Scott BresslerWashington University students from families earning less than $60,000 will no longer be expected to take out student loans, the University announced yesterday.
Both newly admitted students and returning students will be eligible for this new aid.
The University will instead provide those students with grants that will not need to be repaid. These grants will be funded by increased spending from funds garnered by the endowment, as well as unrestricted University resources.
“This is a part of our ongoing commitment to ensure that Washington University remains an institution that can provide an educational experience for students with moderate financial backgrounds,” said Chancellor Mark Wrighton. “We decided to reaffirm our commitment to providing financial aid.”
According to Vice Chancellor for Finance Barbara Feiner, the new initiative will cost an additional $2.5 million, in addition to the approximately $60 million that is currently spent on financial aid.
While Wrighton regards the new policy, which will take effect this fall, as experimental, he expects the University to be able to sustain it during the coming years.
“The commitment that we are announcing today is one that we anticipate will continue on into the future,” he said. “We have to look at this over a longer time frame. With the realization of gains over several years, we figured that we could sustain this.”
The permission to enact this further endowment spending came from the University’s Board of Trustees.
The University’s announcement comes in the wake of a decision made by Harvard University last year to distribute grants to families making less than $180,000 a year. While the University announced last month that it did not expect to see a significant rise in scholarship funds, now more of the endowment is available.
“We wish that we had more in the way of our endowment dedicated to financial aid, but this is a good start,” said Wrighton.
The grants may also be available to families with incomes slightly higher than $60,000 on a case-by-case basis.
“We’re going to do what it takes to honor our commitment,” said Director of Student Financial Services Bill Witbrodt, regarding the amount of money to be spent. “It is hard to predict because there are so many variables.”
But Wrighton encourages families to apply for the grant regardless of their exact earnings.
“It’s not a black-and-white cutoff,” he said. “Any student that feels a financial challenge being a part of our community should feel comfortable coming to talk to us.”
Wrighton added that he recognizes the high cost of attending the University but expects the administration to help prospective students pay that cost.
“A Washington University education is, without a doubt, one of the most expensive investments one will ever make,” wrote Chancellor Mark Wrighton in a letter to parents, and added in an interview, “Garnering admission to Washington University is an admission to come. We want people to know that if they are admitted, we will work to make a University education possible for them.”
-With additional reporting by Sam Guzik and John Scott