Transaction numbers show the number of times the student's information has been processed. New transactions can be caused by corrections done by either the student or a school, or they can be caused by automatic functions in Federal Student Aid, such as a change in the reported loan information and status with the National Student Loan Data System (NSLDS).

Each time a FAFSA or a correction to a SAR/ISIR is processed, a transaction number is created. For example, when the initial FAFSA is processed, transaction 01 is created. When a correction to the Student Aid Report (SAR) is processed, transaction 02 is created. When another correction to the SAR is processed, transaction 03 is created.

Note: If a correction is made to a transaction prior to the latest one, then all the other information on the previous transaction, as well as the correction, replaces the most current information. For example: The student has 5 transactions already on file. The student decides to correct transaction 03. The corrections to transaction 03, plus all the other information on transaction 03 creates transaction 06. This could undo any corrections to transactions 04 and 05.