<p>Dsand8, not all colleges require a FAFSA or PROFILE for merit awards, but some do because they may take need into consideration in varying degrees in awarding these scholarships. All things equal, it could make a bigger impact on a family who just misses the financial aid cut over one who is considerably well off, when choosing who gets an award even if it is a merit award that focuses on achievement. Also the FAFSA screens families for a number of things other than financial need. Some schools want those factors kept into consideration for their merit awards; they want to uphold those federal standards.<br>
Another reason is that sometimes, a family is eligible for some government or other funds that comes to light upon completion of those forms. </p>
<p>Many say that applying early to a school does put you at a disadvantage. for the reason given. By early, I mean early decision. I don't think that early action necessarily means that the college is your first choice since many go that route to cover their safeties or as a litmus test as to where they can get in. These kids have plenty of time to decide where they will end up in college since they don't have to commit until May and are free to consider other offers that they can compare. If anything, I would say these kids may have a heads up on money since the schools may want to grab their attention and make it not so important to apply to other schools if they have a good thing in hand. Also schools tend to be more generous with the money earlier. As the pot empties, you scrape the bottom and give less generous helpings. Many college have scholarships only for the early birds, and many of the generous awards have early deadlines.<br>
Early decision is a different story. I don't believe anyone who needs or wants money should apply ED, and many experts agree. Because you are locked into an ED admit, you cannot continue the admissions process and compare offers. You have no idea what you are worth on the college market because your hunt ends with the ED acceptance. If you don't like their offer, you are pretty much stuck. Yes, you can renege on the grounds that you cannot afford the school, but you are doing so without any idea what other schools of that calibre will offer you. That may well be a generous offer. Also it is a major pain in the neck to get out of an ED situaion and the fall out can be detrimental. Not something you want to do. Though many colleges insist that they treat ED kids exactly the same as they do the RD crowd , there is an economic incentive there to not be as generous because you know that they are heavily committed. When they figure packages for desireable RD kids, they do so knowing that they are in a bidding war of sort. But even if it didn't make a difference, ED kids just never know what other money might be out there for them and how this school's offer sits with what might be.</p>