Slashing college tuition looks good but might not help - New York News

Slashing college tuition looks good but might not help

Updated:

By: Celia R. Baker, Deseret News

Southern Virginia University is the latest among a spate of small private colleges to slash their sticker prices in an effort to be more transparent about costs and to attract new students.

Last week, the school announced that it is lowering tuition by 23 percent for the 2014-15 academic year. Beginning next fall, tuition will be $14,600 per year; it is $18,900 for this academic year.

Leaders at Southern Virginia University decided to change from a “high-cost/high-discount model to a low-cost/low discount model,” vice president of enrollment Brett Garcia said in a written statement.

The change at Southern Virginia University follows announcements of sticker price reductions at a growing list of small private colleges, according to Inside Higher Ed newsmagazine. The schools are cutting tuition by as much as $10,000 per year. But the cuts might not help potential students as much as they hope, the story said.

“That's, in part, because the colleges have reduced their sticker prices to about what most students are paying already, given all the scholarships and aid that colleges give to lure students to high-tuition institutions. Hardly anyone was paying the old sticker price anyway,” it said.

An example of the high-tuition/high-discount model can be found at South Carolina's Converse College. The school cut its tuition from $29,000 to $16,500 for 2014, but the average amount students are actually paying this year is only $17,000, according to Inside Higher Ed.

Administrators at Converse told Inside Higher Ed that the new pricing strategy aims to attract new students scared away by the old sticker price, and to help retain students caught in a “doughnut hole” - too wealthy to qualify for need-based aid and too poor to easily afford college.

Colleges have benefited from an ever-increasing number of high school graduates and easy availability of loan money, the story said. But now, the number of high school graduates are flattening or falling in most states and the home equity loans that helped middle-class families educate their children are hard to come by. That has colleges cutting their sticker prices to attract students who thought they were priced out.

Ultimately, the price cuts won’t drive down the cost of higher education in general, according to Inside Higher Ed. Those are driven mainly by personnel costs.


Original Post

Copyright 2013 Deseret Digital Media, Inc.

  • Local NewsLocal NewsMore>>

  • Funeral for man who died after NYPD choke hold arrest

    Funeral for man who died after NYPD choke hold arrest

    Wednesday, July 23 2014 10:46 PM EDT2014-07-24 02:46:09 GMT
    An overflow crowd packed a church on Wednesday night for the funeral of a man who died in police custody after an officer placed him in an apparent choke hold. Eric Garner's relatives stopped in front of his open casket, some weeping and wailing. A preacher opened the service at Brooklyn's Bethel Baptist Church with a mix of solemn prayer and an organ-backed gospel medley.
    An overflow crowd packed a church on Wednesday night for the funeral of a man who died in police custody after an officer placed him in an apparent choke hold. Eric Garner's relatives stopped in front of his open casket, some weeping and wailing. A preacher opened the service at Brooklyn's Bethel Baptist Church with a mix of solemn prayer and an organ-backed gospel medley.
  • Another video shows NYPD cop putting man in choke hold

    Another video shows NYPD cop putting man in choke hold

    Wednesday, July 23 2014 10:08 PM EDT2014-07-24 02:08:13 GMT
    The NYPD is investigating another apparent choke-hold incident during a recent arrest that was captured on video. The video shows a police officer putting a man in a choke hold and then punching him in the face in a subway station in Harlem, police said. A community activist said he received the new video but never had any intention of releasing it to the media.
    The NYPD is investigating another apparent choke-hold incident during a recent arrest that was captured on video. The video shows a police officer putting a man in a choke hold and then punching him in the face in a subway station in Harlem, police said. A community activist said he received the new video but never had any intention of releasing it to the media.
  • New Jersey sues over Florida pizza shop logo

    New Jersey sues over Florida pizza shop logo

    The New Jersey Turnpike Authority wants a Florida pizza shop to pay a big toll for using a logo similar to the iconic Garden State Parkway's green and yellow signs.
    The New Jersey Turnpike Authority wants a Florida pizza shop to pay a big toll for using a logo similar to the iconic Garden State Parkway's green and yellow signs.
Powered by WorldNow
Didn't find what you were looking for?
All content © Copyright 2000 - 2014 Fox Television Stations, Inc. and Worldnow. All Rights Reserved.
Privacy Policy | Terms of Service | Ad Choices