursing aid. In addition, colleges are required to reduce the size of the need-based aid package whenever the student receives need-based resources that exceed financial need. Additionally, a student’s total resources generally cannot exceed their Cost of Attendance.

To avoid an overaward, students should first, notify financial aid of any money they are receiving from outside sources, such as scholarships, alternative loans, etc. Second, check with financial aid before applying for additional aid to see if the maximum financial aid has already been awarded. If an overaward occurs, aid will generally be reduced in the following order:

• Federal Work Study
• Direct Unsubsidized Loan
• Direct Subsidized Loan
• State Funds
• Institutional Scholarships
• FSEOG
• Foundation Scholarship

Course Program of Study (CPOS)

Financial aid funds are only used to pay for courses that apply to a student’s program of study. Students, through the registration process and working closely with their advisor, should ensure that they are registering each semester for courses that are a part of their academic program. A program could be defined as the choice of general education courses, major-specific courses, and elective courses that make up the total requirements needed to earn a degree or certificate in a particular field of study. Students can review the Financial Aid Resources webpage for additional information about CPOS.

Tuition and Fees

Tuition Per Contact Hour

(Fall 2025 Semester; Spring/Summer 2026 Semester)

Contact Hour Fees

A total of $65.00 in fees will be charged per contact hour to all students. The fees help support services provided by the college that are necessary to enhance the registration process and learning environment. Of the $65.00, $27.50 is assessed as a registration fee and $37.50 as a technology fee to fund campus and classroom computer technology equipment and support upgrades. Additionally, a fee of $20.00 per contact hour will be charged to students for each online course that they register for. Other fees may be assessed based on the course structure or payment plan option.

Non-Credit Course Fees

Students who enroll in non-credit courses typically do not pay tuition but do pay associated course fees. Fees for non-credit courses can be found through the online registration system or by consulting with an advisor.

MWTEC Tuition and Fees

Students who enroll in a program of study through Michigan Workforce Training & Education Collaborative (MWTEC, formerly EPIC) do not pay the SMC tuition rate, technology fee, or registration fee. Instead, specific courses within the program will be billed at a rate established by MWTEC. This rate is based on credit hours, not contact hours. There is also a course fee for each course in the program. In 2025-2026, the tuition rate is $210.00 per credit hour.

Residency Policy

Information provided on the Application for Admission determines residency for tuition purposes. The college will require verification of place of residency. Residency status, as defined here, may be reconsidered upon presentation of written proof that the student’s bona fide place of residence has changed. Students living in SMC housing will not constitute an in-district resident unless their permanent home address qualifies them for such a designation.

In-District Resident

• A student who holds or in the case of a dependent student, whose parents or legal guardians hold, real taxable property in the Southwestern Michigan College district (all of Cass County plus Keeler and Hamilton Townships in Van Buren County)
• A student who has resided in the aforementioned governmental unit before the first day of the semester in which the student initially registers for class.
• A student who receives Veterans Education Benefits
• A student who enrolls in a program in which the college is a member of a consortium or for which the college serves as a fiscal agent.

In-State Resident

• A student holding or a dependent student whose parents or legal guardians hold real taxable property within the state of Michigan but outside the in-district areas defined as in-district.
• Active-duty military personnel and dependents, if Michigan is the active-duty member’s legal state of residence or if the active-duty member is stationed in Michigan.

Out-of-State Resident

• Students who are permanent U.S. residents and do not qualify as in-district or as in-state students.

Students Granted Asylum

Students who can provide documentary evidence that they have been granted asylum by the United States government or who are seeking legal citizenship will be charged out-of-state tuition.

