According to Federal Student Aid, an individual who has been incarcerated is indeed eligible for financial aid once they are released. You can apply for financial assistance before release to avoid delays in receiving support when school starts. Even if the individual is not eligible for federal student aid, there is the opportunity for assistance from the state or the school they choose. You are still eligible for financial aid if you are on probation or parole. A formerly incarcerated person is not qualified for aid only when they have been convicted of a forcible or nonforcible sexual offense.