How to Handle the Delay in the Release of the FAFSA Form

Published On Sep 6, 2024, 9:00 AM

The FAFSA (Free Application for Federal Student Aid) for the 2025-26 academic year will be delayed until December 1, two months later than normal. This delay follows significant issues with last year's rollout, which suffered from glitches and calculation errors, particularly impacting lower-income students. Experts suggest that students take this time to prepare by researching colleges and scholarships to be ready when the application is available.

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The delayed FAFSA release may affect the financial services and education sectors significantly, as it can lead to reduced applications for funds, potentially impacting universities and companies involved in student loans and financial aid solutions. It could also lead to a rise in demand for education technology companies that assist with FAFSA applications.

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The delay could also lead to increased scrutiny of the Department of Education and potential policy changes in the future, impacting stocks related to education and government services. Educational institutions may see decreased enrollment from financially dependent students if the process continues to be complicated.

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