Here’s how reduced ED staffing has hurt financial aid offices

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College and university financial aid offices are strained, underequipped and slower at assisting students with FAFSA requests since the Trump administration cut staffing at the Department of Education.

That’s according to a new survey from the National Association of Student Financial Aid Administrations, or NASFAA. The nonprofit organization representing over 29,000 financial aid professionals collected responses from 1,045 individuals from over 900 unique institutions in May.

More than half (59%) of institutions reported “noticeable changes” in response times from the Department’s Federal Student Aid Office or processing delays since March, when Education Secretary Linda McMahon cut the agency’s workforce in half.

Nearly one-third have experienced disruptions to systems related to FAFSA, undermining aid eligibility reviews and program compliance.

FAFSA-eligible students under stress

Nearly two-thirds of institutions (60%) said students have lodged an above-average number of inquiries about Department of Education or Federal Student Aid services in the last 30 days. Students are grappling with delays, misinformation or unresolved inquiries through federal communication channels.


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Facing increasing pressure, in-house financial aid offices are short on help. Nearly 50% of institutions confirmed regional Federal Student Aid offices, which assist with routine requests and troubleshooting, have closed. This has caused institutional offices to redistribute, delay or defer additional tasks—often without clear federal guidance.

As a result, “many respondents” noted longer wait times for phone support from Federal Student Aid, leaving some with no replies at all.

However, the chief concern among the financial aid professionals surveyed is the possibility that federal instability will undermine students’ access to aid and erode trust in the higher education system.

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The Trump administration has reduced staffing at the Department of Education in preparation for its eventual dissolution, which the president has pursued through an executive order.

However, financial aid experts expressed frustration over what that could mean for under-resourced students.

“It was unrealistic and foolhardy to think slashing half of the department’s staff with no plan to redistribute this important work would not result in disruption and confusion for students,” NASFAA President & CEO Melanie Storey said in a statement. “The Department must act quickly to remedy the situation before the damage to schools and students is beyond repair.”

Alcino Donadel
Alcino Donadel
Alcino Donadel is a UB staff writer and first-generation journalism graduate from the University of Florida. He has triple citizenship from the U.S., Ecuador and Brazil.

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