Introduction

This volume of the Federal Student Aid Handbook discusses the eligibility requirements for student and parent borrowers and your responsibilities to ensure that recipients qualify for their aid awards.

Sources of Information

There are many factors you must consider when reviewing an application for aid from the FSA programs, such as whether the student is a U.S. citizen or permanent resident, whether the applicant is making satisfactory academic progress, and whether they have a defaulted loan from the Direct Loan, FFEL, or Perkins Loan programs To answer these questions, you will receive information about the student from different sources, including the Department of Education’s FAFSA Processing System (FPS) for financial aid applications and the National Student Loan Data System (NSLDS).

Throughout the year, the Department of Education (The Department) provides updates for schools in the form of Dear Colleague Letters (DCLs). These and other releases, such as Federal Register notices and electronic announcements, contain system updates and technical guidance, and are available on the Knowledge Center (fsapartners.ed.gov/knowledge center).

The FSA Handbook does not cover the operation of software. For schools using software provided by the Department, there are technical references on FSA Partner Connect that explain how the software operates. Schools using third-party software should consult the vendor’s reference materials for technical guidance.