President Donald Trump followed his threat on Thursday to “start eliminating” the Ministry of Education of the Ministry of Education via executive order, although most legal experts agree that the approval of the congress will be required to actually terminate the agency.
A critical function of the department is the administration of financial assistance of the federal students, such as subsidies and student loans. If the Ministry of Education is closed, what does that mean for the free request for federal student assistance or Fafsa?
In earlier comments at reporters on Thursday, press secretary Karoline Leavitt said that “when it comes to student loans and Pell subsidies, which are still from the Ministry of Education.” On 11 March, however, the department personnel was lowered by almost half and the website of Studentaid.Gov fell for hours.
“These personnel reductions raise serious questions about the future functionality of federal utilities,” said expert from Study Units Elaine Rubin in an E -mail. “There has been little communication about how the department intends to maintain efficient activities and prevent disruptions.”
If you are worried about filling in the FAFSA from 2025-26-or has already submitted it is what you need to know.
Does the Fafsa go away?
Even if the Ministry of Education is abolished, experts will not think of federal student aid or the Fafsa will disappear.
“The software system and the call center are through contractors, but there is still important work in-house,” said student loans Mark Kantritwitz in an e-mail. “After last year’s Fafsa fiasco, the termination of staff can be a disaster.”
Both Rubin and Kantrititz say that the management of the FAFSA process can be transferred to another agency.
Rubin noted that the Fafsa is the “trigger application” for not only federal financial utilities, but also for many national and institutional utilities.
“It would be a huge company to replace the Fafsa, but that doesn’t mean it can’t be at some point,” said Rubin. Because a complex web of programs depends on the application: “We don’t really expect the Fafsa to disappear at the moment.”
Where could the Fafsa go differently?
More than 17 million people completed the Fafsa in the cycle of 2022-2023.
Although the White House says that student loans are still being managed by the Ministry of Education, this latest executive order and personnel reductions at the Agency can mean that FAFSA processing is transferred to another federal department.
Possibilities for a new house for FAFSA include the Treasury Department or the Internal Revenue Service because the FAFSA form is already connecting to the IRS system to upload tax return data.
Kantritwitz said that the US Department of Finance is the most likely destination for programs for student loans. He added that, regardless of which agency it takes, the federal government should continue to manage and manage student assistance.
“The states are unable to handle student loans,” said Kantritzerz. “Private lenders miss the capacity and hunger for privatization of the federal portfolio of student loans.”
If the Fafsa moves to Treasury, Kantritwitz said that borrowers would probably not notice much difference.
“Most functions (of student loan programs) are implemented by contractors,” he said. “Treasury lacks experience with rules for higher education, so there can be a number of initial chaos.”
Do you still have to submit Fafsa?
If you need help to pay for the university, experts say you should continue to use the Fafsa. The form is used to determine your suitability for financial assistance, including PELL subsidies, trade fairs, work research programs and student loans.
Rubin noted that a group of people who have been worried about submitting a Fafsa: students who have to report information from a parent or spouse who is an immigrant without papers. Applicants who are non-American citizens with qualification documentation may be eligible for financial assistance; The status of financial “contributors” such as parents and spouses has no influence on suitability.
The 1974 Privacy Act prohibits the agency to share certain identifying information without written permission or an explicit agreement. According to the current agreements, the FAFSA department shares information for applicants – but no contributors – with the Ministry of Interior Security to verify the status of an applicant. But the aggressive attitude of this administration against immigrants without papers is concerned about submitting information that can be shared illegally with immigration authorities, Rubin said.
She has no universal advice for these applicants. “It really has to come down to … what is best for the family and what they are comfortable with.”
What to expect if you have submitted your FAFSA application
If you have already submitted your FAFSA form, the Ministry of Education says that it will process your online application within one to three days (submissions of paper form will take longer).
After your form has been processed, you can register with Studentaid.Gov to see your submission overview and make corrections. However, due to the cutbacks, you would expect delays if you have questions or problems with your application, experts warned.
The summary must contain your student AID index, which the department sends directly to the schools that you have stated on your FAFSA form. The schools use your SAI to calculate the amount of financial aid they offer you. If you are worried that your school has not received your information to determine your financial aid package, please contact the financial aid office of your school.
