News

Browse All News Topics

2009 Brought Big Changes to Financial Aid

Dec 31, 2009

by Scholarships.com Staff

A lot has happened in the last twelve months. We inaugurated a new President, weathered a recession, and obsessed over and forgot hundreds of minor crises and scandals. College students and recent graduates have marked all these events, and have very likely also noticed some pretty sweeping changes in their financial situations.  Here are a few of the most memorable.

At the start of the year, President Obama encouraged more Americans to enroll in college, calling for the U.S. to again lead the world in college attendance by 2020.

The recession also motivated more students to go back to college, especially community colleges. Enrollments surged at two-year schools across the country. State colleges also saw increases in applications and enrollment. Along with this, financial aid applications were up in 2009, as were aid appeals.

Colleges and universities searched for creative ways to cope with the recession and the accompanying booms in enrollment and financial aid applications. Several community colleges added late night classes and many public and private colleges boosted their financial aid offerings to assist needy students.

Federal aid also underwent significant changes. Revisions to the Higher Education Act went into effect, as did new and renewed economic stimulus legislation. Pell Grants went up, as did Stafford Loan borrowing limits.  The Income-Based Repayment plan premiered, guaranteeing college graduates affordable federal loan payments, and a new public service loan forgiveness program.

Veterans' benefits were reworked in 2009, as well, and the resulting backlog of applications had students waiting weeks or even months to receive the money they needed to pay their tuition and their bills. Once the bugs are worked out, though, veterans will see an expansion of their college benefits, and in the meantime, veterans were able to receive emergency payments to help them get by.

States also received much needed cash from the government to help them minimize cuts to education while they dealt with budget crises. However, several states had to make cuts to education budgets, including state aid and loan repayment programs. California made some of the most sweeping budget reductions and the state's university systems were forced to cap enrollment and hike tuition over 30%.

As we look toward 2010, more changes appear to be underway. Congress is (still) considering changes to federal loan programs and the creation of a consumer financial protection agency, and recently passed credit card legislation will soon go into effect. States and colleges are still struggling with fallout from the recession and may alter their financial aid offerings more in the next year.

Going to college doesn't have to break the bank or saddle you with tens of thousands of dollars in student loan debt. Check out the Scholarships.com free college scholarship search where you’ll discover you qualify for hundreds of thousands of dollars in scholarships in just a few minutes, then apply and win! It’s that easy!

Discuss

Share your thoughts and perhaps thousands of students will benefit from your unique insight on the subject!



If you can read this, don't touch the following fields


 

Most Shared Articles

What do spring college scholarships bring? Potentially thousands of dollars in free college money to help foot your college tuition bill! Whether you are relaxing over spring break or heavy into spring cleaning, don't forget to do your academic and financial aid housekeeping. Explore these spring-centric awards, as well as college scholarships with spring 2017 deadlines. Or if you prefer, conduct your own free college scholarship search here: [...]

0 months ago 1 comments Read More

March is National Women's History Month, and while we observe and celebrate the many females that brought forth change and exemplary contributions to our society, we want to give you some opportunities to pursue your dreams - without the financial burden. Ladies, check out these scholarship opportunities reserved for women only: [...]

0 months ago 0 comments Read More

Hundreds of Middlebury College students turned their backs on, and shouted down a prominent and controversial writer and scholar, Dr. Charles Murray, preventing him from giving a public lecture. The violent attack on free speech left one college professor injured and Middlebury’s President disappointed with the "deep and troubling divisions that were on display [that] night." [...]

0 months ago 19 comments Read More

Two University of Washington professors are calling out "fake news" and "alternative facts" in defense of the scientific community with their new course "Calling Bullshit In The Age of Big Data." Students, as well as the general public will have the opportunity to learn how to "detect and defuse" bullshit. [...]

1 months ago 2 comments Read More

One Faculty Master is keeping his free cookie tradition strong for College House residents, even while he's on sabbatical. Every Wednesday at 10 p.m., freshman line up Master Dennis DeTurck's apartment for a sweet snack and the singing of show tunes. This is only one example of the many food-centric traditions found at the university. [...]

1 months ago 0 comments Read More

Fighting crime is no easy task and is not meant for everyone. Careers in criminal justice aren't limited to police officers. You can study to be a criminal law paralegal, a crime lab analyst or even work for homeland security. If you plan to take this route, don't forget to apply for these solid scholarships to reduce debt while also doing your part to reduce crime: [...]

1 months ago 0 comments Read More

Due to Oregon's $1.8 billion budget crisis, public university leaders want funding reallocated from the Promise program to the state's need-based grant, which is awarded to low-income students who attend Oregon's public universities. [...]

1 months ago 1 comments Read More