The Department of Education has instituted new regulations that provide comprehensive requirements to institutions that disburse Title IV credit balance refunds.
While some of the rules apply to all institutions, a number of the regulations focus on arrangements between institutions and banks.
There are two types of arrangements in the final rules called Tier One (T1) and Tier Two (T2) which dictate the provisions each university must comply with. Missouri Western State University has a Tier Two relationship with US Bank. Tier Two arrangements are defined as those between an institution and a bank under which accounts are offered and marketed directly to students.
Missouri Western State University chose to partner with U.S. Bank to offer students, faculty and staff the option to add banking functionality to the campus ID card. Students, faculty and staff are not required to open an account with U.S. Bank to receive or use the campus ID card for other campus services or to receive disbursement of financial aid.
Students receiving a financial aid refund can have it direct deposited into an account at any financial institution including a pre-existing account already belonging to the student.
The new rule requires institutions to disclose on their website the contract establishing the relationship between US Bank and Missouri Western State University. Additionally, we must provide the number of students with a US Bank financial account, the mean and median costs these students incurred, and the total consideration paid or received by parties to this contract. Use the following links to review said data and contracts:
