Final answer:
To be eligible for student aid, one must complete the FAFSA provided by the U.S. Department of Education. FAFSA data determine federal and other aid eligibility and must be submitted annually. Over 70% of full-time college students receive federal aid, according to NPSAS data.
Step-by-step explanation:
In order to qualify for student aid, a student and their parents must complete the Free Application for Federal Student Aid (FAFSA) provided by the United States Department of Education. This process starts with filling out the FAFSA® form, which is necessary to apply for federal grants, work-study, and loans before each academic year. Your FAFSA data help your college determine your eligibility for federal aid, as well as aid from many states and colleges.
Once you've submitted the form, you'll receive your Student Aid Report. This document will detail aid arrangements that your financial aid office will apply to your college costs, and any remaining balance will be sent to you for other educational expenses. Remember, maintaining eligibility for financial aid also means that you must meet satisfactory academic progress requirements and reapply annually by completing the FAFSA® form again.
Applying for financial aid through the FAFSA can impact your life for years after college, potentially setting you up with a debt repayment plan that might last between ten and twenty-five years. This importance is underscored by data from the 2011-2012 National Postsecondary Student Aid Study (NPSAS:12), which indicated that over 70% of full-time college students received some form of federal financial aid.