Important Financial Aid Updates and other Noteworthy Information:  




Emergency Broadband Benefit (EBB):

As the new academic begins, many students and families are still struggling financially because of the ongoing pandemic.  The Emergency Broadband Benefit (EBB) program may be a resource for eligible students and their families to afford internet service during the COVID -19 pandemic.  Although the EBB program is not a federal student aid program, it is a benefit offered by another federal agency that provides a monthly discount on broadband service up to $50 per eligible household. 

As with many federal programs, students and their families will need to qualify for the EBB program to benefit from its services.  For more information about the EBB program, students can access this link:


FAFSA Updates to the Selective Service Requirement and Drug-Related Convictions:

On December 27, 2020, the FAFSA Simplification Act (Act) was enacted into law as part of the Consolidated Appropriations Act, 2021. The Act makes many important changes to the Higher Education Act of 1965 (HEA) and the Free Application for Federal Student Aid (FAFSA®). Two significant changes are listed below:

  • The requirement that male students register with the Selective Service before the age of 26 to be eligible for federal student aid under Title IV of the HEA (Title IV); and
  • Suspension of eligibility for Title IV aid for drug-related convictions that occurred while receiving Title IV aid.

2021-2022 Award Year

For the 2021-2022 award year, for which the FAFSA cycle has already begun, the Selective Service and drug conviction questions (as well as the option to register with the Selective Service via the FAFSA) will remain on the FAFSA. However, failing to register with the Selective Service or having a drug conviction while receiving federal Title IV aid will no longer impact a student’s Title IV aid eligibility.

2022-2023 Award Year

Similar to the 2021-2022 award year:

  • The Selective Service and drug conviction questions (as well as the option to register with the Selective Service via the FAFSA) will remain on the FAFSA.  However, failing to register with the Selective Service or having a drug conviction while receiving federal Title IV aid will no longer affect a student’s Title IV aid eligibility.

2023-2024 Award Year

For the 2023-2024 award year, the U. S. Department of Education plans to completely remove both the Selective Service and drug conviction questions from the FAFSA, as well as the option to register with the Selective Service via the FAFSA.


Repeal of the 150% Direct Subsidized Loan Limit (SULA):

 The Department of Education (ED) recently announced that the 150% Direct Subsidized Loan limit, or “SULA” is being repealed.  What exactly does this mean for students? Here is a brief summary:

  • For students who receive Federal Direct Subsidized Loans first disbursed on July 1, 2021 or later, SULA restrictions do not apply, regardless of the award year associated with the loan.
  • For students whose interest subsidy benefits were lost due to having a remaining eligibility period of zero or less, subsidy benefits will be restored for all subsidized loans with outstanding balances on July 1, 2021. The interest subsidies will be retroactively applied for all subsidized loans issued since the 2013-2014 award year.
  • Direct loan entrance counseling will no longer be required to include information on the eligibility limitation of subsidized loans based on a borrower’s subsidized usage period.
  • Direct loan exit counseling will no longer need to include SULA information, including:
    • How a borrower’s maximum eligibility period, remaining eligibility period, and subsidized usage period are determined;
    • The sum of a borrower’s subsidized usage periods at the time of exit counseling;
    • The consequences of continued borrowing or enrollment;
    • The impact of the borrower becoming responsible for accruing interest on total student debt;
    • That the Secretary will inform the student borrower of whether he or she is responsible for accruing interest on his or her Direct Subsidized Loans; and
    • That the borrower can access the National Student Loan Data System (NSLDS) to determine whether he or she is responsible for accruing interest on any Direct Subsidized Loans.

The repeal of SULA has many benefits for students.  As an example, students who had outstanding loan balances and had lost their interest subsidy will benefit from the retroactive restoration of their interest subsidy, and future students will no longer need to make decisions based on the potential loss of their interest subsidy.

Annual Student Loan Acknowledgement Requirement

 Beginning with the 2022-2023 academic year, all student loan borrowers will be required to review how much they owe in federal student loans and to acknowledge the amount borrowed on a yearly basis. This requirement, known as the Annual Student Loan Acknowledgement, is mandated for all first-time federal student loan borrowers and those with existing federal student loans.  It will be required for all Direct Loan borrowers who have accepted one of the following loans for the 2021-2022 school year:

  • Direct Subsidized Loan
  • Direct Unsubsidized Loan
  • Direct PLUS Loan

The Office of Financial Aid will not be able to post anticipated aid, or disburse loan funds, to student billing accounts if the Annual Student Loan Acknowledgement is not completed.

Note: The Annual Loan Acknowledgment Requirement does not fulfill entrance loan counseling or PLUS credit counseling (required for certain PLUS Loan borrowers).   For a Direct PLUS loan made to a parent borrower, only the parent (not student) is required to complete the annual loan acknowledgment.  

Undocumented Students

State law, enacted by the Connecticut General Assembly, allows undocumented students to apply for institutional financial aid.  These students must meet certain age, residency, and criminal history requirements along with an affidavit provided to Charter Oak about their intent to legalize their immigration status when they are eligible to do so.  This new law does not apply to non-immigrant visa holders. 

Tax Return Transcripts

Moving to better protect taxpayer data, the Internal Revenue Service has implemented a new format for tax return transcripts that will redact personally identifiable information (PII). Identifying information, including names, addresses, SSN’s, will now be partially redacted from the tax return transcript, but all money amounts will be visible.

Based on the limited information that will now be displayed on the tax return transcript, students are required to reference their name and student id on their tax return transcript before sending it to the Office of Financial Aid. This is the only way that our office will be able to match the tax transcript to the student’s financial aid record.

Students who do not want their financial aid delayed are encouraged to use the IRS Data Retrieval Tool (DRT) to transfer their tax data onto their FAFSA application. Students who cannot use the IRS DRT, or choose not to use the IRS DRT, will be responsible for providing their full name and student id on all transcripts (student/spouse/parent) submitted.


The IRS DRT is available for students to use when completing their FAFSA application. Additional security and privacy protections have been added to address identity theft concerns. Due to these concerns, tax information transferred from the IRS onto the FAFSA application won't be visible to applicants. Students will see "Transferred from the IRS" in the appropriate fields as shown below:

Screen shot of FAFSA page indicating 'You have successfully transferred your 2016 IRS tax information' and showing three FAFSA questions with 'Transferred from the IRS' next to them.

Federal Pell Grant Program - Duration of Eligibility

Once you have received a Pell Grant for 12 semesters (full-time), or the equivalent, you are no longer eligible for additional Pell Grants.

  • You are eligible to receive a Pell Grant for up to 12 semesters or the equivalent. If you have exceeded the 12-semester maximum, you lose eligibility for additional Pell Grants. Equivalency is calculated by adding together the percentage of your Pell eligibility that you received each year to determine whether the total amount exceeds 600%.
  • For example, if your maximum Pell Grant award amount for the school year was $5,550, but you only receive $2,775 because you were only enrolled for one semester, you would have used 50% of your maximum award for the year. If in the following school year, you were enrolled only three-quarter time, you would have used 75% of your maximum award for that year. Together, you would have received 125% out of the total 600% lifetime limit.
  • Learn more about the Pell Grant limit.