To thwart would-be fraudsters, the financial aid application now includes an identity screening process.
Earlier this year, the Department of Education launched a new, real-time fraud detection capability for the Free Application for Federal Student Aid (FAFSA) form. Every applicant will be evaluated in real-time through a risk-based identity screening.
Applicants who display a certain level of fraud risk will be required to present government-issued identification before having access to federal student aid funds, including Pell Grants and federal student loans.
In conducting a one-time review of all previously submitted 2026- 27 FAFSA forms utilizing the new screening technology, the Department estimates that by identifying and denying federal student aid to fraudsters, it will save taxpayers over $1 billion during the 2026-27 FAFSA cycle.
