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Hartford, Connecticut Sean Pavone | Istock | Getty ImagesWhen it comes to improving access to higher education, each state is largely left to its own devices. Connecticut, for example, recently rolled out several programs to establish pathways to college and lower the debt burden. Free college program"We're trying to do everything we can to make education less expensive to start with," Lamont said. Like a growing number of states, Connecticut recently introduced a free tuition program for students attending community college either full- or part-time. In Connecticut, students receive "last-dollar" scholarships, meaning the program pays for whatever tuition and fees are left after federal aid and other grants are applied.
Persons: Hartford , Connecticut Sean Pavone, Anthony Carnevale, Ned Lamont, Here's, Lamont, Joe Biden, Terrence Cheng, Sandy Baum, Baum Organizations: Istock, Georgetown's Center, Education, Workforce, CNBC, Free, Finance, Harvard, State Colleges, Urban Institute's Center Locations: Hartford , Connecticut, Connecticut, , Connecticut
When President Joe Biden unveiled the details of his Plan B for student loan forgiveness, he revealed that his hope to make some college free was not dead. "I also want to make community college tuition free so you don't need loans at all," Biden said after including free community college as part of his $7.3 trillion budget for fiscal 2025. "Student loan forgiveness is a Band-Aid," said Ryan Morgan, CEO of the Campaign for Free College Tuition. "Loan forgiveness is a snapshot in time in terms of a fix," Morgan said. Alternatively, free college appeals more broadly to those struggling in the face of rising college costs, rather than after the fact.
Persons: Joe Biden, Biden, Ryan Morgan, overstepping, Morgan Organizations: Free College, Finance, Harvard
Amid arguably the worst year to apply for financial aid, some colleges are implementing new strategies to entice students wary of the high cost. Vanderbilt University announced it is expanding Opportunity Vanderbilt to include full-tuition scholarships to students of families with an annual income of $150,000 or less. Meanwhile, Dartmouth also said it is nearly doubling its current income threshold for a "zero parent contribution" for parents with an annual income of $125,000, up from $65,000. "As costs continue to escalate we think it's so important there is access," said Doug Christiansen, Vanderbilt's dean of admissions and financial aid. "I am concerned on a national level that we will have a portion that think they can't afford it," he said.
Persons: Dartmouth, Doug Christiansen, Christiansen Organizations: Vanderbilt University, Vanderbilt, Finance, Harvard, Federal Student Aid
Roughly two dozen schools have introduced "no-loan" policies, which means they are eliminating student loans altogether from their financial aid packages. "They are giving them out like candy now," said Menaka Hampole, an assistant professor of finance at Yale School of Management, of the growing number of no-loan policies. "Post-Covid more schools are rolling out no-loan policies mostly on the back of Princeton, which had the money in its endowment to do something," Hampole said. Even if a school has a no-loan policy, that also does not prevent a student or family from borrowing money to help cover their contribution. "No loan doesn't mean free," said Robert Franek, The Princeton Review's editor in chief and author of "The Best 389 Colleges."
Persons: Menaka Hampole, Hampole, Colin Hatton, Hatton, Robert Franek, Nicole Hurd, Hurd, Biden, Terra Gallo, Gallo, Colby, Jackie Hardwick, Hardwick, Randi Maloney, Franek Organizations: Yale School of Management, Princeton, Nationwide, Lafayette College, Finance, Colby College, Colby, The Princeton Locations: Easton , Pennsylvania, Lafayette, Waterville , Maine, Jacksonville , Florida
Our experts answer readers' student loan questions and write unbiased product reviews (here's how we assess student loans). AdvertisementAdvertisementAs of October 2023, student loans payments are back, but there are options if you can't afford them. As of October 2023, monthly payments are once again due on federal student loans after being paused since March 2020. Fortunately, there are solutions for people who can't afford student loan payments now. Borrowers who don't want to pay the payment on a standard 10-year repayment plan should look into income-driven repayment plans (including Biden's new SAVE repayment plan).
Persons: , Jared Costigan, Costigan, Robert Farrington, Farrington, Danny Cieniewicz, you'll, Kantrowitz, Ben Markley Organizations: Service, White, The College Investor, Hyperion, Public, More College Financial
If picking a college comes down to the financial bottom line, then an in-state public school can look like a particularly good deal. "In-state tuition is half to two-thirds lower than out-of-state," said higher education expert Mark Kantrowitz and author of "How to Appeal for More College Financial Aid." These days, that goes a long way as students and their families grow increasingly wary of the cost of a degree and hefty student loan debt that often comes with it. More from Personal Finance:How to decide if you should go back to schoolMore middle-class Americans struggle to make ends meetBiden’s student loan forgiveness plan heads to Supreme CourtTuition and fees plus room and board for students at four-year private colleges averaged $53,430 in the 2022-23 school year, according to the College Board. In comparison, in-state students at four-year public college paid $23,250, on average; for out-of-state students, it was $40,550Over the last decade, tuition and fees actually fell by 1% at public four-year institutions while rising by 6% at private, four-year schools, the College Board found.
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