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Entries in University (2)

Saturday
Feb092013

University Promises to Reimburse Loans for Struggling Grads

Jupiter Images/Comstock Images(SPRING ARBOR, Mich.) -- A private, Christian university in Michigan has announced that it will help students pay back their student loans after they graduate if their income does not meet specific benchmarks.

Spring Arbor University in Spring Arbor, Mich., announced Tuesday that all incoming fall freshmen in 2013 would be automatically enrolled in its Loan Repayment Assistance Program, made available through the Loan Repayment Assistance Foundation.

“We are providing a safety net for them,” said Matthew Osborne, vice president for enrollment management at the university, which was founded in 1873.

Students who are U.S. citizens or parents who are struggling to pay educational loans will be reimbursed for their loan payments, depending on their income, by the foundation. The students in the program must work 30 hours a week, which they’ll have to prove through pay stubs. The students can stay in the program until their loans have been repaid.

The foundation said that lower- and upper-income thresholds are $20,000 and $37,000, respectively, which will factor into how much assistance will be made available to the students.

“Spring Arbor University realizes that the education debt load is a real issue students are facing,” said Malachi Crane, assistant vice president for communications. ”It’s becoming a greater issue every year. We wanted to be as proactive as possible to address the needs of students and parents to come.”

This year, tuition is more than $22,000. Next year, it will increase to more than $23,000.

“The beauty of the program structuring is that it’s like a reverse scholarship,” Crane said. “For a scholarship, you know how much you will receive in four years.  This relief shows what happens afterward.”

The liberal arts university, which has more than 4,000 enrolled students, said the feedback for the program had been positive, except for a few grumblings from some current students and alumni who are not eligible for the program.

“The institution is in a position moving forward to make this commitment, but to try to address alumni from the past is not what we were able to do,” Osborne said.

Copyright 2013 ABC News Radio

Friday
Jan272012

Obama Tackles Rising College Costs

Shahar Azran/WireImage(ANN ARBOR, Mich.) -- At a campaign-style rally Thursday, President Obama told an energetic crowd of students that colleges have a responsibility to control tuition costs because a higher education, “is not a luxury; it’s an economic imperative that every family in America should be able to afford.”

“We can’t just keep on subsidizing skyrocketing tuition,” the president argued as he announced a proposal to withhold federal aid from colleges and universities that fail to get their tuition costs under control.

“We are putting colleges on notice,” he said. “You can’t assume that you’ll just jack up tuition every single year. If you can’t stop tuition from going up, then the funding you get from taxpayers each year will go down. We should push colleges to do better. We should hold them accountable if they don’t.”

The president assured the 4,000 students packed into the University of Michigan Field House that he understands the financial burden they bear.

“Michelle and I can still remember how long it took us to pay back our student loans,” he said. “I just want all of you to understand, your president and your first lady were in your shoes not that long ago.”

Last year, graduates who took out a loan left college owing an average of $24,000, according to the White House.

Thursday’s event marked the end of the president’s three day State of the Union tour, which included stops in Iowa, Arizona, Nevada, and Colorado, and was the largest by far.

Copyright 2012 ABC News Radio







ABC News Radio