Confusion, delays and strain are continuing to pile up in college and university financial aid offices following staff reductions at the Department of Education, according to the latest survey conducted by NASFAA, or the National Association of Student Financial Aid Administrators.
The July survey found that 72% of institutions reported declines in responsiveness from the Federal Student Aid Office since the Trump administration began downsizing the department, an increase from 59% in May.
The NASFAA survey collected over 500 responses from financial aid professionals.
One of the chief complaints lodged at the Federal Student Aid Office was increased processing times. Nearly two-thirds (64%) of financial aid officers stated they experienced a longer processing time than usual, up from 49%. One-third of respondents said they’ve received no response at all.
Respondents cited several more challenges:
- 53% stated they had issues connecting with federal call centers
- 47% experienced disruptions with the National Student Loan Data System
- 43% of institutions confirmed that their regional Federal Student Aid office had closed
- 39% report gaps in the critical support regional offices once provided.
As a result, nearly one-quarter of respondents are redistributing staff duties or deferring tasks to manage an increasing workload.
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“The results of this survey show the cracks in service and communications are widening, and office operations in support of students and families are strained,” said NASFAA president and CEO Melanie Storey.
Over half of all financial aid offices reported that students are receiving confusing or delayed information from the Department of Education or Federal Student Aid. Several financial aid officers noted that more students who contacted the department experienced long hold times and unhelpful support.
“If federal service channels don’t stabilize soon, the nation’s student aid system could become less accessible, less predictable, and less trusted—at the very moment students and families need it most,” Storey said.
