Know The Facts

Published by Financial Aid Consulting on Friday, 13th July 2018 - 12:00PM in College Planning

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Know The Facts 

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Howard can be reached at finaidguy@gmail.com

A student's financial aid award is at risk when families rely on incorrect or misleading information. Regardless of the cause, test your financial aid knowledge by deciding which of the following statements are true.

  1. There is no benefit to filing a FAFSA if you do not have unmet need.
  2. It is best to wait for your current year's taxes to be filed before submitting a FAFSA.
  3. A FAFSA allows you to report information to only 10 colleges.
  4. Expected Family Contribution is what a family must pay for college.
  5. A CSS Profile is also used for federal need-based aid.
  6. A custodial stepparent’s income is not reported on the FAFSA.
  7. Students living off campus are "independent" for financial aid purposes.
  8. Additional Stafford loans are available if a parent is approved for a PLUS loan.
  9. Students applying early decision are not eligible for federal aid.
  10. Both parents need usernames and passwords for the FAFSA.
  11. Tax exemptions on a parent’s tax return must equal family size on the FAFSA.
  12. Repayment options for federal and alternative loans are the same.
  13. Financial aid awards must be accepted or rejected in their entirety.
  14. Untaxed child support received is not reported on a FAFSA.
  15. Families earning over $250,000 per year are ineligible for Stafford loans.
  16. The value of a tax-sheltered annuity must be reported on the FAFSA.
  17. The verification process applies only to questionable FAFSA forms.
  18. Families with the same incomes will always have the same Expected Family Contributions.
  19. The value of a students 529 must be reported as a student's asset.
  20. Spending down all of your assets will increase your financial need.
  21. The EFC cannot be changed after the FAFSA is submitted.
  22. A FAFSA is the primary source of merit aid.
  23. The FAFSA should be completed after the student is accepted.
  24. It is best for a parent to stop working to guaranty more financial aid.
  25. EFC calculations are the same regardless of your state of residency.

Congratulations if you answered that none of them were 'true". Though they may appear to be "true", you need to understand how simple it is to make an incorrect assumption. That is why I provide the right answers that will get you on the right track!


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