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What is Overaward

Date: Tue, 09/06/2005 - 14:31
Submitted by 4u.bryan on Tue, 09/06/2005 - 14:31
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Overaward is a very common incident, but not all of us are aware of it. I have collected some information on this topic and I believe it will help our community.

Overaward occurs when, by any chance, the amount of financial aid received by a student and other resources like expected family contribution exceeds the cost of attendance for the award year. It may happen for the following reasons –
  • Student's income – The student's earning is greater than the award FWS.

  • Lesser cost of attendance – The student can opt for a different course which was not mentioned in the FAFSA or there might be some reduction in campus expenses.

  • Personal resources – The student has resources much more than those mentioned in the FAFSA.

  • Administrative Error – Financial Aid Administrator can make some unwanted mistake in calculating the award.

  • Fraud – The student purposefully has hided some information.

The administrator issues a separate bill to notify the student about the occurrence of overaward. This may happen in case of Federal loan or Federal Grant allocation. Generally the grants are not paid back, but an overaward should be repaid always.

Sometimes the overaward is adjusted from the undisbursed aid. In that case, students face a tough time during next academic year.

If an overaward takes place due to fraud, it may continue with legal proceedings.

Regards,
Bryan


Hi college-goer,

Welcome to forums. FWS stands for Federal Work-Study, it is also an award provided by federal government. This program helps graduate and under graduate students with part time employment in the academic year.

A part of the salary is paid by the federal government, thus encouraging employers for hiring students as it won't be expensive for them too.

FWS is a need-based program; the eligibility solely depends on the need analysis process.

For further information, please feel free to post in the forums.

Regards,
Bryan


Submitted by 4u.bryan on Tue, 09/06/2005 - 17:20

4u.bryan

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