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 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 topics in this Index: Administrative Capability; Financial Responsibility; Program Eligibility; Program Participation Agreement
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Statutory Authority
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Regulations
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ED References
See also Subtopics for more specific references.
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NASFAA Publications and Articles
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NASFAA AskRegs Knowledgebase
Search or browse the Knowledgebase for answers to regulatory and compliance questions submitted by financial aid administrators.
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NASFAA Compliance Engine
The Compliance Engine is comprised of two modules: the Self-Evaluation Checklists which allows administrators to evaluate their programs in a centralized, shared online space, and the P&P Builder, a tool designed to assist institutions in the creation and maintenance of a policies and procedures manual. Along with an online space to update and maintain policies and procedures, the P&P Builder includes legislation and regulation associated with compliance with Title IV requirements.
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Subtopics
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Accreditation or preaccreditation
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Change of accrediting agency
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Definitions of “Accredited,” “Nationally recognized accrediting agency,” and “Preaccredited”
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Institution of higher education (public and private nonprofit)
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General requirement
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Arbitration stipulation
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Multiple accreditation, primary accreditor, and programmatic accrediting agencies
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Postsecondary vocational institution
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General requirement
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Arbitration stipulation
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Proprietary (for profit) institution of higher education
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General requirement
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Arbitration stipulation
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Religious exception
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TEACH Grant accreditation
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Additional locations
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Admissions criteria
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Dually enrolled in high school and college
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High school diploma
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Home-schooled students
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Institution of higher education (public and private nonprofit)
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Postsecondary vocational institution
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Proprietary (for profit) institution of higher education
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Recognized equivalent of a high school diploma (definition)
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Regular student (definition)
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Application and reapplication procedures
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Branch campus
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General rules
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Adding branches
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Conversion of location to branch campus
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Definition of branch campus
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Change in ownership and control
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General rules
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Preacquisition review
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Temporary approval for continued participation
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Conditions of ineligibility and loss of eligibility
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Bankruptcy
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Change in ownership and control
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Cohort default rate
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Correspondence course limitation
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Correspondence student limitation
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End of institutional participation in Title IV programs: General information
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Expiration of program participation agreement
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Fraud or crimes involving acquisition, use, or expenditure of Title IV funds
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Incarcerated student limitation
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Location ceases to be part of a participating institution
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Loss of accreditation or preaccreditation
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Loss of eligibility: General rules
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Notifications and reports to ED due to loss of eligibility
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Regular student admitted without high school credential limitation
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Substantiation through audit
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Termination by ED or the institution and emergency actions by ED
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Unpaid commitments of Title IV aid to students
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Date, extent, duration of eligibility
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Drug abuse prevention program
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Educational program
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Definition
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Institution of higher education
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Postsecondary vocational institution
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Proprietary institution of higher education
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Eligible institution (definition)
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General definition
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Sum of eligible programs only
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Eligible nonparticipating school designation (for loan deferment and other purposes)
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Expanding eligibility
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Adding locations
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Adding programs after designation as eligible institution
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Increasing level of educational programs
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Foreign institution
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Institution of higher education (public or private nonprofit)
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Definition and requirements
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Definition of “Nonprofit institution”
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Simultaneous qualification as postsecondary vocational institution
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Limitations imposed on eligibility due to compliance problems
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Postsecondary vocational institution
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Definition and requirements
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Two-year rule
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Program participation agreement
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Proprietary (for-profit) institution of higher education
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90/10 rule
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Definition and requirements
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Two-year rule
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Provisional certification
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Public or private nonprofit institution in Micronesia, Marshall Islands, Palau
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Qualification to participate in Title IV programs
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Recertification
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Regaining institutional eligibility
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Reporting substantive changes
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General information
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Changes not requiring written approval from ED
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Changes requiring written approval from ED
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State
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Definition
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Location in
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Institution of higher education
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Postsecondary vocational institution
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Proprietary (for-profit) institution of higher education
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State authorization (“Legally authorized”)
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General rules
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Definition of “Legally authorized”
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Exceptions
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Institution of higher education
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Postsecondary vocational institution
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Proprietary institution of higher education
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State Authorization Reciprocity Agreement
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Student complaint process
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TEACH Grant additional requirements
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Updating application information