What is FAFSA?

FAFSA is essential if an individual is willing to avail of federal grants or scholarships to study in USA. The FAFSA application not only provides federal aid like scholarships, grants, work-study, and student loans but also provides eligibility criteria of state-funded scholarships in US universities for international students. The majority of aid through FAFSA is offered on a first come first serve basis. Let's read further and understand more about what is FAFSA, its eligibility criteria and other benefits.

What is FAFSA

In order to receive federal student aid, it is mandatory for all undergraduate and graduate students to submit a FAFSA form. Around 150 million USD is kept every year to be distributed as financial assistance by the US Department of Education. The amount can be adjusted with the student’s tuition fee and also helps in paying rental charges, books expenses, and more.

FAFSA also acts as a perfect future investment for students as compared to private student loans. The interest rates are quite low for loans offered through FAFSA with flexible repayment plans. The scholarships awarded through FAFSA depend on the program and the university you have applied to. The Deadline to submit is June 30, 2023 for the upcoming session, applications that require corrections can be submitted by September 10, 2023.

Check out the steps to apply for financial aid in USA for international students

FAFSA Eligibility Criteria

Below are the basic eligibility requirements for a FAFSA application.

• Demonstrated need for financial aid to study in USA.
• U.S citizen or eligible non-U.S citizen
• A valid Social Security Number
• Enrollment proof or letter of acceptance from the university
• Must maintain satisfactory academic performance
• Candidate must be eligible for loan
• Evidence that shows no previous defaults in loans. No liability of money against the federal grant.

Note: The admission letter for international students will be released only after the submission of the FAFSA letter.

How To Apply for FAFSA

International students may apply for FAFSA form by following the below instructions:

1. Use official website of FAFSA or the mobile application for applying
2. Apply by logging into fafsa.gov
3. Gather documents which must include financial statements, academic details and personal information of the student.
4. List at least one college or university to know what type of federal aid you may receive.
5. Submit the FAFSA form and get the student aid report. Thoroughly review the information you have provided by logging into the FAFSA online portal.

What is Student Aid Report

The student aid report also known as SAR is an electronic document that summarises information as mentioned in the FAFSA by the student. The form includes EFC (Expected Family Contribution) of a candidate and indicates his eligibility for federal aid or federal student loans.

The SAR will be sent to the applicant via mail based on the following situation:

• Valid email address not provided in FAFSA form.
• The Social Security number did not match in the FAFSA form with the one in the file or Social Security Administration.
• Did not sign in to the FAFSA form.

Some of the types of aid that a student may receive after filling out the FAFSA form online:

FAFSA Benefits:

There are endless benefits of receiving grants, scholarships and awards through FAFSA.

• There is no age limit to apply FAFSA scholarship as they are primarily awarded on the basis of student's financial requirements
• It is not awarded only to those with exceptional academic performance, but one must be passed in previous qualifications achieved to receive scholarships. However, some universities or colleges may require higher GPA scores before shortlisting candidates.
• The application will also allow the candidate to look for a range of scholarships options.
• The scholarships are also available for those planning to go for study abroad programs.
• No credit history is required for receiving loans through FAFSA.
• No co-signer signature required from family members or others
• The students may start repaying for the FAFSA loan as soon as they are employed.

Though, FAFSA may not offer scholarships or grants for Indian students, but it does offer a flexible repayment option. Students may also search for any suitable scholarships or awards in order to cover their cost of education or living expenses.