Department of Education delays FAFSA info release to schools until March

The Department of Education says schools won't receive any FAFSA applicant information until March. 

Tommy Mandracchia doesn’t know how much help he’ll get from the federal government to pay for his daughter’s college tuition.

He probably won’t know for at least another couple of months, according to college funding coach Vicki Vollweiler with College Financial Prep. 

"Originally the government had said that they were going to send all the FAFSA applications to the colleges by January 30 and now they’re not expected to get to colleges until March 1," she said. 

Students fill out FAFSA to determine how much aid they will get for school, but that process has been severely delayed this year. (iStock)

FAFSA short for the Free Application for Federal Student Aid form, was overhauled by congressional mandate for the 2024-2025 school year to simplify the process and expand eligibility, but applicants say it has been met by frustration and confusion.

The latest delay was caused by an error and the Department of Education formulas. They didn’t account for the recent high inflation rates expanding eligibility.

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"Typically in March is when the families will receive award letters that tell families the cost of tuition, the cost of room and board and how much the student will receive in scholarships and grants," Vollweiler said. 

The new application has rule changes and many unknowns. Discounts will no longer be available for families with more than one child attending college and business owners may not receive as much financial aid. In some cases, how much a family in need receives could be the deciding factor in whether their child goes to college.

"Up until now, the Department of Education has been very positive in the spin that they’re providing saying over half a million students will become eligible for pell grants and that's a great thing, but there's also potential losers in this," said Troy Cogburn who is the vice president of Enrollment and Marketing at Manhattanville College. 

While the department of education says 3.1 million FAFSA forms have been successfully submitted, due to the delays, incoming students will have less time to compare financial aid packages before selecting a school.

"Typically, college decision day is May 1 so I’m guessing many of the colleges may have to push that back," Vollweiler said.