FAFSA FAFSA Verification Process 3

Question 1

What is the consequence if verification reveals intentional misrepresentation on the FAFSA?

Accepted Answer

Repayment of aid received plus potential criminal penalties

Answer

Intentional misrepresentation on FAFSA can result in repayment of all aid received, civil penalties, and potential criminal prosecution.

Question 2

What is a Professional Judgment (PJ) review in the context of verification?

Accepted Answer

A financial aid administrator's authority to adjust a student's data or dependency status

Answer

Professional Judgment allows financial aid administrators to adjust data elements or dependency status based on documented special circumstances.

Question 3

How long must schools retain verification documents?

Accepted Answer

3 years after the end of the award year

Answer

Schools must retain verification documents for three years after the end of the award year in which the aid was received.

Question 4

Which statement about verification is TRUE?

Accepted Answer

Not all FAFSA applicants are selected for verification

Answer

Only a fraction of FAFSA applicants are selected for verification; it is not required for every applicant.

Question 5

A Verification of Non-Filing from the IRS confirms:

Accepted Answer

That an individual did not file a federal tax return for a specific year

Answer

The IRS Verification of Non-Filing Letter confirms only that no tax return was filed; it does not confirm income levels.

FAFSA Practice Test