Ugh, thats a real nickel and dimer there. Wouldn't all the other denied apps cover that expense?
As for me - hasn't happened yet, in fact I think the GSB doesn't charge me . The letter I got telling me what to do was pretty clean, and didn't include sending money for a background check. Generally speaking, people think of background checks as someone "confirming" all this stuff with someone else. Really, its more they confirm what isnt the case than what is.
Typically, background checks at companies will include the stuff below - I dont imagine its terribly different for schools
* A credit check
* A criminal background check (and before anyone asks, no, that drug misdemeanor charge you had in 1995 isn't an issue. They are looking for violent crimes that could place people at risk. Rape, assault, battery, etc.)
* Occasionally they'll run public records (eg are you being sued by someone for something? I doubt schools do this)
* Employment verification (this is actually fairly rare believe it or not)
* Education verification (duh)
Thats pretty much it.