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Financial Aid Displacement Advisory

Senate Bill 2995 ensures transparency in financial aid, student costs, and refund policies at Texas institutions, including SHSU.

Understanding Aid Displacement

Learn how outside scholarships and awards may impact your SHSU financial aid package. Review what aid displacement means, when it applies, and how to plan ahead.

  • The priority date for submitting the Scholarships4Kats application is November 1. 
  • Share your expected outside scholarships with the Financial Aid & Scholarships Office so we can be sure you are not negatively impacted before your aid applies to your account. 
  • Any outside aid (private gift aid) should be reported and sent to Student Account Services as soon as possible. Payment due dates are listed on the Student Account Services webpage. Typically, full payment (or first installment of a payment plan) is due one business day before the first day of class. 
  • Complete your FAFSA before February 15 to maximize your eligibility for federal and state gift aid programs.
  • Apply for scholarships when the application opens each year (September 1). Be sure to complete the application before the priority date (November 1). 
  • Financial aid displacement occurs when a student's financial aid is reduced because of additional gift aid exceeding a student's financial need or cost of attendance. 
  • The total value or the combination of any federal, state, and institutional aid, as well as any awards or scholarships received by a student, is limited to a student's financial need and cannot exceed the institutional cost of attendance (COA) per federal and state regulations.
  • This practice occurs in Texas and should be taken into consideration when applying for financial aid and receiving extra scholarships, which may cause existing grants to be reduced in order for the institution to remain in compliance.
  • Total financial aid exceeds a student's cost of attendance (COA)
  • Total aid exceeds a student's calculated financial need
  • Changes in a student's enrollment status (e.g., dropping below full-time)
  • Changes in a student's residency or eligibility status
  • Receipt of duplicate awards for the same expense
  • Failure to meet satisfactory academic progress (SAP) requirements
  • Report all private gift aid, other financial assistance, and/or other additional resources to the Financial Aid & Scholarships Office. 
  • Gift aid may not always need to be reduced. Each case is reviewed to determine how to best adjust your awards. In some rare cases, gift aid like state or institutional grants will be reduced or canceled although loans are reduced first if possible.
  • Please note: Pell Grant is an entitlement, and the Department of Education has strict regulations about Pell Grant. Scholarships are considered merit aid and will not be reduced or canceled. 

If you have questions about your options or how your aid could be adjusted, please contact the Financial Aid & Scholarships office at 936-294-1774 or visit our webpage.