FAFSA & Verification - What does it mean?

FAFSA and Verification – What does it mean?



You’ve completed the FAFSA – congratulations! Now, as you are hoping to see big dollars that you qualify for in Federal Aid, you find out that you have been selected for verification. In the financial aid office, we say, "You’ve been flagged." Approximately 30% of all FAFSA applications are flagged for verification and it’s done randomly. What it means is that before your school can award you any aid, they have to verify that all of the information you put on your FAFSA is correct. You will need to complete a verification form of some sort from the school, and turn that completed form in with a copy of your Federal Tax documentation and your W-2’s. You will also need to turn in any forms that show the same figures as what you put on your FAFSA…like child support documentation from Friend of the Court. It’s really no big deal as long as all of the figures on your documentation match what you put on your FAFSA.



The trouble begins when people don’t tell the truth on the FAFSA and can’t back it up. That doesn’t cause too many problems usually, the school will just correct the figures based on your documentation and sent these corrections back to FAFSA. This correction can change the amount you receive in aid. Another common problem is when the information submitted via your verification form and FAFSA don’t make sense. For example on one you put that you are supporting dependents, but on another have no dependents in your household and indicate no child support being paid. Another example: on one you put divorced and the other says married. This makes a big difference and may cause the Financial Aid office to request a divorce certificate. It’s possible they could even ask for a death certificate! Yikes! When the auditor comes, the college has to show that they have verified the information by producing the documents when a fact is in question. Make sense?



Here’s something important to remember: never give your tax information unless you have been flagged for verification! If they don’t ask for it, don’t give it. If you do, the school will have to "Institutionally Flag" you and put you through verification anyway. This process can extend the time it takes for the department to get your award placed on your account. There are other reasons for someone to be Institutionally flagged, but it doesn’t happen too often.



Verification can be a hassle and add processing time to your account but it is understandable. After all, you may walk away with thousands of dollars in government money, they have the right to be sure it’s going to the people they want it going to, right?

There are lots of rules and regulations in Financial Aid – I don’t pretend to be an expert. I’m just learning some of the basics. You should know that it is complicated and there are a lot of variables. Those folks who work with the students in Financial Aid don’t always have all the answers because there is so much to know, but you should ask lots of questions and treat them respectfully…it can make the difference in what you learn and your understanding of what is going on with your aid.



If this article helped your understanding of verification in any way – you’ve made my day. Please visit me at my Squidoo website and let me know. Good Luck!

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