Or, it shares that information with anyone else who might see the FAFSA. I’m far more concerned about what the people to whom the FAFSA is submitted might do with that information than what my kid might do with it.
I’m not sure we count as ‘chasing big merit’- not even sure what that means. Is it full rides/room/board?- but the only merit DS is considering is probably ‘small merit’.
There’s really no need to double check our immigration status, either.
I can think of only one other reason, and it’s just an annoying one, but it exposes that information to people who might want to use it for other purposes.