Financial Aid Bait and Switch

I have always hated front-loading more then anything. Technically if the school is honest and discloses this upfront it would be considered legal.

Front Loading Financial Aid: As a freshman you get offered the highest grant/scholarship amounts and then it decreases as you progress in school.

Is it bait and switch? Yes!

Many colleges are driven by recruitment and enrollment. Making a front loaded financial aid offer is often beneficial for recruitment. If you get a better first year offer then another college you are likely to choose the one that offered you the most money. Then in years 2/3/4 the awards decrease and you may find the initial front loaded offer is not as appealing in year 2/3/4.

Many colleges see heavy transfer rates and low rates upon which a student who enrolls as a freshman graduates that same college. These colleges face fiscal pressure to recruit heavily to replace the large percentage who leave.

Finding out what the retention rates of a potential college is important or should be in making a decision of what college to attend. Check out the College Navigator to find the statistics on a potential college.

College Navigator

http://nces.ed.gov/collegenavigator/

What to do?

1) When you get an offer ask the Financial Aid Office if the awards get lower as you progress in college.

2) Ask is the award renewable?

3) Ask what are the requirements to keep an award?

4) Choose a college that has solid retention percentages, that is not so driven by recruitment.