Veteran educational benefits no longer factored as estimated financial aid
HEOA section 480(j)(1) of the Higher Education Act was originally changed to exclude veterans education benefits as an estimated financial aid resource effective 7/1/2010. On 7/1/2009 President Obama signed H.R. 1777 making technical corrections to move the effective date to 7/1/2009 for the 2009-2010 award year. Institutions may no longer consider any Federal veterans education benefits as a financial aid resource for the student. This includes all benefits received by the veteran, his/her spouse and his/her dependent. Veteran education benefits continue to not be considered as an income source in calculating the EFC for the student. All institutions must re-review and if necessary make updates and repackage all students receiving Federal veterans education benefits for the 2009-2010 award year. Any loans already processed for the 2009-2010 award year for the FFEL or Direct Loan programs would need to be reprocessed as well if eligibility has changed.