A Better Bargain: Education

President Obama named education as one of the cornerstones of middle-class security in a speech today at Knox College in Galesburg, Illinois.

The President laid out a vision for what our country needs to do to rebuild that foundation – including in education. “The days when the wages for a worker with a high-school degree could keep pace with the earnings of someone who got some higher education are over,” he said.

President Obama said that our country needs to provide an education “that prepares our children and our workers for the global competition that they’re going to face.”

And if you think education is expensive, wait until you see how much ignorance costs in the 21st century.  If we don’t make this investment, we’re going to put our kids, our workers, and our country at a competitive disadvantage for decades. So we have to begin in the earliest years. 

Preschool For All

I’m going to keep pushing to make high-quality preschool available for every 4-year-old in America.  Not just because we know it works for our kids, but because it provides a vital support system for working parents.

ConnectED

I’m going to take action in the education area to spur innovation that doesn’t require Congress.  Today, for example, as we speak, federal agencies are moving on my plan to connect 99 percent of America’s students to high-speed Internet over the next five years.  We’re making that happen right now. We’ve already begun meeting with business leaders and tech entrepreneurs and innovative educators to identify the best ideas for redesigning our high schools so that they teach the skills required for a high-tech economy.   

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Answers to Your Questions on Student Loan Interest

A college degree is a vital part of helping students have a successful future and a place in the middle class, and making college affordable is a major priority for the Obama Administration.

Federal Aid LogoAs of July 1, 2013, the interest rate on new subsidized Stafford Loans rose to 6.8% from the previous rate of 3.4%. Our Administration is actively working with Congress to bring rates back down for new loans. In addition, the Administration has advocated that any plan passed by Congress apply to all loans first disbursed after June 30, even loans already disbursed.

If the law is changed, the Department and its servicers will adjust rates for all affected borrowers, including those who had already received their first subsidized loan disbursement, without any further action on the part of the borrower or the school.

We know some borrowers and families may have some questions about what the rate change means and we’ve answered some of the most common questions below. If you do have specific questions about your loan please visit http://studentaid.ed.gov/ or contact 1-800-4-FED-AID for more information.

Q: Should I still apply for federal student aid given the interest rate hike?

A: Students and families who wish to obtain financial aid should complete should complete a 2013-2014 FAFSA if they have not already done so. Schools should continue to award and process Direct Subsidized Loans with estimated disbursement dates. The Administration is working with Congress to bring rates back down for new loans.

Q: What is the current rate of federal subsidized loan?

A: Absent further Congressional action, the interest rate for all Direct Subsidized Loans with a first disbursement date on or after July 1, 2013, is 6.8%. This is the same interest rate that applies to Direct Unsubsidized Loans.

Q: Is the 6.8% rate permanent for the lifetime of my loan?

A: The Obama Administration continues to work with Congress to reach agreement on a plan to reverse the doubling of those interest rates.  Further, the Administration has urged that any plan passed by Congress apply to all loans first disbursed after June 30, even loans already disbursed. If the law is changed, the Department and its servicers will adjust rates for all affected borrowers, including those who had already received their first subsidized loan disbursement, without any further action on the part of the borrower or the school.

What if I already have a loan? Does the interest rate change?

A: No change in interest rates on a loan where the first disbursement was before July 1, 2013

Steps Forward to Improving Quality and Strengthening Accreditation

Every student who wants the opportunity deserves a high-quality postsecondary education. For what? For lifelong success, not only in his or her educational pursuits, but for long-term success in the workforce, in civic life and – ultimately – for the personal and professional rewards that come from living a life of accomplishment, contribution, and satisfaction! At the U.S. Department of Education, we are keenly focused on how to use the various federal levers for change and improvement at our disposal to encourage successful student outcomes and improved educational performance, institutional, state-level and national. As the president has said, we all share responsibility to provide educational opportunity and value. The accreditation community is an important partner in this work and plays a key role both in assuring a basic level of quality and in improving quality.univeristy photo

While the United States has some of the world’s best postsecondary institutions, we also have too many that are of poor quality, with track records that give their students little chance of attaining the postsecondary credentials and preparation that they intended to earn—and that are so vital in today’s society and economy.  The College Scorecard that we introduced earlier this year highlights the differences among different institutions related to net price, degree completion and student debt repayment all too starkly. Making performance transparent is a lever we are using to highlight success and fix the most pressing of our problems.

But these indicators are only indicative of a part of educational performance.  We also need to know whether students are successfully achieving the level of learning they need for lifelong success in work, civic participation, and life.  And we need to ensure that high-quality learning is affordable.

