As a newcomer to this whole college financial aid process, I just wanted to say thank you to everyone who's shared their experiences here! My daughter is starting college next fall and we're already trying to understand how her scholarship package will work tax-wise. Reading through this thread has been incredibly educational - I had no idea that scholarship money used for housing could be taxable income. The distinction between qualified vs non-qualified educational expenses is something I definitely need to discuss with our tax preparer. @Dmitri Volkov and @Eli Butler, thank you especially for the detailed explanations about reporting requirements and the new FAFSA rules. It's reassuring to know that the impact on future aid eligibility isn't as severe as I initially feared. I'm definitely going to start that tracking system early like several of you suggested, and I'll make sure to contact the financial aid office about any restrictions on specific scholarships. Better to be over-prepared than scrambling come tax time! This community has been such a valuable resource - it's amazing how much clearer everything becomes when you can learn from people who've actually been through the process.

As another newcomer to this community, I just wanted to echo Aaron's thanks to everyone who's shared their experiences! This thread has been incredibly helpful. My son will be starting his sophomore year and we completely missed the scholarship tax implications his freshman year - reading through all these responses, I think we need to file an amended return. One thing I haven't seen mentioned yet: does anyone know if there are different rules for athletic scholarships vs academic scholarships when it comes to the taxable portion? My son has a partial athletic scholarship that covers tuition plus some living expenses, and I'm wondering if that changes anything. Also, for those who've been through the process of filing amended returns for scholarship income - how complicated was it? I'm feeling pretty overwhelmed about having to go back and fix last year's taxes, but it sounds like it's better to correct it proactively rather than wait for the IRS to catch it. Thanks again to everyone for making this complex topic so much clearer!

As a newcomer to this community, I've been reading through this incredibly detailed and reassuring discussion! My daughter is in almost the exact same boat - she's saved about $9,300 from working at a local grocery store since her junior year, and I've been absolutely terrified about how this might affect her Pell Grant eligibility. This thread has been a complete game-changer for my understanding of the FAFSA process. I had absolutely no idea about the automatic zero SAI provision before finding this discussion - it sounds like it could be exactly what families like ours need! Given that our income is low enough that we qualified for full Pell this year, I'm really hopeful we might be eligible for this protection. What strikes me most about all these responses is how the community has consistently emphasized getting accurate information from official sources rather than panicking based on incomplete knowledge. The advice to contact financial aid offices directly before making any major decisions is spot-on - why stress over hypothetical scenarios when you can get definitive answers? I'm also incredibly encouraged by all the real success stories shared here. It's clear that the FAFSA system, while complex, does have meaningful protections for low-income families and considers the whole financial picture rather than just penalizing students for being responsible savers. My daughter definitely needs a laptop for college anyway, so if the timing strategy makes sense after speaking with a financial aid counselor, we'll consider that approach. But first, I'm calling the financial aid office this week to check our automatic zero SAI eligibility. Thank you all for creating such a supportive, knowledgeable community. You've transformed what felt like a financial aid crisis into a manageable situation with clear, actionable steps!

As a newcomer to this community, I've been reading through this entire discussion with such relief and gratitude! My son is in practically the identical situation - he's saved about $10,200 from working at a local restaurant throughout high school, and I've been absolutely panicking about how this might impact his financial aid for next year. This thread has been incredibly educational and reassuring. Like so many others here, I had never heard of the automatic zero SAI provision before reading everyone's experiences. Given that our family income is low enough that we received maximum Pell Grant this year, learning about this potential protection has given me tremendous hope! What I appreciate most about this discussion is how it's transformed from initial panic (exactly where I started) into practical, actionable solutions. The consistent advice to contact the financial aid office directly before making any decisions is so logical - why stress over hypothetical scenarios when you can get concrete answers about your specific situation? I'm also really encouraged by all the real success stories people have shared. It's clear that hardworking students with savings can still receive substantial aid when their complete financial picture is considered. The strategic timing advice for legitimate educational expenses makes perfect sense too - my son definitely needs a laptop and we'll be buying textbooks anyway. Thank you all for creating such a supportive and knowledgeable community. I'll be calling our financial aid office this week to check on our automatic zero SAI eligibility. This discussion has completely changed my perspective from crisis mode to confident planning!

This is an incredibly comprehensive thread that shows the power of community knowledge! As someone who's dealt with loan servicer issues before, I'm impressed by how systematically everyone has broken down the violations and actionable steps. One additional resource I haven't seen mentioned: the Consumer Financial Protection Bureau has a specific complaint portal for student loan issues at consumerfinance.gov/complaint. When filing your CFPB complaint, make sure to select "Student loan" as the product type and "Private student loan" as the sub-product. This ensures it gets routed to the right team. Also, when documenting your timeline, include any screenshots or saved emails showing the loan balance at different points. If you have online account access, take screenshots NOW before they potentially "update" their systems and lose historical data. The unauthorized increase from $10K to $20K is the smoking gun here. That's not a billing error - that's potential fraud. Combined with everything else (transfer without notice, ignoring your attorney, improper payment application), you have a rock-solid case. Keep fighting! You're not just protecting yourself - you're helping establish precedent that these predatory practices won't be tolerated. This thread should be required reading for anyone dealing with private student loan issues.

