Student Collections Policy

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Responsible Official: Bursar/ Student Accounts Manager

Responsible Office: WC Business Office

Approving Official: Chief Financial Officer

Effective Date: 03/14/2024

POLICY STATEMENT

Wilmington College provides educational and related services to students for which timely payment is expected. Prompt collection of student accounts receivable ensures reduced liability and increases cash flow to the College. This policy outlines when a student account becomes delinquent and the subsequent collection procedures.

DELINQUENT ACCOUNTS

  1. A student or former student account with an outstanding balance of $100.00 or more is considered a delinquent account. Delinquent accounts include tuition, registration and student fees, special course fees, and residence life charges unpaid by the posted due date on WILpay. Other fees may be included at the discretion of the College.
  1.  A student or former student having a delinquent account receivable will have a financial hold on their account. Without entering into an approved payment plan, the hold will impact future registration, and requests for official transcripts, diplomas, and certificates. Upon entering an approved payment plan, the institution shall release the requested record. Subsequent record requests shall be honored if the payment plan remains in good standing. Under any circumstances, a student or former student may inspect the records under the provisions of the federal Family Educational Rights and Privacy Act (FERPA) 20 U.S.C. § 1232(g), 34 CFR Part 99. 
  1. The College has established an appeals process for current and former students with a delinquent account to appeal a hold on the account. This will allow a current or former student to request temporary authorization to register for a subsequent semester or receive an official transcript only if an appeal is approved and a payment plan is established.
  1. In addition, the College will refer delinquent accounts receivable of $100.00 or more to a collection agency following several written notifications to the student or former student. 
  1. The College must publish its delinquent accounts policy and their institutional appeals process on the College’s Website.
  1. The College Chief Financial Officer shall periodically review the delinquent account policy. Each campus shall develop and maintain an internal administrative process to periodically review the payment agreements and outstanding balances. 

GENERAL COLLECTION ACTIVITY DURING THE SEMESTER

  1. Electronic bills are provided to students on a schedule and are often generated closer to the payment due date.
  1. A late payment fee of 1.5% of the outstanding balance will be assessed each of the following months after classes start if a student has not paid in full, has not enrolled in an installment payment plan, is in arrears on their installment plan, or does not have enough financial aid to cover the balance owed. Notices informing students of outstanding balances will be sent out on a scheduled basis.
  1. Beginning 2024 Summer Semester: Students with outstanding balances who have not engaged in an installment plan by the add/drop deadline will be unenrolled from courses for the term. A financial hold will be placed on all student accounts receivable with outstanding balances, preventing enrollment for future terms, requests for official transcripts for unpaid terms, and diplomas unless TITLE IV funds were applied.

COLLECTION ACTIVITY ON DELINQUENT ACCOUNTS - COLLECTION AGENCIES:

When the outstanding balance on a delinquent account is 180 days old, students who have not paid their balance in full are sent collection letters informing them that their delinquent account must be paid in full within 365 days, or their account will be sent to a collection agency.

  1. When the debt placed with a collection agency becomes 730 days old, the account will be considered uncollectible if no payment is received from the student.
  2. Holds on delinquent student accounts will be removed when the College receives payment from the collection agency.
  3. Students who qualify for an appeal can petition for an appeal on their delinquent account.