By Andrew Kreighbaum
The Education Department this week issued recommendations for colleges to improve the transparency of financial aid offered to students. The department’s guidance suggests college financial aid offers should:
- Avoid referring to financial aid offers, which can include loans and Federal Work-Study, as “awards.”
- Include the full cost of attendance.
- List grant aid, loans and work-study separately.
- Avoid listing Parent PLUS loans with other student loans.
- Include next steps for students and families after they receive their aid offers.
Those items largely reflect the recommendations of a report last year from New America and uAspire, which found that financial aid offers from colleges used inconsistent terminology and often failed to … (continue reading)