FAFSA nightmare: School closed, transfer messed up financial aid - can't afford new package

omg that sounds AWFUL!! can you appeal? like formally? seems like they should honor the original package since it was THEIR mistake not yours!!

I'm going to try. The problem is I can't even get anyone on the phone - I've been on hold for hours every day this week!

This is definitely a case where you need to document everything. First, gather all your original financial aid award letters, the merger announcement, and any communications about the transfer process. Then, request a formal appeal meeting with the financial aid director (not just a counselor). \n\nUnder Department of Education guidance, the new school should be honoring the financial commitments of the institution they absorbed, especially mid-academic year. There are specific merger regulations they need to follow.\n\nAlso, check if your daughter's program is eligible for a closed school discharge if the original institution officially closed - this could potentially reset her federal aid eligibility completely.

Thank you so much for this detailed advice. I didn't know about the closed school discharge option - I'll look into that immediately. I've been trying to get all the documentation together, but the challenge is reaching anyone in authority at the financial aid office.

We went thru something kinda similar when my son's school had a fire in the admin building last year and they lost some records. Keep calling! Eventually someone will help but u gotta be a squeaky wheel

I dealt with a similar situation a few years ago when my daughter's school was acquired by another university. The financial aid packages were significantly different between the two schools.\n\nYour best approach is to immediately request a formal review with the Dean of Financial Aid (not just a counselor). Come prepared with:\n\n1. Original financial aid award letters\n2. Documentation of all expenses related to the original agreement\n3. Any communications regarding the transfer process\n4. Your current financial situation documentation\n\nCritically, make the argument that you entered into a financial agreement in good faith, and the school's administrative error should not result in additional burden to your family. Cite the Department of Education's guidelines on institutional mergers and acquisitions which typically include provisions for maintaining student aid.\n\nIf they refuse to honor the original package, immediately escalate to the university president's office and consider contacting your state's Department of Higher Education and the Federal Student Aid Ombudsman Group.

Thank you for the comprehensive advice. Getting to the Dean is exactly what I need to do, but they're

If they're stonewalling you on appointments, try showing up in person with all your documentation. It's much harder for them to dismiss you when you're standing right there. Also, consider copying the university's legal counsel on any written communications - that often gets attention quickly when there's potential liability involved.

The same EXACT thing happened to my nephew!!! His school got bought by some bigger university and they COMPLETELY messed up his financial aid. He ended up having to take out an extra $7k in loans that we weren't expecting. The whole system is rigged I swear. Good luck but don't get your hopes up :/

Oh no, that's what I'm afraid of. We really can't afford any additional loans - we're already stretched thin with my other kid starting community college this year too.

Have you tried reaching the Federal Student Aid office directly? I had to do this last year when my FAFSA was incorrectly processed after a similar institutional change. \n\nThe challenge is their phone lines are constantly busy. After wasting days on hold, I finally used Claimyr (claimyr.com) to get through. They have a service that holds your place in line and calls you when an agent is available. Saved me hours of frustration. They have a video showing how it works: https://youtu.be/TbC8dZQWYNQ\n\nOnce I got through to FSA, they were actually really helpful and explained my rights in this situation. They confirmed that the new school should be honoring the original aid package since it was their administrative error during a transfer/merger. They also helped me file a formal dispute.

Thank you for this suggestion! I've been trying to reach FSA for days with no luck. Will definitely check out that service - at this point I'd try anything to get this resolved quickly before we have to make hard decisions.

call ur congressperson!!! seriously they have staff who deal with federal agency problems and FAFSA is federal. my mom did this when i had problems with my verification and it got fixed in like 2 days after weeks of getting nowhere

This is actually excellent advice. Congressional representatives often have dedicated staff members who handle constituent services, including problems with federal student aid. A single call from their office can cut through weeks of bureaucratic roadblocks.

One more thing to consider: if your daughter has already started classes, the school may be reluctant to lose a student mid-semester as it affects their enrollment numbers and federal reporting. Use this as leverage. Make it clear that without resolution, you'll have to withdraw her immediately.\n\nAlso, request to see the specific regulation or policy they're citing that requires reprocessing the FAFSA due to the institutional merger. There may not actually be one - often these situations are the result of administrative confusion rather than actual federal requirements.\n\nKeep us posted on your progress. This situation is frustrating but resolvable with persistent advocacy.

Thank you - that's a good point about their enrollment numbers. I'll definitely ask for the specific policy they're following. Will update once I make some progress!

btw if ur looking at community college as a backup DON'T FEEL BAD!!! my kid did 2 yrs at community then transferred and saved like $30k and got the SAME DEGREE in the end!!

That's reassuring. I'm definitely considering it as our backup plan if we can't get this resolved. The hardest part would be telling her she has to leave all the friends she's just made. 😞