You bring up an excellent point that used to be discussed a lot in this forum some years ago. No college is truly need blind.
AOs know a lot about the student from the info on the application. They know the address and that often is a marker for Socio Economic Status. They know parents’ occupation and education level. They know the high school. They also are familiar with the costs of activities on the EC list. They also often know if student has applied for financial aid
The GC LOR is supposed to cover things like the student being on scholarship for many programs, or working after school cutting into school life. These are favorable remarks for the student. AOs at selective colleges know what activities are “bought” for a student and what are not, and the AO abc the student are supposed to Also let the school know because this is something that is favorable in the admissions decision for the student.
Unfortunately, that is often not the case. Overworked GC who writes generic LORs, applicants who want to look as important as possible and don’t get that things like working after school , being on scholarship for programs are pluses for them. They are not aware that at the highly selective schools it can be a hook.
The problem is that this info can be construed in different ways. Colleges that are need aware in admissions have policies in place so that it penalizes Admissions office , can cost AOs their jobs if they accept students that cannot pay enough to stay within school budget. Those are the need aware schools where that need has to be a factor in putting together a class because the financial aid numbers have to work and will not if everyone is admitted in need blind basis.
Then there are the schools, most schools in fact, that do not care because they don’t meet full need for most of their students. They admit enough students that it works out. They have enough leeway.
Then there are the schools that meet full need for all students and the admissions office has three luxury of not taking need into consideration at all. At such schools, having high need can be a plus factor abc should be brought up in the application. Yes, it makes a difference that you are in the sailing team by virtue of excellence because you work part time for the marina and the coach gives you a pass on the cost and you scavenge for your supplies. That you get those rare scholarships for summer programs, get the left over slots . You get to participate after all the paying customers are accounted for, and they give out freebies. That should be an integral part of your application
I’ve been told that at some schools, large ones even , like the UC system that such challenges are actually given numeric scores to up chances of admissions m, sometimes drastically.
So this is info that should be given to the AO, that may not be presented in the best way when the high school GC is unaware and the student doesn’t want to highlight this.
It dies go against the need blind claim of the colleges because it does telegraph need, but it does so in a way where need is a positive part of the application. Just as big time development applicants get a boost for being that non need. In those, situations, IMO, no school is truly need blind