This thread is absolutely incredible - what started as one person's nightmare has become a masterclass in consumer rights! As someone new to this community, I'm blown away by the level of expertise and support here. @Anastasia Kuznetsov - your case is a perfect storm of predatory lending violations. The unauthorized doubling of your loan from $10K to $20K without your consent is textbook fraud. Add in the transfer to MOHELA without proper notification, their refusal to communicate with your attorney, and the suspicious payment applications that somehow left you owing more after paying $23K - you have multiple slam-dunk FDCPA violations. What really stands out to me is how systematically everyone has approached this. The action plan that's emerged from this thread (debt validation letters with cease and desist language, CFPB complaints with specific dollar damages, credit bureau disputes for each individual violation, state AG complaints, requesting complete audit trails, etc.) should honestly be a template for anyone dealing with predatory loan servicers. The fact that you already have a fraud police report filed puts you miles ahead of most borrowers in similar situations. These companies are used to intimidating people who don't know their rights - you're clearly not going to be pushed around. I'm bookmarking this entire thread as a reference guide. The community has essentially created a comprehensive playbook for fighting back against these predatory practices. Thank you for sharing your experience and refusing to give up - you're helping protect countless other borrowers by documenting these violations and showing that systematic resistance works!

As a newly divorced parent just joining this community, I can't thank everyone enough for sharing such detailed and practical advice! I'm in the exact same boat - recently divorced, custodial parent providing majority support, and trying to navigate Excelsior for my son who'll be starting college next year. Reading through all these experiences has been incredibly reassuring. I was really worried that my ex's income might count and push us over the threshold, but it sounds like as long as I follow the same parent rules as FAFSA and have all my documentation organized, we should be okay. I'm definitely taking everyone's advice about getting all the paperwork ready now - divorce decree, custody agreements, tax returns, expense tracking, and that brilliant one-page summary sheet idea. It's so helpful to know what to expect with the verification process and timeline. This community is amazing for providing real-world guidance that you just can't find on the official websites!

As a newcomer to this community, I want to express my gratitude for this incredibly informative thread! I'm also a recently divorced parent facing the same situation with Excelsior for my daughter's upcoming college enrollment. Reading through everyone's real experiences has been so much more helpful than the confusing official resources. It's reassuring to see multiple confirmations that Excelsior follows FAFSA's same-parent rules for divorced families. I'm definitely going to implement all the organizational strategies mentioned here - creating that documentation folder, expense tracking, and the one-page summary sheet that several people recommended. The timeline expectations and verification process insights are invaluable for planning ahead. Thank you all for creating such a supportive environment where parents can share practical advice about navigating these complex financial aid programs!

I'm a current college student who went through this exact same situation last year! My parents took out a Parent PLUS loan for $10,000 that went directly to my university, and I was completely stumped by these TAP questions too. After reading through all these responses, I'm so glad to see everyone confirming what I learned the hard way - you should definitely answer YES to both questions! The key thing that helped me understand it was realizing that TAP cares about WHO is providing financial support for your education, not HOW the money gets from point A to point B. Your dad is legally obligated to repay that $14,500 loan specifically because he wanted to help cover your education costs. That makes it financial assistance from your parent, period. The fact that the money went straight to your school's bursar office doesn't change the fundamental relationship - your parent took on debt to support your education. I answered YES to both questions on my TAP application and everything went smoothly. Trust me, it's so much better to be honest and accurate upfront than to risk getting caught up in appeals and verification processes later. You're making the smart choice by asking for advice before submitting!

I'm a new community member dealing with this exact same Parent PLUS loan confusion on my TAP application! My mom took out a $9,500 Parent PLUS loan that went directly to my school last semester, and I've been stressing about these questions for weeks. Reading through everyone's experiences here has been incredibly eye-opening - it's clear that I should answer YES to both questions. What really helped me understand it was the way several people explained focusing on "who is legally responsible for the debt" rather than getting caught up in where the money physically went. My mom is the one who will be making loan payments for years to come specifically because she wanted to help cover my education costs, which definitely counts as financial assistance regardless of payment logistics. I'm so grateful for this community! As someone completely new to TAP applications, I was feeling really overwhelmed and worried about answering wrong. But seeing how many students have successfully navigated this same situation by answering YES honestly has given me the confidence to move forward. Thank you to everyone who shared their experiences - especially the financial aid professionals who provided such clear explanations. I'm submitting my application today with YES marked for both questions!