“Afraid of losing the admission opportunity I paid the 1st instalment of admission fee for Rs.50K in the 3rd week of April 2014 but now I have got the call from one of the new IIMs and I wish to withdraw from this B school. How much amount can I get back”. It’s one of the many queries that MBAUniverse.com has been receiving during the MBA admission season 2014 from numerous candidates frequently.
Almost all the b schools even the top rated ones are going through a few daily withdrawal applications from the prospective MBA aspirants. Many B schools are reluctant to refund fee to the withdrawing students despite laid down rules by AICTE. While some make lame excuses, some do not reveal their fee refund policy or pressurize the students not to withdraw by keeping their original certificates, degrees, transfer certificate with them. When the students demand for their original certificates, the refund is held back. Parents and students both are perplexed to see the high handedness of such B schools. They are afraid of approaching AICTE or HRD Ministry fearing lest the B school further puts pressure on them.
MBAUniverse.com brings a round of the specific rules to empower the aspirants in different situations of admission withdrawal with the amount that he/she can get back from the institute.
Think and decide before applying
Although you can withdraw anytime from the B school where you do not you wish to take admission and do not wish to study, it is always better to take a prudent decision before depositing the requisite fee. B schools where seats remain vacant are always in a hurry to highlight their USPs which may or may not exist with them so that you are more than convinced to immediately proceed to pay the demanded amount while final admission results of many B schools are still awaited.
The more reputed the B school, the more transparent will be the information on its site. Students from all the towns may face this situation. However this is the time factor that plays the most important role in getting your money back in case of withdrawal of admission.
Register your Complaints about B-schools
http://www.mbauniverse.com/forums/forum/top-testing/register-your-complain-about-b-schools
The laid down norms
Number of complaints pop up on the issue of not getting the refund as per AICTE rules. Candidates are in a dilemma whom to approach in case of denial of fee refund by the respective b school. Although all the B schools have their rules of giving the money back in case of admission withdrawal, AICTE has formulated a few uniform set of rules which are supposed to be followed by all the AICTE approved management institutes. The B schools which do not run AICTE approved management programmes may have slightly different set of fee refund rules directed by the respective University, HRD Ministry but still AICTE can take action against them.
When there is regulatory authority, the amount of refund is more else the B schools forfeit a good amount in the name of one or other expenses which they classify as non refundable. It’s therefore advisable to read and know well how much you would get back in case of admission withdrawal. Nonetheless, with the recent decision of Honorable Supreme Court of India AICTE rules are expected to be followed in the B schools in case of withdrawal of admission.
Let us know our rights in case of admission withdrawal from various B schools
To Register your Complaints about B-schools, Click here
Rules governing refund in case of admission withdrawal
-The reference for fee refund is made to AICTE Guidelines No. - AICTE / Legal / 04(01) / 2007, April 2007)
-Tuition fee, Development fee and other fee, charged by the institute will constitute the amount of total fee for refund after cancellation of admission secured through CAP rounds, institute level round(s) and vacancy round(s) of admission
- The candidate, who has been provisionally admitted, may cancel admission by submitting an application for cancellation in duplicate, in the prescribed format as advised by the institute or available on its site and may request for refund of fee.
- The refund of fee as applicable shall be made within the time prescribed/due course by the institute.
-Refund can be applied by the candidates who have confirmed their admission by paying the prescribed tuition fee and other fees in full as demanded by the institute and by submitting the original documents, as desired by the institute.
Register your Complaints about B-schools
http://www.mbauniverse.com/forums/forum/top-testing/register-your-complain-about-b-schools
Know the amount that you can get back
According to the AICTE rules and rules of different B schools, Refund should be made after deduction of the cancellation/processing charges depending upon the time factor when the request is made.
| Situation of admission withdrawal |
Refund amount |
|
When the request is made before the date of start of the academic session and the institute could fill the seat before the cutoff date from the waitlisted candidates. |
Entire fee less by Rs 1000/-. The refund amount should include full amount of security, caution money also |
|
When the request is received on/after the beginning of academic session and the institute could fill the seat before the cutoff date from the waitlisted candidates. |
Entire fee less the Seat Cancellation Charges on pro rata basis. For calculation of pro-rata basis, 1 month shall be treated as 1 unit. For example if the candidate withdraws within a month after the start of academic session and the seat is filled before the cutoff date, the cancellation charges on pro rata basis will be the amount of total fee/12 or Rs.1000/-, whichever is higher. |
|
When the request is received before/after the start of the academic session and the institute could not fill the seat |
No Refund except security deposit shall be made |
|
Settlement of dispute |
Usually the court jurisdiction of the area where the b school is situated is to be exercised. If the dispute is with IIM Ranchi, the jurisdiction area will be Ranchi |
FMS has different rules
The amount of Rs.1000/- as the deductible cancellation or processing fee may not be applicable in such b schools where less admission/commitment/token fee is charged. For example, FMS Delhi deducts only Rs 250/- in the first situation and Rs.500/- in the second situation and Rs.1000/- before September 16, but does not allow any refund after September 16. http://www.fms.edu/sites/default/files/files/Fee%20Refund%20Notification.pdf
Whom to approach in case of dissatisfaction
-You can complain to AICTE. It has powers to direct the institutes under AICTE Act
-You can also complain to Ministry of HRD, Govt of India, New Delhi
-You may use RTI asking the B-school as well as AICTE to clarify the situation as to why the refund is not made.
If you are facing any issue regarding Non-refund of fees, Submission of original documents, waiting lists, or any complain regarding any B-school, then feel free to register your complain in this forum thread, Click here to Register
AICTE can take stringent action
In case of B school not refunding the fee amount as per the rules to the withdrawing student and on receipt of student’s complaint, AICTE can-
-issue show cause notice to the institute
-Instruct the B school to give back the original documents of the student. (If retained)
- initiate disciplinary action against the B schools
-withdraw the approval granted to run the programme or course
-stop admission in the course for 1 year
-suspend the approval of supernumerary seats in the B school
-impose penalty upon the institute up to twice the total fee collected from one student
Tips to avoid the situation
If you expect to get admission offers from more number of b schools, follow the undernoted advisory which will help you avoid the situation of withdrawal and fee refund
-Prepare a list of the institutes in order of preference wherefrom you expect to convert the call
-regularly check for their final admission result
-If you receive an admission call from a good B school and the result of your most preferred one is awaited, please wait before proceeding to deposit the fee. In case the result of the most preferred one is not declared by the last date of fee submission of the next order b school and you think that you will go to it, you should thoroughly refer to the fee refund rules. If it’s a good B school it will have transparent policy. You may also contact some alumni to take stock of the situation.
-If the result of your most preferred one is inordinately delayed and the session starts at this B school, better to join it. For example you might have got admission to one of the new IIMs but are waiting for FMS admission results which are inordinately delayed. You may join the IIM and in case you are through in FMS you may withdraw from IIM and join FMS. Whatever refund you are supposed to get is available on their site.
- Some B schools, deemed universities create fuss over fee refund. They try to take the entire fee in one go and also begin admitting the students much in advance of admission season. Beware of such institutes. You may find admission to these B schools even after they close the admission process. These B schools will do everything to avoid the fee refund to you.
Register your Complaints about B-schools
http://www.mbauniverse.com/forums/forum/top-testing/register-your-complain-about-b-schools
Also read our earlier articles:
Want a Fee refund from your MBA College? Admission withdrawal cases; How to avoid
Switching your B-school? Know Fee Refund Policy @ B schools
Stay tuned to MBAUniverse.com for more updates on fee refund
