the application process and student eligibility. free application for federal student aid (fafsa)...
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The Application Process and Student Eligibility
Free Application for Federal Student Aid (FAFSA) is central element of federal student aid application process
FAFSA data are used to: Compute the expected family contribution (EFC)
Confirm certain student eligibility criteria via database matches with federal agencies
SUPPLEMENTAL FORMS AND APPLICATIONS
Required by some states and institutions to determine eligibility for state and institutional aid programs
Cannot be required to determine Title IV eligibility, except when:
Verifying FAFSA data
Resolving conflicting information
MODULE OBJECTIVES
Explain how to apply for Title IV aid
Identify and describe various methods students may use to apply for financial aid
Practice completion of FAFSA on the Web Worksheet
MODULE OBJECTIVES Explain how FAFSA data are processed by
Central Processing System (CPS) Identify and describe types of FAFSA
processing output Review how to:
Make changes to applicant data Override student dependency status
FREE APPLICATION FOR FEDERAL STUDENT AID
There are multiple versions of the FAFSA:
The paper FAFSA
FAFSA on the Web (FOTW)
FAA Access to CPS Online
FAFSA on the Phone
OBTAINING THE PAPER FAFSA
Students and parents can obtain paper FAFSA by:
Calling Federal Student Aid Information Center (FSAIC) at 1.800.4.FED.AID (or 1.800.433.3243)
Downloading PDF version
DOWNLOADING PDF FAFSA
Students
www.FederalStudentAid.ed.gov
Institutions
www.FSAPubs.gov
PAPER FAFSA
FAFSA is a 10-page booklet containing:
Four instructional pages for assistance in completing form
Six application pages
Dependent students complete yellow and purple sections, and
Independent students (and their spouses, if applicable) complete only yellow sections
ELECTRONIC FAFSAS
FAFSA may be filed electronically via:
FOTW
FAA Access to CPS Online
FAFSA ON THE WEB
Available in English and Spanish Real-time FAFSA submission and updates Ability to electronically sign using a Federal
Student Aid (FSA) Personal Identification Number (PIN)
Seven-step organization Instructions and “help text” for certain
questions Skip-logic allowing student and/or parent to
skip unnecessary questions
FAFSA ON THE WEB
Built-in edits check for errors prior to submission
Ability to check application status on-line
Printable FOTW Worksheet assists in collecting necessary application information
FAA ACCESS TO CPS ONLINE
To use:
School must register with U.S. Department of Education (ED)
Financial aid administrator must have user ID and password
PERSONAL IDENTIFICATION NUMBER (PIN)
Both parent and student may apply for FSA PIN which may be used as: Personal identifier to access personal
information on various FSA electronic systems Electronic signature to sign FOTW
May obtain FSA PIN before or after completing FOTW
PERSONAL IDENTIFICATION NUMBER
First-time PIN applicants and students requesting duplicate PIN or changing PIN can receive their PIN in “real time”
Applicants can create their own PIN identifier when they apply or have PIN assigned but there is usually a 3 day wait before it is active
FAFSA ON THE PHONE
FOTP provides applicants with assistance from customer service representative in completing FAFSA
Alternative for FAFSA applicants; not intended to replace FOTW
Intended for applicants who have limited or no Internet access, and who are facing pressing deadlines
DEPENDENT STUDENT STATUS: SPECIAL CIRCUMSTANCES
Dependent applicants unable to provide parental information due to a special family circumstance may use FAFSA on the Web to bypass the parent questions
INTERNAL REVENUE SERVICE DATA RETRIEVAL
Process enables students and parents to transfer tax return information from IRS website directly to FOTW application
IRS Data Retrieval also available for corrections
COMPLETING FAFSA ON THE WEB
Reminder to answer all applicable questions accurately
Instructions on listing colleges to receive FAFSA
Instructions on completing the preparer’s section, if applicable
Instructions on reviewing application data on-line
Instructions on signing the FAFSA
SIGNING THE FAFSA ON THE WEB
Three methods to sign application:
Electronically using FSA PIN;
Sign printed copy of signature page; or
Sign rejected Student Aid Report (SAR)
APPLICATION SIGNATURES
Application must be dated and signed by: Student and one parent if student is
dependent; or Student if student is independent
