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The College Board's Advocacy and Policy Center reports that "too many students are borrowing more than they are likely able to manage" and this is particularly true for black undergraduates. According to researchers, fully 27% of black BA recipients borrow more than $30,000 for college, compared to 16% of white BA recipients. The gap is especially large among independent students (those who are a bit older, are parents, or independent for other reasons)-- more than 1 in 3 black independent students who earn BA's graduate with high levels of debt, compared to less than 1 in 4 white independents. This is a trend we need to know more about. There have been a few articles written about race differences in college financing patterns and receptivity to financial aid, but none have been especially adept at sorting out the underlying reasons for variation by race/ethnicity. Are the patterns attributable to factors which map onto race in this country (e.g. pov...

Friday's Chronicle reports on a new study that points out how difficult it can be to identify which colleges and universities have no-loans policies designed to enhance affordability. Author Laura Perna and her colleagues find that the majority of elite institutions with these policies fail to advertise them in ways that are accessible to low-income students and families-- effectively maintaining their status as "bastions of privilege." The researchers then go on to make several helpful suggestions about how colleges could change their tactics to increase awareness and uptake of their progressive efforts. But they could've gone one step further and discussed the incentives colleges have to maintain the status quo-- that is, to continue making their current and former students and staff feel good with liberal actions, garnering attention in elite venues such as the New York Times , without fundamentally changing their overall enrollment demographics or costing too mu...

Since 1958, the Federal Perkins Student Loan Program has been providing low-interest loans to needy students via campus-based revolving funds. More than 600,000 students (mostly undergraduates with family incomes under $30,000) receive a Perkins each year. The current Perkins differs from other federal loan programs, most notably the Stafford, because it is subsidized (the interest doesn't begin accruing until 9 months after graduation) and has a lower interest rate (5%, compared to the 6.8% Stafford). The Student Aid and Fiscal Responsibility Act (SAFRA) would change the Perkins in some notable ways, not all of which are clear improvements. The proposed changes are rather intricate, and as I've spent a fair bit of time puzzling over them lately I want to bring some of my nagging questions to this wider audience in an effort to gain some insights and answers. (In full disclosure, the financial aid officer at my university, Susan Fischer, is a vocal opponent of the changes. ...