FAFSA And Transferring To A New College

Q: If I have decided to transfer to a new college, but have already filed my FAFSA with the information for my current college, will my FAFSA money automatically transfer with me to my new college?

A: Great question! The short answer is: no, your FAFSA money won’t automatically transfer with you when you switch schools. While it might seem like your financial aid should just follow you from one college to the next, it’s not quite that simple. Financial aid is tied to a lot of school-specific factors, like tuition costs, available funds, and even the type of aid you’re eligible for at your old school versus the new one.

When you transfer schools, your new college will need to recalculate your eligibility for federal financial aid based on its own criteria and costs. That means that while some aid, like Federal Stafford Loans, is transferable, other types, like Federal Work-Study or certain state-specific grants, might not be. The thing is, the new school may offer a different aid package or have a different pool of funds to work with.

Quick Reality Check: Transferring schools doesn’t mean your financial aid automatically moves with you. Each school has its own financial aid process, so you’ll need to keep the lines of communication open with both schools.

Here’s the Step-by-Step Breakdown:

When you decide to transfer to a new college, don’t expect a smooth ride without doing a little work behind the scenes. Here’s what you’ll need to do to ensure your FAFSA is updated and you don’t miss out on any aid opportunities:

• Step 1: Notify Your Current School’s Financial Aid Office: First thing’s first, you need to let your current school know you’re transferring. They’ll be able to give you the rundown on what you owe, any refunds you might be eligible for, and what you need to do to wrap things up with them.
• Step 2: Update Your FAFSA: You’re not done after filling out the FAFSA once. You’ll need to log back into your FAFSA account and update it with your new school’s information. It’s as simple as adding your new school’s name and school code, and then submitting the updated FAFSA. This ensures that your new school gets access to your federal financial aid info.
• Step 3: Await Your New Student Aid Report (SAR): After updating your FAFSA, your new school will process it and send you an updated Student Aid Report (SAR). The SAR will detail your eligibility for federal aid at your new school, and it’ll break down how much of each type of aid you qualify for, such as Pell Grants, Stafford Loans, and more.
• Step 4: Follow Up With Your New School’s Financial Aid Office: After getting the SAR, it’s crucial to reach out to your new school’s financial aid office to get more details about your financial aid package and make sure everything is in order. Some schools might require additional paperwork or verification to process your aid.

Pro Tip: Don’t just assume that everything will be set once you’ve updated your FAFSA. Every school has different aid packages, and there may be additional forms or steps you’ll need to take to complete your financial aid process at the new school.

What Financial Aid Transfers and What Doesn’t?

When you’re transferring, the big question is whether or not the aid you’re used to will follow you to your new school. Some aid, like federal student loans (Stafford Loans), is pretty flexible and can be applied to any accredited college or university. However, certain types of financial aid are tied specifically to the school you’re attending or its programs.

Here’s what typically transfers:

• Federal Stafford Loans: These are federal loans, and they follow you wherever you go. The amounts you’re eligible for may change based on your new school’s cost of attendance, but generally speaking, they’re transferable.
• Pell Grants: If you’re eligible for a Pell Grant, it’s also transferable to your new school, as long as you’re still enrolled at least half-time.
• Direct PLUS Loans: If your parents were taking out a Parent PLUS Loan for you, that can also transfer to your new school, assuming your parents meet the eligibility requirements.

But here’s what might not transfer:

• Federal Work-Study: Unfortunately, this one doesn’t always follow you. If you had a Federal Work-Study job at your old school, your new school will have to determine if they have available funds to offer you this opportunity. It’s not guaranteed.
• State and School-Specific Grants: Many state grants or institutional scholarships are specific to a particular school. So, if you’re transferring to a new college, these forms of aid may not come with you unless the new school offers similar programs or has its own matching grant programs.
• Federal Perkins Loans: This program ended in 2017, but if you had an older Perkins Loan, it typically cannot be transferred to a new school, as it was a school-specific loan.

Heads Up: Even though federal aid is flexible, you may still need to do some work to secure the same amount of funding at your new school. The school’s cost of attendance (tuition, fees, etc.) might be different, which could impact your total award.

Don’t Forget About Deadlines

Timing is everything when transferring colleges. Make sure that you’re keeping track of FAFSA deadlines both at your current school and your new school. Schools often have specific deadlines for financial aid, and missing those could leave you scrambling to find alternative funding sources.

• File Early: Don’t wait until the last minute to update your FAFSA. If you’re transferring in the fall, update your FAFSA by the spring or summer at the latest. This will give you enough time to work out any issues.
• Be Proactive: If you’re uncertain about how the transfer will affect your aid, contact both your current and future school’s financial aid offices. They can give you specific details about deadlines and documents needed.

Reminder: While transferring may feel like a hassle, you’re not alone in this process. Financial aid offices are there to help guide you, so don’t hesitate to ask questions if you’re feeling confused.

Other Considerations

If you’re transferring and you’ve received any kind of merit scholarship, grant, or institutional aid from your old school, you’ll want to check with your new school’s financial aid office to see if they offer something similar. Some schools may have transfer-specific scholarships or financial aid opportunities that can help bridge the gap.

Also, keep in mind that if you’re transferring mid-year, your financial aid package might be adjusted to reflect your new enrollment status. For instance, if you were part-time at your old school and now you’re going full-time, that could change your aid package. If you’re only going to be attending for one semester, your financial aid may also be prorated.

So while FAFSA itself doesn’t automatically transfer your financial aid when you transfer schools, you can update your FAFSA and work with both schools to ensure that you get the most financial aid possible. Just be proactive, stay on top of deadlines, and don’t hesitate to reach out for help from your new school’s financial aid office. They’re there to help make your transfer process as smooth as possible, financially speaking!