A spokesperson from the U.S. Department of Education indicated that fewer than 10% of the 4 million processed applications have been affected, impacting thousands of dependent students who disclosed assets.
The financial aid department at Wright State University explained that student assets encompass checking accounts, savings accounts, and 529 plans.
The U.S. Department of Education reassured that despite the issue, schools should proceed with processing ISIRs and preparing aid packages, emphasizing that only ISIRs transmitted before March 21, 2024, are affected. They have already sent over 1.3 million unaffected ISIRs to schools for processing.
The National Association of Student Financial Aid Administrators, representing over 29,000 professionals at around 3,000 universities, criticized the error, warning that it could delay financial aid packages, impacting students relying on need-based aid.
The Department of Education introduced a new version of the FAFSA last year, boasting fewer questions, updated calculation tables, and expanded Pell Grant eligibility for low-income students.
However, families faced delays in submitting the FAFSA, with the application roll-out postponed until January instead of the usual October start. Many families could only submit applications in February, missing the priority consideration deadline of Feb. 15 set by most colleges.
Some FAFSAs were flagged for errors like unsigned documents. Kim Jenerette, Executive Director of Financial Aid at Cedarville University, noted discrepancies in students’ FAFSA results, causing confusion. Despite initial instructions to rectify errors by late March, the deadline was extended to mid-April.
Cedarville University has received approximately 3,000 FAFSAs, with 500 applications rejected. The financial aid department is conducting thorough checks to identify and resolve any errors.
Jenerette urged patience from students and families, highlighting the collective efforts of financial aid offices to provide accurate aid packages promptly.
For families seeking assistance with the FAFSA, a specialist can be reached at 1-800-4-FED-AID, although extended wait times may be expected.