At Many Colleges Financial Aid for Low-Income Students Is Lacking

Undermining PellA report by the New America Foundation documents the real price of college for students after all financial aid is factored in. The report shows that at hundreds of state-operated institutions and private, not-for-profit colleges students from low-income families are being asked to pay college costs that are equal or exceed their families’ annual incomes. As a result, these low-income students are left with the choice of dropping out of school or taking on a huge amount of debt.

While the elite private colleges and universities have huge endowments that allow them to cover the total cost of attending for their students from low-income families, the New American Foundation report found that for students from families with incomes below $30,000, two thirds of all private colleges and universities have a net price (costs after all financial aid is included) of at least $15,000.

The report, Undermining Pell: How Colleges Compete for Wealthy Students and Leave the Low-Income Behind, may be downloaded here.

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