(a) A school shall document refunds by written record indicating the date of the refund transaction, the name of the student receiving the refund, the total amount refunded, and the specific reason for the refund. Proof of completion shall be on file within 120 days of the effective date of termination and shall include:
  (1) copies of both sides of the cancelled check;
  (2) printed proof of completed transaction of electronic funds transfer or other similar electronic means; or
  (3) documentation of an awarded credit to a credit card or other similar account.
(b) To ensure a school's good faith effort to timely complete a refund owed directly to a student, the student's file shall contain evidence of the following proof of a certified mailing of the refund to the:
  (1) student's last known address;
  (2) student's permanent address, if different from the student's last known address; or
  (3) address of the student's parent or legal guardian, if different from the student's last known and permanent addresses.
(c) If after making a good faith effort to timely complete a refund, the school is unable to complete the refund, the school shall forward to the Agency the appropriate refund amount and any pertinent student information to assist the Agency in locating the student.
(d) Unless otherwise required by another law, refunds will be made in the following order:
  (1) on behalf of the student to federal loans used to pay tuition and fees;
  (2) on behalf of the student to private loans used to pay tuition and fees;
  (3) to the student for personal loans, including credit card debt, and cash used to pay tuition and fees; and
  (4) to other funding sources, including Boards, to reimburse payments for tuition and fees.

Source Note: The provisions of this §807.262 adopted to be effective August 28, 2006, 31 TexReg 6803; amended to be effective January 23, 2012, 37 TexReg 200; amended to be effective November 14, 2016, 41 TexReg 9020