The market for student loans may differ in some respects from other financial markets, but private lenders are the primary source of funds. As in other markets, the incentive to lend those funds comes from the ability to make a profit. But recent turmoil in financial markets is affecting all of the factors that contribute to the profitability of…

Meaningful access to higher education is a cornerstone of economic opportunity. Higher educational attainment strengthens the workforce, increases earnings, and often leads to a better quality of life--for individuals and the broader society. Limited financial aid, however, undermines Texans' participation and success in our colleges and…

In an ongoing debate about the relative costs of the federal government's direct and guaranteed student loan programs, some budget experts and private lenders have argued for the use of "market cost" estimates. They assert that official government cost estimates for federal student loans differ from what private entities would likely charge…

Several months into a credit crunch that has led at least 20 lenders to leave the guaranteed loan program or suspend their lending operations, lawmakers have begun to respond with a sense of urgency, even as they seek to reassure students and parents that a crisis is unlikely and that federal student loans will still be available this fall. In the…

The constant flow of alarming economic and business news, rapidly declining endowments and potential disruption to the student-loan industry have all beaten down optimism about higher education's financial and strategic outlook. Universities large and small have announced budget cuts, layoffs, salary freezes, capital spending slowdowns and other…

Parental expectations have long been studied as a factor in increasing adolescent educational aspirations, often linking these expectations to parental level of education and involvement in academic endeavours. This study further explores this relationship in a statewide Midwestern sample of parents and their adolescent children. Regression…

Under the current economic environment and its high levels of unemployment, many people are turning to university education to attain higher education or simply to upgrade their skills and avoid continued unemployment. This paper examines student workloads, debt levels, and the debt perceptions of junior- and senior-level College of Business…

Minority-Serving Institutions are colleges that enroll a high percentage of minority students. Because minority populations have experienced disproportionate barriers to higher education, the federal government provides them with financial support through various titles of the Higher Education Act. MSIs include Historically Black Colleges and…

It is widely believed that starting public school teacher salaries are too low, and student loan burdens are too high. If true, everyone could be facing a situation in which recent college graduates cannot afford to go into teaching because they will be unable to repay their college debts. Public policies are already being formulated on the basis…

The Secretary amends title 34 of the Code of Federal Regulations to establish regulations for the Teacher Education Assistance for College and Higher Education (TEACH) Grant program. The TEACH Grant program is a non-need-based grant program that provides up to $4,000 per year to students who are enrolled in an eligible program and who agree to…

On June 23, 2008, final regulations were published in the "Federal Register" to establish regulations for the Teacher Education Assistance for College and Higher Education (TEACH) Grant program. That document inadvertently included several minor technical errors. This document corrects the final regulations. These corrections are effective July…

The use of private loans to finance college education has significantly increased in the last decade. Insufficient public financial aid support, a complex federal aid application process, aggressive marketing by private lenders, and an unwillingness by some parents to borrow under the federal PLUS program are leading students to take out what can…

The authors find that college students are borrowing more and taking on riskier forms of debt than ever before. If tuition increases continue to grow faster than inflation and family income and grant aid fails to keep pace, the authors project that more students will be left with few choices beyond student loans--and, increasingly, private loans.…

H.R. 3221 would amend the Higher Education Act of 1965, which authorizes most federal postsecondary education programs. It would prohibit new federally guaranteed loans from being made under the Federal Family Education Loan (FFEL) Program and would increase direct spending for the Federal Pell Grant Program and other programs. The elimination of…

Each year, more than 16 million college students and their families complete the Free Application for Federal Student Aid (FAFSA). They spend hours answering needlessly complicated and intrusive questions that undermine the fundamental goal of student aid: to help more students attend and graduate from college. In this report the Council of…