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Tuition Discounts Lack Effectiveness

April 5, 2012

Tuition Discounts Lack Effectiveness

by Alexis Mattera

When making your final college choice, would you choose the school touting generous tuition discounts or the institution offering the standard financial aid package? The choice may seem obvious but according to a new study, things aren’t always what they seem.

A survey of 400 private institutions conducted by the National Association of College and University Business Officers revealed tuition discounting could be losing its effectiveness as a way of luring students to colleges. Data show that though the rate of institutional discounts in the form of scholarships, grants and fellowships continues to rise – the average is predicted to hit 42.8 percent this year – 45 percent of the schools surveyed saw overall enrollment remain flat or drop and 53.2 percent saw a decline or no change in the number of freshmen they enrolled.

What do you think of the tuition discounting trend? Is it playing a role in your college decision or are other factors (location, reputation, programs of study, etc.) more important to you?


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