<p>It was probably due to Home Equity. Our USC-EFC was also higher than the FAFSA-EFC. When I inquired of the Financial Aid office, i was told that it is because of Home Equity. </p>
<p>I don't agree with the fact that USC includes Home Equity into the equation, but they do, nonetheless. </p>
<p>If you go to the "Parents" threads, you will see long long discussions about Merit -vs- Need based Financial Aid. There is no reason to start a long political discussion on this thread. It is better to just deal with it. You can always call the Financial Aid office, and request them to re-evaluate your Financial Aid package. Chances are that it won't change anything. I have a co-worker who went to Stanford, and he likewise was affected by Home Equity. Many Private (maybe it is all private) colleges currently factor in Home Equity.</p>
<p>In summary, some families are penalized for "staying put", living in one house long enough that it builds up some equity. I guess we could have done what many families do, suck the equity out of our home, and buy big SUVs, new cars every couple of years, buy a boat, take cruises and other expensive vacations, so that our home equity would be small. I know people (neighbors, relatives, and co-workers) who have done exactly that. Not for the purpose of college EFC, but because they like to spend, spend, spend. My wife and I, on the otherhand, prefer to be frugal, and save. See what it did for us, when it came to college. We got burned - just like you did. And, unfortunately, we are doing exactly what USC hopes that we will do, taking money out of our home equity (or a Parents PLUS loan) because we want our son to go to USC. At this point, it is water under the bridge. Knowing what I know now, I still don't know that I would have done anything differently. What is ironic, is that I am NOT rich. I make less than 100K, and my wife does not work at all (so that she could stay home with our kids). My home is less than 2,000 square feet, and is no fancy mansion. Both my cars are 8 years old. I have never been on a cruise. I took the family to Hawaii one time, in the last 18 years. (Look at my screen-name, and you can see what we were able to afford - we go camping on vacations, instead of going on fancy cruises, or flying to Europe). I am not complaining about what other people do. I am just not thrilled that USC does not look at the entire picture. 20 years ago, we struggled and came up with enough money to buy our house. Yes, the value has gone up. And, yes, USC now wants their fair share. Bottomline, I am thrilled to send my son to USC. If I let myself get angry about the USC-EFC, then it will just ruin the excitement of sending my son to USC. The system beat me. So, what else is new. :-)</p>
<p>I guess the good news for me, compared to you, is that my EFC only went up by a few thousand, and not by the 22,000 that yours went up. You have my sympathy.</p>