Welcome to Extreme Investor Network! Today, we want to discuss an important topic in personal finance: college affordability. We all know how expensive college can be, and amid arguably the worst year to apply for financial aid, some colleges are implementing new strategies to make education more accessible.
Vanderbilt University, for example, announced that it is expanding Opportunity Vanderbilt to include full-tuition scholarships for students from families with an annual income of $150,000 or less. Similarly, Dartmouth College is nearly doubling its income threshold for a “zero parent contribution” to parents with an annual income of $125,000, up from $65,000.
These initiatives are crucial as costs continue to rise, and access to higher education becomes increasingly important. In a year marked by problems with the Free Application for Federal Student Aid (FAFSA), students who are already struggling to afford college now face additional barriers, potentially impacting college enrollment rates.
At Extreme Investor Network, we understand the importance of college affordability for families. That’s why we recommend looking into colleges with ‘no loan’ policies, where student loans are eliminated from financial aid packages. Roughly two dozen schools already have these policies, promising to meet 100% of undergraduates’ financial need with grants.
However, it’s important to note that ‘no loan’ policies don’t always mean debt-free. Students may still be responsible for expected family contributions, books, fees, and even work-study requirements. Additionally, families may still choose to borrow money to cover their contributions, despite the policy.
When considering colleges, it’s wise to have a financial safety school in mind. This backup option could offer more merit-based aid and lower the total cost of education. Utilize resources like the U.S. Department of Education’s college scorecard and net price calculators to determine affordability. Having an open conversation about your family’s financial capacity early on can help set realistic expectations and guide your college choices.
At Extreme Investor Network, we believe that financial education is key to making informed decisions about college affordability. Stay tuned for more tips and insights on personal finance and investing. Subscribe to our newsletter for exclusive content and updates on all things financial. Remember, knowledge is power when it comes to securing your financial future!
