AICTE Fee Refund Policy: Check How to Ask for Fee Refund from MBA colleges, Last Date, Refund Amount

Many candidates who take admission in MBA colleges and later on get admission in some better MBA college remain worried how to withdraw from the present colleges and get the refund of admission fees which they have already deposited. Providing relief to such students, AICTE has created AICTE Fees Refund policy and guideline on how to withdraw your admission and ask for fee refund. Read following details carefully to understand it. 

The AICTE Fee Refund Policy allows a full fee refund (minus ₹1,000) if a student withdraws before the PGDM course start date – which is given by AICTE. If withdrawal happens after classes begin, the refund depends on whether the seat is filled. However, institutions must complete the fees refund within 7 days. Excerpts from the Clause 6.45 of Chapter VI of the AICTE’s Approval Process Handbook (2024-27) states the AICTE Fee Refund Policy as follow:

Scenario 1: Student Withdraws Admission Before Start of PGDM Course
If the student withdraws admission before start of PGDM Course, then the institute has to give a full fee refund to students. The AICTE handbook states: “In the event of a student withdrawing before the start of the Course, the entire Fee collected from the student, after a deduction of the processing Fee of not more than Rs. 1000/- (Rupees One Thousand only) shall be refunded by the Institution. It would not be permissible for Institutions to retain the School/ Institution Leaving Certificates in original.”

Scenario 2: Student Withdraws Admission After Start of PGDM Course and Seat is Filled 
If the student withdraws admission after the start of PGDM Course, and the seat is filled up by the institution, then the institute has to give a fee refund to students after deduction of monthly fees and hostel changes. The AICTE handbook states: “In case, if a student leaves after joining the Course and if the vacated seat is consequently filled by another student by the last date of admission, the Institution must refund the Fee collected after a deduction of the processing Fee of not more than Rs. 1000/- (Rupees One Thousand only) and proportionate deductions of monthly Fee and hostel rent, where applicable.”

Scenario 3: Student Withdraws Admission After Start of PGDM Course and Seat is Not Filled 
If the student withdraws admission after the start of PGDM Course, and the seat is not filled up, then the institute has to return the security deposit and documents to students. The AICTE handbook states: “In case the vacated seat is not filled, the Institution should refund the Security Deposit and return the original documents. The Institution should not demand Fee for the subsequent years from the students cancelling their admission at any point of time.”

Last date for Withdrawal of PGDM Admission for Refund of Fee
ACITE handbook and notifications releases the official start date of PGDM program, before which the students can take withdraw. “The last date for withdrawal of PGDM admission for the purpose of refund of fee shall be as per the last date mentioned in the Academic Calendar,” says the AICTE handbook. It further adds: “Fee refund along with the return of Certificates should be completed within 7 days.”

Old Timelines for PGDM Admission 2024

While the regular admission cycle of IIMs and other top PGDM B-school was to start session by middle of June or early July, during COVID, AICTE and UGC had decided to relax the last date of admission withdrawal from mid-July to mid-September. While COVID-19 ended in 2022, still the same rules continued for many years. The earlier guidelines required PGDM institutions to refund fee for student admission cancellations till September 11, 2024. Check details in table 1 below:  

Table 1: Old PGDM Admission 2024 and Fee Refund Callender by AICTE 

Setting right the timelines, AICTE has released new ‘Academic Calendar 2025-26’ that streamlines the PGDM admissions with those of IIMs, which has been the demand of the B-schools. As per the new guidelines, the last date for cancellation of admission and full fees refund for courses in PGDM/PGCM Institutions has been preponed to July 31, 2025. Check revised dates in table 2 below.

Table 2: New PGDM Admission 2025 and Fee Refund Callender by AICTE

• Last Date for Granting Approval by AICTE is June 30, 2025
• Last date for Cancellation of Admission for Courses in PGDM/PGCM Institutions including Full Fee Refund is July 31, 2025
• Last date for Admission to courses in PGDM/PGCM Institutions including Full Fee Refund is July 31, 2025
• Start date for new academic session for the PGDM/PGCM courses for the newly admitted students is August 1, 2025

As the new academic calendar dates get implemented, it will have following impact: 

a) PGDM admission process streamlined with IIMs: The revised timeline aligns the PGDM admission cycle with that of 21 IIMs and other top universities like IIFT and NMIMS, bringing greater uniformity to MBA admissions in India. It eliminates extended admission windows, allowing institutes to finalize their batches earlier.

b) Early start to academic year 2025: With admissions closing by July 31, classes can begin by August 1, leading to a more structured academic calendar. This shift reduces disruptions caused by late joiners and supports better academic planning.

c) Fee refund deadline rationalized: The last date for withdrawal with a full fee refund moves from mid-September to July 31. This change minimizes academic loss from late dropouts and helps institutions manage resources more efficiently.

