Please note that it is possible to file for a change of status from H1B to F-1 within the U.S. The visa is the travel document that is requested at the consulate abroad. Status changes can potentially be obtained from within the U.S. It is generally not as difficult to obtain a change of status from H1B to F-1 from the USCIS (within the U.S.). It can be much more difficult to obtain an F-1 visa stamp abroad at a U.S. consulate in one’s home country, since the consulates tend to be more strict regarding the F-1 requirement of showing of temporary intent to remain in the U.S.
If the USCIS denies the change of status, then one would still be in H1B status, assuming s/he maintained that status by continuing to work for the employer under the terms of the approved H1B. If an F-1 visa is denied at a U.S. consulate abroad and one has not violated the terms of his or her H1B status, it may be possible to reenter the U.S. in H1B status with an H1B visa to resume employment. For this, the H1B job must still exist, the approved petition must remain valid, and the visa stamp must not have been cancelled.
