How does financial aid fraud still happen?

Paying for College
1

I’m a long time lurker and throughout the forums and threads of college confidential, I have seen countless posts that ask something along the lines of “what if I lie about _______”

Lying on financial aid forms is almost always fraud. However, I was wondering how do people still get caught committing fraud when everything is checked through a process called um, VERIFICATION. I’m going to attend a school that asked for both the FAFSA and CSS Profile. Prior to giving me an official award notice, they asked for both my and my parents tax transcripts in order to verify the information that my family and I reported.

I’m assuming that if there was something fishy on my fafsa or CSS profile regarding assets or income, they would have contacted me immediately. This all brings me to my question, if schools ask for supportive documents (transcripts, tax returns, w-2’s, bank statements etc.), as part of your financial aid application, how does someone commit financial aid fraud?

2

People are dishonest. Enough said.

3

I understand that people are dishonest. But I am wondering how do people still get charged with fraud even though everything gets verified before an official award is given? Wouldn’t the school just look at the tax returns and see that the family under reported there income and fix it accordingly or maybe decide to not give any aid to the family? If no money is received, how is it fraud?

The only way I see that one can commit fraud is my either committing tax fraud or identity theft first, or submitting fabricated supporting documents. If you submit official documents of everything the school is asking for, how could there be fraud? @thumper1

4

moderators note

As log as you are good and are honest it is all good. We are not in the business of telling people how to cheat on their financial aid so shutting thread down.