Daily Aid 27: Give a little help to your friends

21 October 2008 1 views No Comment

Daily Aid 27: Give a little help to your friends

Student Financial Aid News

It’s prime college-visiting season for the high school class of 2009, which next fall will send the greatest number of graduates on to college in American history. But the souring economy and crisis on Wall Street are shrinking families’ college savings, and some parents wonder whether they will be able to afford tuition at the schools their youngsters are looking at. Around the country, students deciding where to apply may have to scale back their dreams. Some private schools worry they could lose business to public universities. Already, federal loan applications are up, and some schools are seeing more aid inquiries.

Commentary

It would not surprise me in the least to find out that state schools and other lower cost institutions are going to face record applications and competition for a relatively few coveted slots. As competition increases, those schools who guarantee enrollment to all qualified applicants may need to change policy or radically increase the number of seats available.

As for scaling back dreams, I continue to advocate for the idea that the bachelor’s degree is largely “brandless” in that its value is a commodity now, with so many students earning degrees. Whereas a bachelor’s degree from a name brand school 10 years ago might have gotten you in certain doors, today those doors are only open for students who bring something more besides just a degree.

As such, paying extra for a commodity makes no sense. If you can buy an iPod for $99 at Walmart or the same iPod for $199 at a top name brand department store, why would you pay more for the same thing? A college degree isn’t an iPod, true, but there are plenty of outstanding schools and experiences waiting for those who are willing and able to look beyond brand.

As always, the Student Loan Network will be here to help you as best as we can, not only with student loans, but also with our many free student resources.

From the Wall Street Journal:

State budget deficits are forcing already cash-strapped public universities to increase tuition, lay off employees and, in some states, cut enrollment.

The crisis couldn’t come at a worse time. More families are opting for state institutions as college tuition has soared, and the credit crisis has made it harder to get student loans. At the same time, college enrollment is expected to swell as laid-off workers retool and a record number of students graduate from high school.

Commentary

Expect state budgets to take a hammering in 2009. State budgets always lag the general economy because things like tax receipts are delayed by quarters or even years. 2009 will not be a pretty year for state budgets or state higher education. Expect tuition to increase, in some cases dramatically, as state schools need to fill gaps left by budgets.

If you want to reduce the impact, you need to band together with as many fellow students as possible and advocate heavily for your school by petitioning your state elected representatives repeatedly. Legislators prioritize to some degree on input by constituents, but enough noise can make them move at least a little. It’s unrealistic to think that higher education budgets will escape unscathed, but with a strong enough campaign, at least the damage can be mitigated. Set up a Facebook group to coordinate your efforts!

From TomDispatch:

Rates of stress, depression, and suicide invariably climb in times of economic turmoil. As Kathleen Hall, founder and CEO of the Stress Institute in Atlanta, told USA Today’s Stephanie Armour earlier this year, “Suicides are very much tied to the economy.”

Commentary

There is a real, human cost to economic turmoil. As the economic crisis continues, please be on the lookout for fellow students, coworkers, family members, and colleagues. Simple things like a pot luck dinner one night at someone’s apartment can make a world of difference and be the deciding factor between whether someone chooses to continue or gives up everything. As much as you can, reinforce your local community and social circle by letting people know you’re willing to lend a shoulder to lean on and an ear to listen. If you’re in a bad situation yourself, please go talk to someone. There are plenty of open options like the Samaritans who are willing to lend an ear, and even more in your many social networks.

We’re facing a bad time, unquestionably.

No one said we have to face it alone.

Scholarship Update

Micron Science and Technology Scholars Program. The Micron Science and Technology Scholars Program is a merit-based scholarship competition recognizing excellence in academics and leadership. Each year, the program awards a $25,000 college scholarship to six high school seniors for a total of up to $150,000. One male and one female student is selected from each of the following states: Idaho, Utah and Virginia.

.

Did you enjoy this? If so, please consider subscribing for free to get it delivered to you. Subscribing for free means you don’t have to remember to download it every day.
+