Stage wise Fee Refund amount approved by AICTE

Scenario 1: Student Withdraws Admission Before Start of PGDM Course
If the student withdraws admission before start of PGDM Course, then the institute has to give a full fee refund to students. The AICTE handbook states: “In the event of a student withdrawing before the start of the Course, the entire Fee collected from the student, after a deduction of the processing Fee of not more than Rs. 1000/- (Rupees One Thousand only) shall be refunded by the Institution. It would not be permissible for Institutions to retain the School/ Institution Leaving Certificates in original.”

Scenario 2: Student Withdraws Admission After Start of PGDM Course and Seat is Filled 
If the student withdraws admission after the start of PGDM Course, and the seat is filled up by the institution, then the institute has to give a fee refund to students after deduction of monthly fees and hostel changes. The AICTE handbook states: “In case, if a student leaves after joining the Course and if the vacated seat is consequently filled by another student by the last date of admission, the Institution must refund the Fee collected after a deduction of the processing Fee of not more than Rs. 1000/- (Rupees One Thousand only) and proportionate deductions of monthly Fee and hostel rent, where applicable.”

Scenario 3: Student Withdraws Admission After Start of PGDM Course and Seat is Not Filled 
If the student withdraws admission after the start of PGDM Course, and the seat is not filled up, then the institute has to return the security deposit and documents to students. The AICTE handbook states: “In case the vacated seat is not filled, the Institution should refund the Security Deposit and return the original documents. The Institution should not demand Fee for the subsequent years from the students cancelling their admission at any point of time.” 

After reading the AICTE Fee Refund policy 2025, if you are wondering how to cancel your admission, check how to apply for fee refund. 

Step 1: Write an MBA/PGDM Fee Refund Application: The first step is to write a letter to the Director of the institute where you have deposited the fees asking for refund. Follow the AICTE Fee Refund Application format given below. Some time, MBA/PGDM colleges may have their own format. You can fill it too. 

Step 2: Send Fee Refund Application to Director: Email your AICTE Fee Refund Application to the Director and Registrar of the college. Also send AICTE Fee Refund Application to by registered post. This will ensure that your email is not lost and you have an official record which you can show if required.  

Step 3: Regular Follow up for Fee Refund: After sending your AICTE Fee Refund Application to the Director and Registrar of the college, you should inform the admission office also, and follow up on email and phone.

If you are submitting the fee refund request in person, please get the fee refund application acknowledged by the authorized person at the B-school under his signature, date and stamp of the institute so that you have a valid proof that you submitted the request.

In case you have sent the fee refund application by Registered/speed post/courier, please keep the copy of written application and the postal/courier receipt for your record. If you have sent the MBA fee refund claim by courier, instruct the courier service to provide you the Proof of Delivery (PoD) of the fee refund claim letter. 
 

The prescribed format for admission withdrawal and fee refund as per AICTE norms of AICTE fee refund 2025 is shared below. Please also cross check with the institute whether the concerned college has some other format for fee refund. Application for fee refund/admission withdrawal should be sent to the B-school in 2 sets.

Application for withdrawal of admission: Session 2025-26

To,                                                                                                  Date:

The Director/Dean

____________     

Res Sir,

I secured admission to ___________ (name of the course vis PGDM/MBA) in your institute on ___________(Date of admission). 

I would like to cancel it for the following reasons: _____________________________________________________ (Write the reason)

Name of the candidate: Ms/Mr___________________________________________________( IN BLOCK LETTERS)   Surname      Name

Regn number (Applicable exam like CAT/XAT/CMAT/GMAT/MAT/others) __________________________

Residential Address (As registered)________________________________________________________

Mob number:__________________________ email____________________________________

Fee paid Rs.____________(In words)________________________________________________

I am enclosing the copy of fee receipt no._________ dated_____________ Amount______________

I am returning my I- card in original (If issued by the B school) Number____________________

I am also returning other documents/material provided to me by the institute

1. ____________________
2. ____________________
3. ____________________    

(Strike out whichever is not applicable)

Kindly direct the concerned to return my original documents and refund the MBA/PGDM fee paid as per the AICTE rules.

Thanking You,

Yours faithfully,

_________________  

(Signature of the candidate)

(Name of the candidate) 

• Send reminder of fee refund claim to the B-school and to the AICTE if the refund is not received in 7 days. It will help you to retrieve your money faster.
• In case you still do not get the fee refund, do not wait. Immediately write to AICTE regarding the undue delay. Ask for the compensation also. The institute has no right to withhold your fee beyond 7 days, once you have withdrawn your admission from there.

In case of B school not refunding the fee amount as per the AICTE fee refund 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 

In conclusion, All India Council for Technical Education (AICTE) has created fees refund policy help students get refund from MBA colleges. Details of AICTE Fee Refund Policy for PGDM are given in this article. Read complete details in the above article.