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Friday, 19 February 2010 00:00 |
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BASICS ABOUT THE FAFSA – Free Application for Federal Student Aid |
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Reference: FAFSA –Department of Education Free Application for Federal Student Aid site
Source: Wikipedia, the free encyclopedia
What is FAFSA:
- The FAFSA, the Free Application for Federal Student Aid, is first step in the financial aid process.
- It is a form that can be filled out annually by current and anticipating college students (both undergraduate and graduate) in the United States to determine their eligibility for federal student financial aid (including Pell grants, Stafford loans, PLUS loans, and work-study programs).
- The Department of Education begins accepting the application on Jan. 1 of each year.
- Applicants who have filled out a FAFSA in previous years are able to fill out a renewal FAFSA, but information on taxes and savings, for example, must be updated annually.
- In addition, most states and schools use information from the FAFSA to award non-federal aid.
- Schools may award aid on a first-come, first-served basis, and students are advised to fill out the FAFSA as early as possible for consideration for maximum financial assistance.
- The FAFSA does not have questions related to student or family race, ethnicity, sexual orientation, disability, or religion.
What is EFC:
- The EFC, the Expected Family Contribution, is the result of a formula determined by the answers to numerous questions regarding the student's finances, as well as those of his or her family (in the case that a student is determined to be "dependent.
- A number of factors are used in determining the EFC including the household size, income, number of students from household in college, and assets (not including retirement and 401(k) funds).
- This information is required because of the expectation that parents will contribute to their child's education, whether that is true or not.
What is SAR:
- The SAR, the Student Aid Report , which is a summary of the FAFSA responses, is forwarded to the student.
- The student should review the SAR carefully for errors and make any corrections.
What is ISIR:
- The ISIR, the Institutional Student Information Record, is an electronic version of the SAR and is made available for downloading by the colleges/universities the student selected on the FAFSA.
- The ISIR is also sent to state agencies that award state need-based aid. Some colleges also require the CSS Profile to be filled out as early as the same deadline as an early admissions or early decision application deadline. The CSS is managed by the College Board and usually concerns funds disbursed by a college rather than federal funds.
Who’s Eligible:
- Nearly every student is eligible for some form of financial aid.
- Students that may not be eligible for need-based aid may still be eligible for an unsubsidized Stafford Loan regardless of income or circumstances.
- A student that can meet the following criteria may be eligible for aid:
- is a U.S. citizen, a U.S. national, or an eligible non-citizen;
- has a valid Social Security number;
- has a high school diploma or GED or for adult students, pass an Ability-to-Benefit test;
- is registered with the U.S. Selective Service (male students age 18-25);
- completes a FAFSA promising to use any federal aid for education purposes;
- does not owe refunds on any federal student grants;
- is not in default on any student loans; and
- has not been found guilty of the sale or possession of illegal drugs while federal aid was being received.*
* The Student Aid and Fiscal Responsibility Act of 2009 (SAFRA) changes the criteria for suspension of eligibility for drug-related offenses. Previously students could lose eligibility for either the possession or sale of a controlled substance during the period of enrollment. SAFRA drops the penalties for possession of a controlled substance but retains the penalties for sale of a controlled substance. SAFRA also increases the suspension to 2 years for a first offense and indefinite for a second offense.)
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