She had been ill with a serious heart condition for a few months by May 1900, and she still showed some effects from a fall, so her half-sisters traveled to Brooklyn to convince her to move from her room in the home of poet Will Carleton in Brooklyn to Bridgeport, Connecticut. They urged her to live with her widowed half-sister Julia "Jule" Athington and with Jule's widowed younger sister Caroline "Carrie" W. Rider. She and Rider rented a room together, before moving to a rented apartment where they lived until 1906. She transferred her church membership from Cornell Memorial Methodist Church in Manhattan to the First Methodist Church of Bridgeport in 1904, after moving to Bridgeport. Her husband "Van" died on July 18, 1902; he had been living in Brooklyn. She did not attend the funeral due to her own poor health. Phoebe Knapp paid for his burial at Mount Olivet Cemetery, Queens County, New York.
According to Ruffin, Carleton’s book "went over like a lead balloon with Fanny’s publishers." There was nothing negative written explicitly about Biglow and Main, but there was also little praise for the firm and its members. Crosby is quoted, referring to Biglow and Main: "with whom I have maintained most cordial and even affectionate relations, for many years past". The book did not use any of her hymns that were owned by Biglow and Main. Hubert Main believed that "Will Carleton wanted to ignore the Biglow & Main Company and all its writers as far as possible and set himself up as the one of her friends who was helping her". Biglow and Main believed that Carleton and Phoebe Knapp were guilty of "a brutal attack on Fanny", and that they were plotting to "take over" Crosby. Knapp was not invited to the 40th anniversary reception and dinner held in Manhattan in February 1904 to celebrate Crosby's association with Bradbury and Biglow and Main; according to Blumhofer, she was persona non grata at Biglow and Main.
In 1904, Phoebe Knapp contacted Methodist Episcopal Church Bishop Charles Cardwell McCabe and enlisted his assistance in publicizing Crosby’s poverty, raising funds to ameliorate that situation. They secured Crosby's permission to solicit funds for her benefit, and the religious press (including The Christian Advocate) carried McCabe's request for money on her behalf in June 1904, under the heading "Fanny Crosby in Need". McCabe indicated that Crosby’s "hymns have never been copyrighted in her own name, she has sold them for small sums to the publishers who hold the copyright themselves, and the gifted authoress has but little monetary reward for hymns that have been sung all over the world".
By July 1904, newspapers reported that Crosby's publishers had issued a statement denying that she was in need of funds, indicating that she never would be, "as they have provided abundantly for her during her entire life", and stating that "Bishop McCabe … has been grossly deceived by somebody".
The matter was still not settled in July 1904; however, it came to an end before Fanny Crosby Day in March 1905 after Carleton's wife Adora died suddenly.