View Full Version : Financial Aid/FAFSA Loophole?
awval999
10-23-2005, 07:19 PM
This message is for everyone in college/post-college that's familar with the whole financial aid/FAFSA process.
As one knows any student with parent(s) making over $35,000 with only one dependent in college will probably NOT qualify for any government based grants (PELL, FSEOG, and state grants (OSED Ohio; for example). My dad makes about $50K a year so I recieve $0 grants, but my Stafford Loan substidized. I do have a scholarship that pays for tuition but not room/board/books.
So I'm left borrowing the room/board porition, half from Direct Stafford Loan and the other half from a private bank (father co-signer). I am lucky, half of my education is free. But, what if I wanted to screw over Uncle Sam.
I marry another student. Instead of being dependent I am now independent. We both file our taxes "married filing jointly" declare random summer job earnings no more than $3000 or whatever. We automatically qualify for Pell and FSEOG. Our EFC would be 0.
Free money. Just for the $45 marriage license. What is possibly wrong with scenario?
Discuss.
cokehead
10-23-2005, 07:23 PM
Fraud?
krazyace5
10-23-2005, 07:24 PM
[ QUOTE ]
What is possibly wrong with scenario?
[/ QUOTE ]
Same sex marriages are illegal...
awval999
10-23-2005, 07:24 PM
How fraud? Legal marriage, taking advantage of legal educational opportunities given to families that have limited means of finances.
Prenup before marriage of course.
awval999
10-23-2005, 07:25 PM
/images/graemlins/smile.gif
One would obviously marry a close friend of the opposite gender.
DeadMoneyOC
10-23-2005, 07:28 PM
If it sounds too good to be true...then it probably is.
Why cant a mexican pay me to marry her so she can become a legal american? I am sure your idea would fall into the same catergory....
mmbt0ne
10-23-2005, 07:32 PM
</font><blockquote><font class="small">En réponse ŕ:</font><hr />
I marry another student. Instead of being dependent I am now independent. We both file our taxes "married filing jointly" declare random summer job earnings no more than $3000 or whatever. We automatically qualify for Pell and FSEOG. Our EFC would be 0.
Free money. Just for the $45 marriage license. What is possibly wrong with scenario?
Discuss.
[/ QUOTE ]
You can file independent without getting married you know.
awval999
10-23-2005, 07:38 PM
Not for FAFSA purposes. There are seven ways to file as an independent on FAFSA.
When you apply for federal student aid, your answers to the questions in Step 3 of the FAFSA (or in Step 2 of the online FAFSA, FAFSA on the Web) will determine whether you’re considered dependent on your parents or independent. If you’re considered dependent, you must report on the FAFSA your parents’ income and assets as well as your own. If you’re independent, you’ll report only your own income and assets (and those of your spouse, if you’re married). Not living with your parents or not being claimed by them on their tax form does not determine your dependency status.
For the 2004-2005 academic year, you’re an independent student if at least one of the following applies to you:
You were born before January 1, 1981.
You’re married as of the day you apply (or separated but not divorced).
You are or will be enrolled in a master’s or doctorate program (beyond a bachelor’s degree) at the beginning of the 2004-2005 school year.
You have children who receive more than half their support from you.
You have dependents (other than your children or spouse) who live with you and who receive more than half their support from you and will continue to receive more than half their support from you through June 30, 2005.
Both your parents are deceased, or you are or were (until age 18) a ward/dependent of the court.
You’re a veteran of the U.S. Armed Forces. (A “veteran” includes students who attended a U.S. service academy and who were released under a condition other than dishonorable. For more detail on who is considered a veteran, see the explanatory notes on the FAFSA.)
http://studentaid.ed.gov/students/publications/student_guide/2004_2005/english/general-dependency.htm
I'll kill your parents for less than whatever you'd save by being married. PM me.
Talk2BigSteve
10-23-2005, 07:52 PM
[ QUOTE ]
This message is for everyone in college/post-college that's familar with the whole financial aid/FAFSA process.
As one knows any student with parent(s) making over $35,000 with only one dependent in college will probably NOT qualify for any government based grants (PELL, FSEOG, and state grants (OSED Ohio; for example). My dad makes about $50K a year so I recieve $0 grants, but my Stafford Loan substidized. I do have a scholarship that pays for tuition but not room/board/books.
So I'm left borrowing the room/board porition, half from Direct Stafford Loan and the other half from a private bank (father co-signer). I am lucky, half of my education is free. But, what if I wanted to screw over Uncle Sam.
I marry another student. Instead of being dependent I am now independent. We both file our taxes "married filing jointly" declare random summer job earnings no more than $3000 or whatever. We automatically qualify for Pell and FSEOG. Our EFC would be 0.
Free money. Just for the $45 marriage license. What is possibly wrong with scenario?
Discuss.
[/ QUOTE ]
GOOD FOR YOU!!!
I have 4 friends, 2 gays and 2 lesbians, who did this, and then they even saved more money living in a 2 bedroom married housing on campus.
Find a Lesbian Couple and marry one of them and then get a 2 bedroom apartment on campus and split it 3 ways and let her bang your wife /images/graemlins/confused.gif
Big Steve /images/graemlins/cool.gif
KingDan
10-23-2005, 08:04 PM
I don't know if this is how it works everywhere, but if you decide what college to go to based on FAFSA...
My sister went to Georgetown and after filling out FAFSA our family only had to pay 1/2. After freshmen year this dropped a little bit, and by senior year my family had to pay for the whole thing.
jason_t
10-23-2005, 08:11 PM
I have two friends who got married so they could live in married student housing. They're now divorced.
awval999
10-23-2005, 08:15 PM
The whole point would be to get divorced after college. You would do this with one of your best 'girl'friends.
In response to the other question about Georgetown. Georgetown is a private school with their own private grants and I'm not sure how this would work. I'm just basing my little idea for the main government grants which are Pell, Fed. Supplemental, and state grants.
mslif
10-23-2005, 08:20 PM
[ QUOTE ]
How fraud? Legal marriage, taking advantage of legal educational opportunities given to families that have limited means of finances.
Prenup before marriage of course.
[/ QUOTE ]
be careful with prenups. I had one unfortunately it was done in FL (state where I was married) and not enforceable in the state I filed for divorce (Colorado) so I got screwed. /images/graemlins/frown.gif
Anyway, getting married in order to help your financial situation is pretty lame. Most of us who went to college and had to pay for it and/or deal with financial aids and loans dealt with it without getting married. I am sure you are smart enough to find a better way to deal with this.
TheMetetron
10-24-2005, 01:48 AM
[ QUOTE ]
If it sounds too good to be true...then it probably is.
Why cant a mexican pay me to marry her so she can become a legal american? I am sure your idea would fall into the same catergory....
[/ QUOTE ]
People do this. I know a few personally.
tonypaladino
10-24-2005, 02:00 AM
It's been done successfully. I know people who've done it.
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