President Obama and Secretary Duncan are strongly committed to strengthening collaboration for results with the nation’s diverse accreditation stakeholders to clarify, simplify and improve accreditation processes, with a more targeted, rigorous focus on value and affordability. When President Obama announced his proposals for the FY2014 budget, he called on the accreditation community to work with the Administration to:

“…consider value, affordability, and student outcomes in making determinations about which colleges and universities receive access to federal student aid, either by incorporating measures of value and affordability into the existing accreditation system; or by establishing a new, alternative system of accreditation that would provide pathways for higher education models and colleges to receive federal student aid based on performance and results.”

Responding to recommendations of the National Advisory Committee on Institutional Quality and Integrity (NACIQI), last week our Department announced its intention to strengthen and better focus the accrediting agency recognition process.  Eight regional and 47 national accrediting organizations seeking renewal of their recognition from the federal government will benefit from a streamlined review process, which will focus in more depth on about 25 of up to 93 criteria that are most relevant to assessing institutional quality and the quality of student learning. This will result in a better, more targeted process that is simpler and less burdensome for accrediting agencies, NACIQI and the federal government. It is our hope and expectation that these improvements will also enable the postsecondary institutions they accredit to focus additional time and effort on quality enhancement and value.

With the reauthorization of the Higher Education Act commencing next year, the Department is also eager to engage in broader conversations with the postsecondary education community and its stakeholders (e.g., students, families, businesses, non-profits, states, philanthropies, etc.) about proposals to improve the accreditation processes to increase quality—with particular attention to value and affordability.

If we define value as high quality at an affordable cost, how can we help to ensure that we achieve it?  We are looking to the accreditation community and stakeholders to help us understand and measure such concepts as “quality,” “affordability” and “value” in ways that honor and preserve the diversity of our postsecondary landscape, yet hold all of us accountable for learning and completion outcomes and their improvement. We need far more attention to qualitative and quantitative methods that can strengthen institutional quality and student learning outcomes.

This effort to strengthen the accreditation process is just one example of how the Department is working to improve quality, while also increasing access, affordability, and completion. We will also continue to address value by encouraging innovation, whether through new developments in competency-based education, new validation models that can demonstrate what students know and can do, new attention to the faculty role in high quality learning, and/or alternative accreditation systems designed to produce high quality student outcomes at an affordable price. Experimentation, innovation and reliable evidence must drive the effort to achieve better student outcomes, both in terms of completion and in terms of demonstrated achievement; thus the great need for more and better postsecondary R&D.

In the months ahead, we look forward to engaging in an ongoing and robust national dialogue with our partners and stakeholders about accreditation and other ways we can improve quality in America’s postsecondary education, with a far clearer understanding of, and focus on, value and affordability.

Martha J. Kanter is the Under Secretary of the U.S. Department of Education and David Soo is a Policy Advisor for the Office of the Under Secretary.

Finding the Right College For You – Tools & Resources from ED

If you are a high school senior who has yet to decide where you’re going to college this fall, you are most likely not alone. May 1st marks the National College Decision Day where the vast majority of U.S. colleges and universities require students to notify them of their decision to attend.

As you navigate the college decision process, the U.S. Department of Education provides tools for you and your family to make it easy to compare important information such as college costs, average student loan debt, and graduation rates across different institutions.

If you are a student or the parent of a college-bound teen struggling with this decision, here are a few tools that can help:

Federal Student Aid The College Scorecard

The College Scorecard includes essential information about a particular college’s cost, its graduation rates and the average amount its students borrow, all in an easy-to-read format. It is designed to help you compare colleges and choose one that is well-suited to your individual needs.

Net Price Calculator Center

Federal Student Aid

The Net Price Calculator Center provides an easy tool to explore the net price of any given college- that is, the price after subtracting the scholarships and grants you are likely to receive. Then, you can easily compare estimated net prices across the institutions that you are considering.

Financial Aid Shopping Sheet

Many colleges and universities have adapted a Shopping Sheet which will be included in your financial aid package. The Shopping Sheet provides personalized information on financial aid and net costs as well as general information on institutional outcomes- all in a standardized format. This tool provides an easy way to make clear comparisons among financial aid offers that you may receive.

FSA2

College Navigator

College Navigator is an interactive website that allows you to explore and compare features of different institutions, including programs and majors, admissions considerations, campus crime statistics and more.

For additional tips visit Federal Student Aid’s Choosing a School resources and follow @USEDGOV & @FAFSA on Twitter.

Now that you have the resources and the tools to pick the right college, you can let out a sigh of relief and show your campus pride with that coveted university sweatshirt. Congratulations!

Kelsey Donohue is a senior at Marist College (N.Y.), and an intern in ED’s Office of Communications and Outreach

Youth Succeed with Great Educators, Help from ED

Think back to that moment when you decided to pursue your dream. Who influenced your decision? A mentor? A parent? Or maybe a friend? For many people, their moment was sparked by an educator.

