Sec. 13b.01.01.12. Tuition, Fees, Enrollment Contracts, Refunds

A. A school shall publish in its catalog its schedule of tuition and fees and methods of payment. The school may not deviate from its published tuition and fees and methods of payment.

B. A school shall furnish a student with information regarding the cost of the necessary books, supplies, and materials. The school shall indicate clearly these costs and any extra fees which are in addition to tuition. The books, supplies, and other materials that the student purchases shall become the property of the student.

C. Forms for enrollment contracts, bona fide loans, and payment plans for student charges shall be sent to the Secretary for approval at least 60 days before their use. The Secretary shall make every effort to expedite approval in a minimum time period. Each student shall receive a completed copy of the enrollment contract signed by the student, the student's legal guardian if the student is under 18 years old, and an official of the school. The student shall also receive any other documents pertaining to the student's commitment to enroll.

D. An enrollment contract shall specify all terms and conditions relating to the entire length and total cost of the program as well as other information the Secretary may require.

E. A student's total program shall be established and fixed in the enrollment contract at the time of initial enrollment. Enrollment contracts may be extended or modified only with the written consent of both the student and the school. A school may not enroll or charge a student for multiple programs without approval from the Secretary.

F. If a school provides placement services, these services shall be free of charge to students or graduates. This requirement may be waived only after written justification has been submitted to and approved by the Secretary.

G. The registration, application, or enrollment fee charged may not exceed cumulatively 10 percent of the total contract price of a course or program, or $150, whichever is less. Other mandatory fees charged shall be requested by a school and approved by the Secretary before implementation. Within 30 days of the school's submission of all required information, the Secretary shall take an approval action regarding the school's request for other mandatory fees.

H. A school may not charge a withdrawal fee.

I. If a school closes or discontinues a course or program, the school shall refund to each currently enrolled student monies paid by the student for tuitions and fees and monies for which the student is liable for tuitions and fees.

J. With the approval of the Secretary, a school which closes or discontinues a course or program, instead of refunding monies to a student, may arrange for that student to complete his or her educational program at another approved school offering a similar program. It is the student's option to receive the refund or to accept the transfer to another school.

K. Seven-Day Cancellation Period.

(1) All fees paid by a student shall be refunded if the student chooses not to enroll in or to withdraw from a school within 7 calendar days after having signed a contract. If the student chooses not to enroll after the 7-day cancellation period, but before the first day of instruction, the school may retain the application fee or registration fee, or both. After the 7-day cancellation period, the refund policy given in §L(1) of this regulation shall be followed.

(2) The availability of a 7-day cancellation period shall be published in the catalog, on the school's application forms, and in the enrollment contract.

L. If, after the 7-day cancellation period expires, a student withdraws after instruction begins, refunds shall be based on the total contract price for the course or program and shall include all fees, except the registration, application, or enrollment fee and any charges for materials, supplies, or books which have been purchased by, and are the property of, the student.

M. Minimum Refund.

(1) The minimum refund that a school shall pay a student who withdraws or is terminated after the 7-day cancellation period has expired and after instruction has begun, is as follows:

Proportion of Total Course or Program Taught by Date of Withdrawal	Tuition Refund
Less than 10%	90% refund
10% up to but not including 20%	80% refund
20% up to but not including 30%	60% refund
30% up to but not including 40%	40% refund
40% up to 50%	20% refund
More than 50%	No refund

(2) A refund due a student shall be based on the date of withdrawal or termination and paid within 60 days from the date of withdrawal or termination.

(3) In the case of an official leave of absence, if a student fails to return to training by the end of the leave of absence, a refund due a student shall be based on the date of withdrawal or termination and paid within 60 days of the scheduled last day of the leave of absence.

N. A school's refund policy shall conform to these regulations.

O. A school's approved refund policy shall be disclosed on the school's student enrollment contract, on application forms, and in the catalog.

P. A school shall maintain documentation to verify that a refund has been made.