Education Department Plans Inflation Fix for New FAFSA

"The Department of Education said it will fix a problem with the new Free Application for Federal Student Aid (FAFSA), which would have cost students about $1.8 billion in lost federal aid, according to news first reported by NPR," Fox News reports.

..."While the Education Department spokesperson said fixes would be made in the current application year, the timeline on when those fixes will be made remains to be determined and prevents families from finalizing decisions about the 2024-25 spring college semester.

'Schools were promised FAFSA applicant data by the end of January,' Justin Draeger, National Association of Student Financial Aid Administrators' president and CEO, said in a statement. 'With less than a week to go, the department has announced a significant operational change that clearly throws that date into question. 

'Also concerning is the fact that institutions haven't received any operational updates about when they will receive FAFSA applicant information, preventing financial aid practitioners from moving forward with processing and packaging financial aid offers,' Draeger continued. "Even once that information is delivered, distributing financial aid offers to students will take at least several more weeks.'"

NASFAA's "Notable Headlines" section highlights media coverage of financial aid to help members stay up to date with the latest news. Articles included under the notable headlines section are not written by NASFAA, but rather by external sources. Inclusion in Today's News does not imply endorsement of the material or guarantee the accuracy of information presented.


Publication Date: 1/29/2024

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