Does paying down a loan, hurt future aid?

<p>Yup. I have been playing with the demo FAFSA. For folks who file federal taxes electronically, the info will be ready to transfer to the FAFSA via the FAFSA/IRS link after just a week or two. If a family estimates for FAFSA & then goes back later after they file taxes, they can actually link & dump directly to the FAFSA. The processor will flag FAFSA’s to let aid administrators know if the tax info was directly dumped from the IRS, and they will also flag if the direct info is changed by the student/parent after the dump.</p>