Choice Act Covered Individuals

The following individuals shall be charged the in-district tuition rate:

• Any individual using educational assistance under either Chapter 30 (Montgomery GI Bill®ꜞ- Active Duty Program), Chapter 31 (Vocational Rehabilitation), or Chapter 33 (Post 9/11 GI Bill®), of Title 38, United States Codes, and/or Marine Gunnery Sergeant John David Fry Scholarship (38 U.S.C. § 3311 (b)(9)) who lives in the state of Michigan while attending Southwestern Michigan College (regardless of their formal state of residence)
   

ꜞGI Bill® is a registered trademark of the U.S. Department of Veterans Affairs (VA). More information about education benefits offered by VA is available at the official U.S. government Web site at https://www.benefits.va.gov/gibill.

Changing Residency Status

The college reserves the right to require documentation acceptable to the college in all cases of residency determination and verification. Documentation is required of any student changing to a reduced tuition status but may be asked of others as well. All accepted proof of residency documents must clearly indicate their name and permanent address and must be verified by the Records Office prior to the first day of the new term to take effect for that term. All documents must be originals or copies certified with a raised seal or stamp. If requested, the following forms of proof are acceptable:

• Valid current driver’s license or state-issued ID card, AND one of the following pieces of documentation: o Most recent property tax receipt.
  • Utility bill or credit card bill.
  • Account statement from a bank or other financial institution.
  • Life, health, auto, or home insurance policy that clearly identifies the permanent address.
  • Federal, state, or local government documents, such as receipts, licenses, or assessments.
  • Vehicle title and registration.
  • Mortgage, lease, or rental agreement including landlord’s telephone number.

Tuition-Allowable Refunds

Tuition is charged to provide instructional services, and, as such, refunds must be limited once those services have begun. Registration fees are used to establish the initial schedule, process student registration papers, and complete the withdrawal process. Technology fees are used partially to defray the costs of providing academic and administrative computing services and resources. Both are refundable following the tuition refund policy. Special fees are listed each semester in the college schedule where they are explained, and notations indicate under what circumstances they are or are not refundable. A complete listing of required supplies and equipment with costs by course is available in the college bookstore and on the bookstore’s website.

It is vital to understand that a student is considered enrolled in a class until they have dropped their class. Consequently, a student is financially liable for the tuition/fees associated with a registered class until it is officially dropped. Non-attendance is not considered as official notice of dropping a class and does not constitute a basis for a refund.

General Refund Policies

The following general refund policies became effective as of July 1, 2006, and remain for the 2024-2025 academic year:

• If the college cancels a class, 100% of the tuition and fees will be refunded for that class.
• If the student officially drops a class within the drop period, 100% of the tuition and fees will be refunded for that class.
• If the student officially withdraws after the drop period ends, no tuition and fees will be refunded.
• Refunds assessed during the drop period will be issued by check or by electronic refund if elected. Applicants should allow four to six weeks for refund processing and/or mailing.
• The college recognizes that on occasion students may need to request an exception to the published drop/withdrawal deadlines. Written requests can be made if the student meets the criteria of extenuating circumstances outlined below. In all cases, the circumstance must have interrupted the student’s ability to: a) attend class for a substantial length of time, b) complete the semester, and/or c) adhere to the usual withdrawal or refund procedures. Examples of extenuating circumstances may include severe illness or medical emergency, death of immediate family member, or U.S. military active duty or induction. The request for an exception must be made during the same semester in which the interruption occurred. For access to the complete policy and the Request for Exception for a Late Refund or a Late Withdrawal form, visit the Important Forms section of the Student Resources tab in Wired.

Indebtedness Policy

Students are expected to honor any debt to the college. Failure to pay may bar a student from using college services, the library, and issuance of diplomas. Students who owe tuition/fees or have other debts due to the college will not be allowed to register until the debts have been paid. Collection processes will be initiated for failure to pay.

Veterans Benefits and Transition Act of 2018

No penalty will be imposed, including the assessment of late fees; the denial of access to classes, libraries, or other institutional facilities; or the requirement that a Chapter 31 or Chapter 33 beneficiary borrow additional funds to cover the individual’s inability to meet their financial obligations to the institution due to the delayed disbursement of a payment by the VA.