A Private Application for Student Aid

[Arc Orion]

From Quotable Quotes

One point, though. You claim that the government is the least efficient body to implement funding for college grants and loans. However, given that the FAFSA has become a nearly complete resource for finding available grants and loans, do you propose a private institution could provide a better, more complete system than the FAFSA? If so, how?

I think the only reason the FAFSA has become such a useful resource is because it is a standard form. I think that just having the form, but without attaching government money handouts to it, would work just as well.

collegestudent22, the problem I have with that is that different groups often have trouble working together on "standard form". It's certainly possible that they might be able to do so, but a separate agency is required to gather up the information on the various different grants and loans. This agency would either need to be funded through payment from the students or through private donations.

I guess it would certainly be possible that the private interests which fund grants and loans might fund such an organization, but given that a private institute lacks the scope of a national government, one or more interests might found other applications for student aid which fit more closely the criteria for students that they want to accept.

[adciv]

A FAFSA requires:
Your SSN (or Alien registration number)
Your full name
Citizenship & Eligibility Status
Marital status and date of married/divorced
State of legal residence
Registered with Selective Service (Y/N)
Type of degree
Current year/level (Fresh/Soph/etc)
Enrollment level (Full/Part)
Types of Student Aid
Information on parents education level
Drug offenses
Information on dependency status and family income
Information on Your finances (including savings/net worth)

I'm not sure there is any information that a private entity would need to loan money. Between that and a credit check, they should have everything necessary.

[Hirschof]

History/details of any criminal offenses isn't required on the application?

[adciv]

Fafsa 08-09 direct link
http://www.fafsa.ed.gov/fafsaws89c.pdf

Why only drug offenses?

A federal law suspends eligibility for some students with drug convictions. Count only federal or state
convictions for the possession or sale of illegal drugs if the offense occurred during a period of enrollment
for which you were receiving federal student aid (grants, loans, and/or work-study). Do not count
convictions that have been removed from your record, or occurred before you turned age 18, unless you
were tried as an adult.

If you have a conviction for possessing or selling
illegal drugs, you should submit your FAFSA anyway.
You may be eligible for non-federal student
aid from state or private sources.

Federal law regarding drug use. Note that this will not have the federal government preventing you from going to college, only from receiving money from them. Note it also asks about Slective Service Registration (The Draft).

History/details of any criminal offenses isn't required on the application?

Not for the FAFS. However, most, if not all, colleges ask that on the application.

[collegestudent22]

It's certainly possible that they might be able to do so, but a separate agency is required to gather up the information on the various different grants and loans. This agency would either need to be funded through payment from the students or through private donations.

Is there some reason why you can't keep the organization (the IRS does this, correct?) without the federal grants? Loans are fine, but not grants, IMO. There are many other things that are tabulated by the government without giving money to people.

[adciv]

If you are suggesting the IRS do this,the IRS is forbiden by law from sharing information on the tax forms, provided they aren't accusing you of dodging your taxes. Or do you mean keep the organization as a coordinator for loans but not actually have them provide money? Actually, acting as a broker, they could make money on the deal. Acting as a garuntor, they probably still make money on the deal.

[collegestudent22]

Or do you mean keep the organization as a coordinator for loans but not actually have them provide money?

Yes, this. The IRS thing was asking if the IRS is in charge of the form now, or if it is some other organization.

[adciv]

The Department of Education is in charge of the form. Hence why you go to their website to fill it out.

[collegestudent22]

Duh. Should have know that. That's what I get for not filling it out myself last year.

[Arc Orion]

Is there some reason why you can't keep the organization (the IRS does this, correct?) without the federal grants? Loans are fine, but not grants, IMO. There are many other things that are tabulated by the government without giving money to people.

So your complaint isn't the FAFSA, it's the grants that the FAFSA includes, then?

[collegestudent22]

So your complaint isn't the FAFSA, it's the grants that the FAFSA includes, then?

Yes. The FAFSA itself is useful for both the government loans and the private companies that use it. My problem is not the form itself, but the grants the government gives out.