A Republican-backed bill aimed at stopping identity fraud in federal student aid passed the U.S. House this week, requiring the Department of Education to screen applicants for potential identity fraud before aid is disbursed. The measure, called the No Aid for Ghost Students Act, passed 249–172 with support from dozens of Democrats. The bill would largely codify a fraud detection system the Education Department launched in April. Under that process, applicants flagged as high fraud risk must present government-issued IDs before receiving federal financial aid. The bill’s proponents cite repeated cases of scammers using fake identities to apply and enroll—often at community colleges—then redirecting aid. One cited data point: in the first quarter of 2026, 116 institutions in the California Community Colleges system disbursed more than $1.9 million in financial aid to fake students, and the system has lost about $30 million since 2024. Education officials previously said the approach helped prevent $1 billion in federal financial aid fraud and trained the department’s systems for identifying potential fraudsters. If enacted, colleges could see more consistent screening requirements tied to FAFSA processing.