|AwardYear: 1998 - 1999|
ChapterTitle: Completing The Verification Process
Section: If The Student Fails to Provide Documentation
A Federal Pell Grant applicant selected for verification must complete the process no later than 60 days after the last day of enrollment8 or August 31, 1999, whichever is earlier. Campus-based, Direct Subsidized Loan, and Federal Stafford Loan applicants must complete verification within the deadlines the school establishes. Factors constituting completed verification and consequences of a students failure to complete verification vary among the federal aid programs.
Defining Completed Verification
For the Federal Pell Grant Program, the student has completed verification when he or she has corrected the data or has shown, as required, that the application data are correct. In addition to all verifying documentation, the school must also have on file the final and valid federal output document, showing the official EFC.
For the campus-based, Direct Subsidized Loan, and Federal Stafford Loan programs, the student has completed verification when he or she has submitted all requested documentation to the school. The school must also have on file an output document that shows the students application data were processed through the CPS at least once. (The output document need not be final or signed by the student).
The Consequences of Failing to Complete Verification
Under the Federal Pell Grant Program, if an applicant does not complete verification by the established deadline, he or she forfeits the Federal Pell Grant for the award year; the school must repay to the Department any funds already disbursed.
Under the campus-based, Direct Loan, and FFEL programs, if an applicant fails to provide the required documentation by the established deadline, you must not
disburse additional FSEOG or Federal Perkins Loan funds to the applicant (funds already disbursed must be repaid by the school),
continue the applicants employment in an FWS job,
originate a Direct Subsidized Loan or certify a Federal Stafford Loan application for the applicant (you may already have done so before verification was completed, but you may not do so after the verification deadline), or
disburse Direct Subsidized Loan proceeds or deliver Federal Stafford Loan proceeds to the applicant.9