Earlier this month, the Department of Education (ED) welcomed four individuals to participate in an ‘ED Youth Voices’ panel discussion that introduced students, teachers, and communities to the policies and programs that the four youth credit with helping them succeed.

Let us introduce you to these inspiring individuals:

Student speaking

Linda Moktoi, senior at Trinity Washington University

Meet Linda Moktoi. As a current senior at Trinity Washington University, Moktoi is proud to say she’ll be achieving her dream of graduating college in just a few short weeks.  “I chose to pursue knowledge over ignorance,” she said. Moktoi did so with the financial support provided by Pell Grants from ED’s Office of Federal Student Aid. Moktoi’s grace, confidence, and determination shined through and will no doubt lead her to succeeding her next dream of becoming a news broadcaster.

 

 

Student speaking about GEAR UP program

Nicholas Robinson, junior at Potomac High School

Meet Nicholas Robinson. An enthusiastic junior at Potomac High School (Oxon Hill, Md.), spoke of how the early awareness college prep program GEAR UP, changed his “mind & heart” in 8th grade about whether to go to college. “Before I got involved in GEAR UP, I didn’t think I was going to college, but they were always asking me what I wanted to do, where I wanted to go and who I wanted to be.” That extra support and guidance has helped Nicholas stay on track to graduate and focus on his future goals.

 

Educator speaking about IDEA Act

Scott Wilburn, teacher at Pulley Career Center

Meet Scott Wilbur. As a current teacher and former student that struggled with learning disabilities, Wilbur shed light on how programs funded by the Individuals with Disabilities Education Act (IDEA) helped him as a student and continues to help him serve others with disabilities as a teacher at the Pulley Career Center in Alexandria, Va. “IDEA provided me with access to support, helped me graduate college,” Wilbur said. Each year the IDEA Act helps thousands of students with disabilities receive support to assure success in the classroom and that they have the tools needed for employment and independent living in the future.

Student speaking about School Improvement Grants

Carl Mitchell, senior at Frederick Douglass High School

Meet Carl Mitchell. Carl is just one of the many students that have benefited from the recent changes at Frederick Douglass High School spurred in part by an ED School Improvement Grant (SIG) which has helped turnaround their school and provide a better learning environment for students. Mitchell, a bright college bound senior who also doubles as the school mascot (Go Mighty Ducks!), attested to the sense of community that is fostered at Frederick Douglass. When asked what motivates him, he responded by saying “It’s not just about getting the degree for me, it’s for all the people that helped me. I owe them and don’t want to let them down.” An aspiring graphic designer, Mitchell will be the first in his family to attend college. His support team, including his principal, teachers, and peers joined him at ED as he proudly represented the Douglass community.

Linda, Nicholas, Scott, and Carl are just four of the millions of students and educators that are able to achieve their dreams with the help of great educators and federal programs from the Department of Education. Little do these individuals know though, that by sharing their story they are following in the footsteps of those who inspired them, and are inspiring us.

Kelsey Donohue is a senior at Marist College (N.Y.), and an intern in ED’s Office of Communications and Outreach

Our next ED Youth Voices Policy Briefing Session will include students reforming education at the local level: teacher evaluations, DREAM act, school safety and more. Watch the session live on June 27th from 10-11:30am at edstream.ed.gov. 

New Tools for Student Loan Borrowers

Federal Student Aid image

Spring is here, college finals are looming, commencement speakers are being announced, and before long, a new group of college graduates will need to start thinking about paying back their student loans. Earlier this week, the Department of Education announced new tools that will help recent college grads better understand their loan debt and stay on track in repayment.

These two new features include a Complete Counseling Web page and a new Repayment Estimator that lets the borrower easily compare monthly payment options under the seven repayment plans available. Both tools are part of the Obama Administration’s ongoing effort to help students and families make informed and sound financial decisions throughout each step as they pursue their higher education goals.

During his State of the Union address in February, President Obama unveiled the new College Scorecard to help empower students and families with more transparent information about college costs and outcomes. The Scorecard provides clear, concise information on cost, graduation rates, loan default rates and the amount families borrowed for every degree-granting institution in the country. The College Scorecard, along with the resources from Federal Student Aid, will help students take the right steps, financially and academically, to achieve their college degree.

As many know, managing loans can often be confusing and overwhelming for college students, and we want to ensure that graduates have access to tools that will help them successfully navigate this process. We encourage federal student loan borrowers to log in at StudentLoans.gov to take advantage of these new resources today!


Click here for an alternate version of the video with an accessible player.

