Profession

Med school refunds tuition, then wants it back

The state-funded Medical College of Georgia has mandated the return of $450,000 it mistakenly gave students.

By Myrle Croasdale — Posted May 28, 2007

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A group of Georgia medical students could pen a new version of the story about the beloved Christmas Grinch -- this one titled The Grinch Who Stole Back the Tuition Refunds.

Last August most members of the Medical College of Georgia's 2008 class found a $2,961 tuition refund deposited in their bank accounts. In April, though, the sweet deal turned sour. The school sent certified letters informing students it wanted the money back.

Instead of owing $18,000 in tuition for the year, these students must pay $21,000 due to an erroneous refund.

"This makes us very angry," said Varun Bhalla, the 2008 class president. "Ultimately, the burden falls on us. That's $3,000 we would not have spent if we had known we would owe it to the medical college."

The refund error began when a student approached the cashier's office asking that a full-time 2006 summer tuition bill be corrected to reflect a part-time schedule.

"The cashier's office didn't check with student services to determine the status of the student and gave the refund," said Barry D. Goldstein, MD, the medical college's provost.

The cashier's office then did a computer search for other students in the same situation. The office determined that 147 others out of the 178-member class also should be considered part-time and sent them refunds without consulting enrollment services, Dr. Goldstein said.

The school discovered a discrepancy in its books this winter and conducted an internal audit before unearthing the error and contacting the students, Dr. Goldstein said. School officials instituted procedures to prevent a repeat of the error. In addition, the medical school will create a task force that includes students to review how the cashier's office receives and disperses money.

"We're a state institution, and we are not allowed to forgive debt," Dr. Goldstein said. "That's legitimate money that goes to the institution. We have no choice but to collect the debt."

Students say the demand for the money's return, which came more than six months after the unexpected refund, has put them in a bind. Many spent the money, have tapped their maximum annual loan amount for financial aid, and do not have access to additional low-interest loans, Bhalla said. Some consolidated their loans and will not be able to include the additional dollars into that package.

Dr. Goldstein acknowledged the students were in a difficult position.

"It's really a shame," he said. "The students didn't ask for it. Some even asked, 'Was I supposed to get this?' Unfortunately, they asked the people who gave the refund. We feel terrible about it."

Students will be allowed to pay back the money without interest but they are expected to pay it back this academic year, the provost said.

Bhalla, however, said he would like to see the deadline extended past graduation to accommodate the students who have used their annual maximum for student loans.

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