But this method for granting financial support could be in for a dramatic change, as it was announced this week that colleges now can award student aid for a different reason: competence.

On Tuesday, the U.S. Department of Education sent a letter to colleges across the country permitting federal aid to be provided to students enrolled in “competency-based” programs. These programs include tests, portfolios, clinical observations and other assessments of current and prior knowledge.

This method for distributing financial support would be a significant change for schools in the U.S., but this system already has been a success at other institutions around the world.

At London’s Regents College — one of the first schools to implement this technique — financial support, and even full degrees, can be granted to students who show prior learning in certain fields. This program has become the model of success for U.S. institutions, such as Southern New Hampshire University.

On the surface, the notion of awarding financial aid using less traditional assessments seems like the next big step in the future of higher education. But, like most things that seem too good to be true, this plan has some obvious holes.

One of the biggest flaws in using “competence” as a measurement for the amount of financial aid a student receives is it works to benefit only a selective group of individuals.

Awarding students who perform well in school with additional financial aid is an idea most can agree with, but when the number of credit hours he or she takes is one of the factors taken into consideration, this concept begins to lose its credibility.

Although the Department of Education has argued that structuring aid around competence encourages students to take on new approaches to their education and spurs innovation, this method fails to take into consideration the other factors that could lead to lowered grades.

Students who take on additional responsibilities while in school, such as part-time jobs, likely are to have lower grades compared to those without those duties.

Is it even at all possible to assume the students in these positions, or those who struggle with a certain subject, aren’t taking on new approaches to their education or work as hard?

The “competence” method for distributing aid seems to benefit students who already are financially secure and have enough time to earn high marks in their courses.

Instead of being a positive step for all students, this method seems likely to widen financial gaps and put more strain on those who potentially work the most.