Student Eligibility

SUBJECT: Student Eligibility This assessment outlines the Title IV eligibility requirements for students and parent borrowers and your responsibilities to ensure that recipients qualify for their aid awards. If you identify areas requiring corrective action, we recommend that you complete an Action Plan. Activity Bar: Student Eligibility Activity 1: Student Eligibility File Review Worksheet Student Eligibility Activity 2: TEACH Grant File Review Worksheet Student Eligibility Activity 3: Financial Need and Packaging Worksheet Additional Links: 2024-2025 FSA Handbook, Volume 1, Student Eligibility (digital version); pdf version 2024-2025 FSA Handbook, Volume 3 (digital version); pdf version TEACH Grant Information – Student Eligibility In December, 2020, the FAFSA Simplification Act was enacted into law as part of the Consolidated Appropriations Act of 2021. The FAFSA Simplification Act amended Section 484 of the Higher Education Act of 1965 (HEA), making several important changes to student eligibility criteria:

  1. Elimination of the prohibition on receiving Title IV aid for students with drug-related convictions (for more on this change see chapter 1 of Volume 1 of the FSA Handbook);

  2. Elimination of the requirement, for Title IV eligibility purposes, that male students register with the Selective Service system before the age of 26 (for more on this change, see chapter 5 of Volume 1); and

  3. Elimination of the Subsidized Usage Limit Applies (SULA)/150% rule for Direct Loan eligibility (for more on this change, see chapter 6 of Volume 1).

  4. EFC replaced by SAI, or “student aid index.” SAI works similarly to SAI, but there are some differences and impacts on student eligibility. This change will begin in the 2024-25 award year. For more details on implementation, see DCL GEN-23-11.

For a complete list of the major updates to Student Eligibility requirements for 2024-25, please see the Introduction to Volume 1 of the FSA Handbook. For reference, the table below lists the regulatory areas related to Student Eligibility. The left column shows the title of the regulatory section and summarizes the main content of some of the sections. The middle column includes a link to each regulatory section in the Electronic Code of Federal Regulations and any related guidance posted in the Knowledge Center. Where applicable, the associated assessment activity is listed in the third column.

Student Eligibility Regulations

Section Title

Regulations

Assessment Activity

Student Eligibility 34 CFR 668.32

Citizenship 34 CFR 668.32(d), 34 CFR 668.33, 34 CFR 668.130 through 668.139

Regular Student in an Eligible Program 34 CFR 668.32(a)(1)

High school (or equivalent) prerequisites for Title IV eligibility 34 CFR 668.32(e)

Satisfactory Academic Progress (SAP) 34 CFR 668.32(f), 34 CFR 668.34, 34 CFR 668.16(e)

Student Debts under the HEA and to the U.S./Financial Aid History 34 CFR 668.35, 34 CFR 668.19, 34 CFR 668.32(g)(1), 34 CFR 668.32(g)(2)

Correct Social Security Number 34 CFR 668.36, 34 CFR 668.32(i)

Selective Service

See GEN-21-04

TEACH Grant 34 CFR 686.11(a), 34 CFR 686.12, 34 CFR 686.32(a), 34 CFR 686.32(c), 34 CFR 686.34, 34 CFR 686.37

Enrollment in telecommunications and correspondence courses 34 CFR 668.38

Study abroad programs 34 CFR 668.39

Drug Related Offense

Financial Need 34 CFR 674.9(c), 34 CFR 675.9(c), 34 CFR 676.9(c), 34 CFR 685.200(a)(2)(ii)

Verification 34 CFR 668 Subpart E

Last Modified: 11/25/2024