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Posted on 09.27.07 by Todd Johnson 1 Comment

Increased financial aid available from the federal government

President Bush today signed legislation today that will help low income and middle income students pay for college. The amount available under the Pell grant will increase over the next 5 years from the current $4,310 to $5,400 a year. While it is also helpful to have more money available for the Pell grant which is for the lowest income families, the reality is that the increasing costs of college will more than offset any minor increase in the Pell grant.

The other part of the legislation decreases the interest rate on federally backed student loans from the current 6.8% to 3.4% over the next 4 years. This is a direct benefit to those students who borrow to pay for their college education. While the benefit from this legislation will most likely be touted by both sides as evidence of their commitment to higher education, I would like to see even greater contribution to higher education by the federal government. Higher education is so critical today that it is incumbent on the government to be fully involved in helping students afford this education. Will it potentially increase taxes? Yes, but one of the critical jobs of the government is to help educate its populace. I think this is money well spent.

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Categories: College Admissions Counseling, College Financial Aid Tags: college admission consultant, College Financial Aid

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Todd Johnson

Todd Johnson is the founder of College Admissions Partners. Todd regularly teaches other independent college admissions counselors and is the country's leading expert in BS/MD admissions. He is also the author of a best selling book on BS/MD admissions.

Comments

  1. Poly Muthumbi says

    December 3, 2007 at 8:22 am

    Let us face it, education is expensive and it needs a lot of financing. For that reason Federal Financial Aid is important and is available for anyone in need of financial help. Details about Federal Financial Aid is available online, be on the look out on it and you will find a means for funding your education.

    Poly Muthumbi is a Web Administrator and Has Been Researching and Reporting on Student Loan Consolidation for Years. For More Information on Federal Financial Aid , Visit Her Site at FEDERAL FINANCIAL AID

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