What’s The Big Deal About the FAFSA?

All high school students in the Class of ’22 will be hearing a lot of information about the FAFSA during the fast-approaching school year. So, just what is a FAFSA, and why is it so important?

The Free Application for Federal Student Aid (FAFSA) is the key you need to unlock money that will help you pay for college, vocational school or career school.

  • It’s simply a ‘snapshot’ of a family’s financial situation, and
  • It’s used to determine how much federal financial aid a student may be eligible to receive to help them with the cost of college.

Now that you know what the FAFSA is, let’s talk about what it’s NOT. The FAFSA isn’t:

  • An application to college
  • A loan application
  • Any type of commitment to accept the aid you’re offered
  • A credit check
  • Available only to students with stellar grades–the application won’t even ask you about your grade point average (GPA).

A new FAFSA is available October 1 each year. High school seniors can submit their FAFSA on October 1 or shortly thereafter, which means you’ll be applying for financial aid almost a year before you begin college. It’s important to submit your FAFSA as early as possible, because some types of financial aid are first-come, first served. Haven’t picked your college yet? No problem! One great thing about the FAFSA is that you can have your information sent to up to 10 different schools, and none of them will be able to see the other colleges you’re interested in attending.

Even though your FAFSA won’t be ready until October, you can do a practice run by completing the FAFSA on the Web (FOTW) Worksheet, which lists most of the questions from the FAFSA, letting you know what it will be like to fill out the form online. This tool isn’t a replacement for the real FAFSA. You’ll still need to complete the actual form online after October 1 in order to apply for financial aid.

According to the National College Attainment Network (NCAN), billions of dollars in federal financial aid for college is left unclaimed each year by students who would have been qualified to receive the aid, but simply didn’t submit a FAFSA. You’ll never know what you’re eligible for unless you submit the application.

For more information about the FAFSA and the types of aid that are available, visit studentaid.gov. To learn more about borrowing smart from the start, check out ReadySetRepay.org.