Navigating the college financial aid process is often difficult, but it’s been especially taxing on some students recently.
Delaware State University’s Executive Director of Student Financial Services Janet Lynn Iocono says her office has seen some of the issues firsthand.
[audio:http://www.wdde.org/wp-content/uploads/2013/03/DSU-Finanical-Aid-CSeg.mp3|titles= Listen to WDDE Morning Edition host Susan Geary's interview with DSU Exec. Dir. of Student Financial Services Janet Lynn Iocono.]
Last fall, a large number of credit-based Parent PLUS loans were denied as requirements became stricter. The loans allow parents to borrow money for tuition, room and board, books, and other school related expenses for their kids to attend school.
Students at Historically Black Colleges and Universities were hit hardest with an estimated 14,000 loans being denied.
Iocono says some parents were able to successfully able to reapply for PLUS loans, but now federal sequestration is creating another set of issues.
“We have a lot of students who have TEACH grants and those funds have been reduced and those funds will be reduced going into the next academic year.”
Iocono adds some other supplemental grants are being reduced by the sequester
Iocono notes that these issues haven’t had an impact on DSU’s enrollment yet, but a majority of the school’s students depend on financial aid.
“Even though our tution is extremely competitive, well over 76% of our students have to borrow at some point to meet not only our tuition, but living expenses. Those costs have increased over time and so students have to borrow for that,” said Iocono.
DSU’s full time tuition foe the current school year was about $7,300 per year for in-state students and $15,700 for out-of-state students.