Signing application: Certifies accuracy of data, acknowledges ED authority to verify information reported with other federal agencies, agrees to provide any information requested, certifies identity, acknowledges consequences of false information, and agrees to certain application certification statements
SIGNING ELECTRONICALLY
If the student and/or parent has a FSA PIN, he or she may sign application electronically after completing application or after submitting it for processing
SIGNATURES
Student and parent (if dependent) may also sign application by:
Printing, signing, and mailing FOTW signature page to CPS; or
Signing rejected SAR and returning it to CPS address on SAR
STUDENT ELIGIBILITY FOR TITLE IV AID
Students must meet several general eligibility requirements
Some requirements are student related
Others relate to the program of study
GENERAL STUDENT ELIGIBILITY REQUIREMENTS
Criteria categories:
1. Checked via application process
2. Checked and monitored by school
3. Not specifically checked, but must be resolved if conflicting information exists
DHS PRIMARY VERIFICATION
Database match between Central Processing System (CPS) and Department of Homeland Security (DHS) to confirm eligible noncitizen status
If primary verification confirms eligible noncitizen status, no further proof is required
DHS SECONDARY CONFIRMATION
CPS submits automated DHS secondary confirmation request to DHS if primary verification failed and an Alien Registration Number was provided on the Free Application for Federal Student Aid (FAFSA)
Automated secondary confirmation usually is completed within 3 days
MANUAL SECONDARY CONFIRMATION
School must initiate if: Eligible noncitizen status not confirmed via
automated DHS secondary confirmation; Results of automated secondary confirmation
not received after at least 5, but not >15 business days of receiving the Institutional Student Information Record (ISIR);
School has conflicting information; or School believes student information is
incorrect
SOCIAL SECURITY NUMBER
Three types of Social Security Administration (SSA) database matches:
Student’s Social Security Number (SSN)
Parent’s SSN
Date of death
NATIONAL STUDENT LOAN DATA SYSTEM
Student and parent PLUS borrower must:
Not be in default on a Title IV loan
Not owe a Title IV overpayment
Not have exceeded Title IV loan limits
Have fully repaid any fraudulently obtained Title IV funds
DRUG CONVICTIONS Two sets of student eligibility requirements
apply
Different means used to determine whether student meets the requirements
Department of Justice database match
Question 23 on 2011–12 FAFSA
INSTITUTIONAL ELIGIBILITY REGULATIONS
School may not admit as a regular student persons who:
Do not have high school diploma or its recognized equivalent; and
Are below the age of compulsory attendance in the state in which school is located
SHORT-TERM PROGRAMS
To be eligible, short-term program must: Admit as regular students some persons
who have not completed equivalent of associate degree
Have completion and placement rates of at least 70%
Not be more than 50% longer than minimum training program required for specified occupation
Have been in existence for at least 1 year
FAA ACCESS TO CPS ONLINE
Student and parent, if applicable, must sign before school transmits
Signature page must be maintained in accordance with record retention requirements
CPS DATABASE MATCHES
Social Security Administration (SSA): Social Security Number (SSN) Master Death File U.S. citizenship
Department of Homeland Security (DHS): Eligible noncitizen status
Selective Service System: Registration with Selective Service
CPS DATABASE MATCHES
National Student Loan Data System (NSLDS) for Title IV funds:
Loan defaults
Exceeds loan limits
Any unpaid fraudulently obtained funds
Repayments
CPS DATABASE MATCHES
Department of Defense:
Identify eligible students for increased aid due to parent or guardian death as a result of U.S. military service in Iraq or Afghanistan after 9/11/2001
• Department of Veterans Affairs (VA): Verification of veteran status
HOLD FILE MATCH
Department of Justice Hold File:
Title IV suspension or termination due to drug conviction
EFC CALCULATIONS
Official EFC: Calculated using CPS edits and database matches
If eligible for Simplified Needs Test (SNT), CPS calculates primary and secondary EFCs if asset data provided
Primary EFC - assets excluded
Secondary EFC - assets included
APPLICATION OUTPUT
Processed application output sent to:
Student in form of SAR (paper or electronic)
School in form of Institutional Student Information Record (ISIR)
Student’s state agency in form of ISIR
STUDENT AID REPORT
Summarizes information reported on application (paper or electronic)
Provides processing results including:
