Subchapter H-1. Financial Provisions Applicable to Private Postsecondary Educational Schools.
Sec. 1603.3601. Cancellation and Settlement Policy.
The holder of a private postsecondary educational school license must maintain a cancellation and settlement policy that provides for a full refund of all money paid by a student if the student:
- Cancels the enrollment agreement or contract no later than midnight of the third day after the date the agreement or contract was signed by the student, excluding Saturdays, Sundays, and legal holidays; or
- Entered into the enrollment agreement or contract because of a misrepresentation made:
- In the school’s advertising or promotional materials; or
- By an owner or representative of the school.
Added by Acts 2021, 87th Legislature, R.S., Chapter 663 (H.B. 1560), Sec. 3.29, effective September 1, 2021.
Sec. 1603.3602. Refund Policy.
a. The holder of a private postsecondary educational school license must maintain a refund policy that provides for the refund of any unused portion of tuition, fees, and other charges paid by a student who, after the expiration of the cancellation period established under Section 1603.3601:
- Does not enter the training course;
- Withdraws from the training course; or
- Is terminated from the training course before completing the course.
b. The refund policy must state that:
- The refund is based on the student’s enrollment period, calculated on the basis of course time expressed in scheduled hours, as specified by an enrollment agreement, contract, or other document acceptable to the department;
- The effective date of termination for refund purposes shall be the earliest of the following:
- The last date of attendance, if the student is terminated by the school;
- The date on which the license holder receives the student’s written notice of withdrawal; or
- Ten (10) class days after the last date of attendance; and
- The school may retain no more than $100 if:
- Tuition is collected before the training course begins; and
- The student does not begin the training course before the cancellation period established under Section 1603.3601 expires.
Added by Acts 2021, 87th Legislature, R.S., Chapter 663 (H.B. 1560), Sec. 3.29, effective September 1, 2021.
Sec. 1603.3603. Student Withdrawal or Termination.
a. If a student at a private postsecondary educational school begins a training course that is scheduled to last no more than 12 months and, during the final 50 percent of the course, withdraws from the course or is terminated by the school, the school:
- May retain 100 percent of the tuition and fees paid by the student; and
- Is not obligated to refund any additional outstanding tuition.
b. If a student at a private postsecondary educational school begins a training course that is scheduled to last no more than 12 months and, before the final 50 percent of the course, withdraws from the course or is terminated by the school, the school must refund:
- 90 percent of any outstanding tuition for a withdrawal or termination that occurs during the first week or the first 10 percent of the course, whichever period is shorter;
- 80 percent of any outstanding tuition for a withdrawal or termination that occurs after the first week or the first 10 percent of the course, whichever period is shorter, but within the first three weeks of the course;
- 75 percent of any outstanding tuition for a withdrawal or termination that occurs after the first three weeks of the course but no later than the completion of the first 25 percent of the course; and
- 50 percent of any outstanding tuition for a withdrawal or termination that occurs no later than the completion of the first 50 percent of the course.
c. A refund due under this section must be paid no later than the 30th day after the date the student becomes eligible for the refund.
Students who withdraw or are terminated before completing the course are charged an administrative or cancellation fee of $200.00.
This refund policy applies to the tuition and fees charged in the enrollment agreement. Other miscellaneous charges incurred by the student at the institution, for example: kit, additional kit materials, books, products, unreturned school property, etc., will be calculated separately at the time of withdrawal.
All fees are identified in this enrollment agreement. All refunds comply with the mandatory policies established by the Texas Department of Licensing and Regulation. In extenuating circumstances, the tuition refund may exceed the minimum tuition adjustment.