A slowing economy doesn’t spare education – and everyday as I’m looking for ways to help students find money for college I’m just reminded that this is a bad year for financing higher ed.

Average wages have been flat when adjusted by ‘official inflation’ numbers for a long time, and the costs of college have been going up faster than that.  This week, ABC Money Beat is reporting that the economic problems are changing the way students find money for college and the choices they’re making once they get there.

First of all, the number of students living in the dorms is going up in a lot of colleges.  With gas prices still near $4 despite some recent drops in the commodity futures markets, there’s plenty of reason for new college students to forget about the car and walk to class;  car payments, gas, insurance, repairs.  Suddenly, a bicycle sounds like a pretty good investment – especially if there are employment opportunities on campus.  Some schools are even past their dorm capacity – but where is the money supposed to come from to build more?

Certainly not from an influx of new students living off campus and financed by student loans.  Just a few years ago the hot topic among financial aid enthusiasts was how student loans were such a bad deal.  Now that they’re in short supply, colleges are starting to wonder how they’re going to pay for their own expansion – and in some cases if they’ll even be able to get enough students enrolled in the next few years to keep their business model running.

Also, financial aid applications are up more than 15% from this time last year.  Of course, last year wasn’t exactly a great one for the economy either so this is showing that what comes out of wages and job opportunities are parents’ investment accounts during a slowdown really has an effect on how students come up with the money for their college expenses.

My recommendation to students is to focus on scholarships with twice the effort this year.  Also, make sure those financial aid applications are turned in as soon as possible – a lot of colleges disperse this money on a first-come first-served basis, and this year a lot of people are after the shrinking pile of cash to pay their growing tuition bills.

14 Responses to “Money for College in Short Supply”

  1. plz sir im poor i need help

  2. sir plz im poor i need help for my study purpose

  3. What an excellent blog. Thanks for everything you do here!

  4. Education is critical for the future. Cut back on movies and video games, but not on education.

  5. With the current economy I have noticed that budgets are getting tighter and tighter which likely end up in tuition raises. This will be particularly a concern for students who come from low-income families.

  6. i want aid please reply so i will give u details

  7. Respested Sir :
    I m Adeel. I live in Karachi,Pakistan.I m not sound Financially which is becoming a barrier infront my Education Carrer so i request the Concerned Gentlemen to help me financially.

  8. I just recently found out there is 2 levels of registering if you can send information via email: d_cruz@bellsouth.net

  9. SIR
    IM WAQAS FROM LAHORE IWANNA CONTINEU MY STUDIES BUT I CANT BECAUS OF THIS MY FATHER CANNT AFFORD IT SO BECOME AN ENGINEER SO PLS HELP ME

  10. I can not afford any finance to learn my graduate programme.Even salary is not enough for month so please inform me to learn before i become exhausted.

  11. I will be a senior this fall at The New School University in New York City. However; I can not register for my classes because I owe the school 10,000.00 from the Spring semester.
    I can earn my BFA in Musical Theatre. If there is anyone out there who is willing to help me accomplish my goal , please contact me at the e-mail address above. This is the only thing holding me back from graduating. I have a 3.80 grade point average. Please help!

  12. AS A PARENT WHO IS SAID TO MAKE TOO MUCH MONEY WITH TWO IN COLLEGE, HOW DO I GET EXTRA FUNDS FOR ONE OF MY BOYS WHO IS OUT OF STATE ? OH THEY TOLD HE HE NEEDED A COSIGNER BUT EITHER ONE OF HIS PARENTS OR FAMILY MEMBER IS ABLE TO DO FOR HIM, WHERE CAN WE TURN ?

  13. gah, I’m still paying back student loans. As a side venture I started Gear Up and Play to help pay these loans and just meet some of my bills. I really think it could help anyone earn a little extra spending money. We share 100% AdSense revenue with contributors so you get 100% of your works rewards. We are a activity based travel blog currently looking for Travelers, Backpackers, Students Abroad, and outdoor enthusiast to blog with us.

  14. It is very difficult to find a real scholarship or grants in the US without any hurdle. But if one try it is easy. In my case i am still repaying my student loan and it will take five more years to set right.

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