EFC Messages related to database matches Verification selection Eligibility for Title IV aid
APPLICATION OUTPUT
Student output depends on whether the student provided e-mail address
CPS sends student: E-mail Notification of SAR Processing, if
e-mail address is provided; Paper SAR, if paper FAFSA and no e-mail address;
or Paper SAR Acknowledgement, if electronic
application and no e-mail address
E-MAIL NOTIFICATION OF SAR PROCESSING
E-mail notifying student that FAFSA processing results are available on-line
Contains link to student’s SAR on the Web
If returned as undeliverable, paper SAR or SAR Acknowledgement is sent
PAPER STUDENT AID REPORT
Paper SAR enables students to readily determine:
Status of their FAFSA (complete or incomplete)
Eligibility or ineligibility for Federal Pell Grant
Next steps in the application process
SAR ACKNOWLEDGEMENT
SAR Acknowledgement is sent to student whose application data was electronically submitted and no e-mail address provided
Includes EFC
Establishes student’s Title IV eligibility
Cannot be used to make changes
INSTITUTIONAL STUDENT INFORMATION RECORD
Used by school to:
Document Title IV eligibility
Correct or update applicant data
Perform professional judgment (PJ) adjustments, including dependency overrides
CHANGING APPLICANT DATA
Corrections: Changes to incorrect data
Updates: Changes required for some data items that change after FAFSA was filed
Adjustments: Changes to applicant data by financial aid administrator using PJ
Dependency override: Adjustment of student’s status from dependent to independent by FAA
CORRECTIONS: ADDING SCHOOLS
Adding a school to CPS record is considered a correction
Student can add schools by: Using FAFSA on the Web and FSA PIN; Calling Federal Student Aid Information Center at
1.800.433.3243 and providing Data Release Number (DRN); or
Submitting correction on paper SAR
CORRECTIONS: ADDING SCHOOLS
Schools can add Federal School Code to CPS record using FAA Access to CPS Online
and student’s DRN
Must add its own code no later than 30 days after school receives SAR on which it is not listed
ELECTRONIC CORRECTIONS
Students with a FSA PIN can electronically make and sign corrections
FSA PIN or signature of dependent’s parent required only if change is made to parental data
ELECTRONIC CORRECTIONS
Schools may make corrections to application data using FAA Access to CPS Online if:
Student identifies necessary changes
Schools identify necessary changes or corrections through verification process or resolution of conflicting information
ELECTRONIC CORRECTIONS
Must collect documentation signed by student and parent (if dependent) before making corrections
All corrections made are in “real time”
Except adding school codes
Takes about 48 hours to receive correction once it is made
PAPER SAR CORRECTIONS
Student or parent must follow SAR instructions
SAR must be signed by:
Student
Parent, if dependent
ITEMS THAT MUST BE UPDATED
Household size, if selected for verification
Number in college, if selected for verification
Dependency status, whenever change occurs, whether or not selected for verification, except updating not permitted for:
Change in student’s marital status
Previously originated Direct Loan
ADJUSTMENTS
Made only by financial aid administrator
May be made using FAA Access to CPS Online
Financial aid administrator can perform dependency overrides on paper FAFSA
Student’s and/or parent’s signature not required if documentation used as basis of the adjustment is signed
DEPENDENCY STATUS OVERRIDE
Student may be considered independent if unusual circumstances exist
Decision must be made and documented on case-by-case basis
Can override dependency status on initial paper application or after initial application is filed
DEPENDENCY OVERRIDE: INITIAL APPLICATION
Student responds to dependency questions correctly but completes only student sections of paper FAFSA
FAA performs override by:
Completing “School Use Only” box on paper FAFSA; or
Using FAA Access to CPS Online
DEPENDENCY OVERRIDE: AFTER INITIAL APPLICATION
Override performed using FAA Access to CPS Online
May reverse or cancel override if: CPS has a transaction on which the student was
processed as dependent for the award year Dependency override was performed after the
application as a dependent student was submitted
DEPENDENCY OVERRIDE: PERFORMED BY ANOTHER SCHOOL
Schools may award Title IV aid using an output document with dependency override determination made by previous school within same award year without collecting documentation
Practice is optional
QUESTIONS?????
Debbie Nelson Denise WelchLeTourneau University Panola College903-233-4357 [email protected]