FAFSA: Education Needs to Improve Communications and Support Around the Free Application for Federal Student Aid
Fast Facts
We testified on Education's troubled rollout of its newly simplified student aid application. Students rely on the Free Application for Federal Student Aid—FAFSA—to determine their eligibility for federal grants and loans.
Education streamlined the form this application cycle to make the process easier for students. But the rollout was delayed 3 months. Multiple technical issues also blocked some students from completing the form. Support for students was also lacking—about three-quarters of calls to Education's call center went unanswered.
We recommended Education address these issues to avoid similar problems next time.
Highlights
What GAO Found
The Department of Education's rollout of the new simplified Free Application for Federal Student Aid (FAFSA) was delayed by 3 months from the traditional October launch and hampered by a series of technical problems that blocked some students from completing the application. This contributed to about 9 percent fewer high school seniors and other first-time applicants submitting a FAFSA, with the largest declines among lower-income students, according to Education data as of August 25, 2024. The new process also created additional barriers, including an inefficient process for students' parents or spouses who lacked a Social Security number to verify their identities. This process prevented some families from even accessing the application. Rather than simplifying access to student financial aid—one of the department's strategic goals—the FAFSA rollout created roadblocks for some students and their families.
Decline in FAFSA Submissions, Current Compared to Prior Application Cycle
Note: Data are through August 25th of each cycle.
Education did not consistently provide students with timely and sufficient information or support necessary to complete the new FAFSA. Nearly three-quarters of calls to Education's call center went unanswered during the first 5 months of the rollout due to understaffing. Education also did not provide timely information to students about processing delays or how they could navigate technical problems. For example, Education's guidance instructed call center representatives to advise some students facing technical problems to just “try again later” rather than proactively notifying them when the problem was resolved, which sometimes took months. Education's lack of timely support and clear communications stoked confusion among FAFSA applicants.
Total Calls to Education's Call Center, First 5 Months of FAFSA Application Cycle, January-May 2024
Education did not provide colleges with reliable timeframes or communicate changes to colleges in a timely manner. For example, Education did not give colleges any advanced warning that it would not meet promised deadlines for delivering the student records colleges needed to develop aid offers. As a result, colleges were uncertain when they could send aid offers to students as well as when they could disburse student funds. With the next FAFSA application cycle beginning by December 2024, Education still has an opportunity to learn from its recent struggles and make the financial aid process easier for everyone.
Why GAO Did This Study
The FAFSA is the entry ramp to federal grants and loans that many students depend on to afford college. Congress passed the FAFSA Simplification Act in 2020 in part to make it easier to apply for federal aid. However, Education's rollout of the new FAFSA has suffered from numerous challenges and delays.
GAO was asked to review the simplified FAFSA rollout. This statement assesses (1) how Education's rollout of the new FAFSA affected students, (2) the extent to which Education provided students with information and support, and (3) the extent to which Education provided colleges with timely communications. This statement is a companion to GAO's related statement on FAFSA system issues (GAO-24-107783).
To conduct this work, GAO analyzed Education data on FAFSA submissions and processing for the current application cycle (2024-25) and comparable data for the prior year. GAO also examined data and performance metrics from Education's call center for the same periods, interviewed Education officials and other key stakeholders from higher education associations and reviewed relevant federal laws and guidance.
Recommendations
GAO is making seven recommendations to Education to ensure it is prepared for the start of the next FAFSA cycle by December 2024. These recommendations include that Education overhaul the submission process for parents and spouses without Social Security numbers, ensure sufficient call center staffing, and communicate timely information to students and timeframes to colleges.
Recommendations for Executive Action
| Agency Affected | Recommendation | Status |
|---|---|---|
| Office of Federal Student Aid | The Chief Operating Officer of the Office of Federal Student Aid should develop an outreach strategy to identify and connect with students who did not submit a FAFSA application this cycle (2024-25) due to delays and technical issues, and to provide them with the information they need to apply during the upcoming cycle (2025-26). (Recommendation 1) |
The Department of Education will provide information on how it plans to address this recommendation by April 2025.
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| Office of Federal Student Aid | The Chief Operating Officer of the Office of Federal Student Aid should review the FAFSA application process to identify ways to reduce the burden on students and families by addressing the remaining technical issues and streamlining the process for parent or spouse contributors to reduce the total time it takes to complete the FAFSA form. (Recommendation 2) |
The Department of Education will provide information on how it plans to address this recommendation by April 2025.
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| Office of Federal Student Aid | The Chief Operating Officer of the Office of Federal Student Aid should overhaul its submission process for students whose parent or spouse contributors do not have Social Security numbers to address additional application barriers. This should include making the identity verification process more efficient and determining how to use Individual Taxpayer Identification Numbers to transfer this population's tax data from the IRS. (Recommendation 3) |
The Department of Education will provide information on how it plans to address this recommendation by April 2025.
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| Office of Federal Student Aid | The Chief Operating Officer of the Office of Federal Student Aid should improve translation services by providing a clear path to support for languages other than English and Spanish through the call center menu and progress toward making the FAFSA application available in languages other than English and Spanish. (Recommendation 4) |
The Department of Education will provide information on how it plans to address this recommendation by April 2025.
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| Office of Federal Student Aid | The Chief Operating Officer of the Office of Federal Student Aid should plan for and ensure hiring of sufficient staff to increase capacity at the Federal Student Aid Information Center call center to be able to meet call demand and improve customer service. (Recommendation 5) |
The Department of Education will provide information on how it plans to address this recommendation by April 2025.
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| Office of Federal Student Aid | The Chief Operating Officer of the Office of Federal Student Aid should develop a comprehensive plan for providing FAFSA applicants with timely updates on the status of their application and solutions to technical barriers. (Recommendation 6) |
The Department of Education will provide information on how it plans to address this recommendation by April 2025.
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| Office of Federal Student Aid | The Chief Operating Officer of the Office of Federal Student Aid should develop policies to communicate key milestones of the 2025-26 FAFSA and future cycles to colleges and stakeholders in a timely and reliable manner. (Recommendation 7) |
The Department of Education will provide information on how it plans to address this recommendation by April 2025.
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