There’s one form prospective and current college students must submit in order to receive federal financial aid, and it’s about to look a lot different.
The Free Application for Federal Student Aid, better known as the FAFSA, has long been due for an update. By December 31, a new version of the form will be released – a culmination of changes approved by Congress in 2019 and 2020.
The new FAFSA, which will be used to determine financial aid eligibility for the 2024-25 academic year, will be shorter and easier to fill out.
Additionally, many low-income borrowers are expected to be eligible for more financial assistance, though some other applicants – particularly those with siblings also enrolled in college – could see less.
But the changes may cause some headaches in 2024 as families and colleges adapt to the new form.
The FAFSA determines eligibility for federal Pell Grants and federal student loans – and in most cases, the financial aid provided by colleges as well, though some require students to submit an additional form.
Here’s what families need to know about the updated FAFSA:
Usually, the FAFSA is available on October 1 each year, but the overhaul of the form is pushing back the release date by roughly three months.
That gives families less time to fill out the form for the next school year. Students will receive an email about whether they are eligible for a federal Pell grant soon after submitting the form, but they may have to wait longer than in the past to receive their financial aid package from their college.
Colleges won’t start to receive the data from the new FAFSA until the end of January, giving them less time to generate financial aid packages.
The timing varies by institution, but typically award letters are sent to students in March, who must commit to a…
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