Elizabeth Guevara
October 13, 2026
KEY TAKEAWAYS
- The Department of Education is screening 2027-28 FAFSA applications to combat fraudulent “ghost students.”
- Some lawmakers and advocates say the checks could trip up real students and delay or block their aid.
- Applicants flagged as high risk must verify their identity online or at a college.
The Department of Education is screening the latest applications for federal financial aid to verify that applicants are who they say they are, and experts worry some real students will get caught in the net.
The Free Application for Federal Student Aid (FAFSA) for the 2027-28 award year opened in September, with built-in identity screening. For years, colleges and the Department of Education have been fighting “ghost students,” fraudsters who use stolen identities to enroll in college classes in order to collect student aid. AI tools and online classes have made the scheme easier to run, and in the latest twist, some ghost students are staying enrolled long enough to earn degrees, Investopedia reported last month.