Kelsey Donohue is a senior at Marist College (N.Y.), and an intern in ED’s Office of Communications and Outreach

Institutions Commit to Providing Millions of Students with Easy-To-Understand Information About College Costs

We know that students and their families face a difficult task in deciding where to enroll for higher education, and understanding the cost of college—and how to pay for it—can be daunting. Too often, students are left without a clear explanation of what the costs mean or how they compare to other colleges they are considering, and as a result, many students leave college with debt that they didn’t fully understand at the time they entered school.

Shopping Sheet Example

An example of the information on the Shopping Sheet

While many financial aid award letters provide understandable information, some can be confusing, lacking clear distinctions between grants (which don’t have to be paid back) and loans (which do), as well as important information about outcomes like graduation rates and default rates. This confusion can make it difficult for students to decide which college is the right fit for them, best suited to their needs, priced affordably, and consistent with their career and educational goals.

In July, I sent a letter to college presidents nationwide, asking them to adopt a new Financial Aid Shopping Sheet clearly showing prospective students what a college education would cost. For prospective students, this model disclosure letter for financial aid offers helps explain the total cost of a program—including tuition and fees, the costs that are covered by federal loans and grants, the type and amount of financial aid they may qualify for, their estimated student loan debt upon graduation, and information about graduation rates. This information can help students easily compare financial aid packages offered by different institutions, and ultimately make an informed decision on where to invest in their higher education.

Our goal is to help students arrive at school each fall less worried about how they will pay for college, and more focused on how they will complete college. Institutions of higher education share that goal, and many have shown their support by adopting the Shopping Sheet for use as part of their financial aid award packages starting for the 2013-14 school year.

To date, 316 institutions* serving over 1.9 million undergraduate students, or 10 percent of all undergraduates, have agreed to adopt the Shopping Sheet [MS Excel, 1.4MB]. Of those schools who have signed on, about 43 percent are public institutions, 43 percent are for-profit institutions and 14 percent are private schools. Among the institutions that have voluntarily agreed to adopt the Shopping Sheet are several state college and university systems—including the University System of Maryland, the State University of New York System, the University of Massachusetts System, and the University of Texas System—as well as several institutions with large undergraduate populations, including Arizona State University, Miami Dade College, and the University of Phoenix online campus. All of the systems and institutions that committed to financial aid transparency at the June roundtable with Vice President Biden—including North Carolina Agricultural & Technical State University, Syracuse University, the University of North Carolina at Chapel Hill, and Vassar College—have also adopted the Financial Aid Shopping Sheet for the 2013-14 school year.

Additionally, to ensure that service members, veterans, spouses and other family members have the information, support and protections they deserve, in April 2012 the President signed an Executive Order establishing Principles of Excellence for Educational Institutions Serving Service Members, Veterans, Spouses, and Other Family Members. This Executive Order requires educational institutions receiving funding from federal military and veterans’ educational benefits to provide prospective students with the financial aid Shopping Sheet to help students understand the total cost of their education. Already, more than 2,900 institutions have agreed to implement the Principles of Excellence.

Students should not have to wait until after graduation to learn the size of their monthly student loan payment. Families choosing a college should have clear and comparable information, in a common format, to guide their choice. And no one should forego college because they think they cannot afford it. We will continue to work with the institutions that have already signed up to use the Financial Aid Shopping Sheet for the next school year, and we look forward to more colleges and universities committing to use this common-sense tool to provide students and parents with clear information about costs.

Arne Duncan is the U.S. Secretary of Education

* Update Nov. 29, 2012: The Department will provide updated figures periodically on its Financial Aid Shopping Sheet website.

Collaboration on Display in Three States: Bus Tour Day Six

Deputy Secretary Tony Miller took part in a town hall on college affordability at Harris Stowe State University in St. Louis on day six of our back-to-school tour. Official Department of Education photo by Joshua Hoover.

Deputy Secretary Tony Miller took part in a town hall on college affordability at Harris Stowe State University in St. Louis on day six of our back-to-school tour. Official Department of Education photo by Joshua Hoover.

Columbia: Rural educators teaching with technology

Rural educators face a challenge of isolation. Miles away from their peers, collaboration and training can often be difficult. Technology is helping bridge this geographic divide, and was the focus of our first Education Drives America event on Wednesday at the University of Missouri in Columbia, Missouri.

Assistant Deputy Secretary Jim Shelton joined rural educators, both in person and via video conference, to discuss the eMints program (enhancing Missouri’s Instructional Networked Teaching Strategies), an Investing in Innovation (i3) grantee that focuses on providing professional development that uses interactive group sessions and in-classroom coaching/mentoring to help teachers integrate technology into their teaching.

St. Louis: Improving college access and affordability

Yesterday, I wrote about the impressive student bands that have greeted the Education Drives America bus, and at Harris Stowe University in St. Louis, we discovered that student choirs are equally impressive. The Harris Stowe choral students set the tone for an important discussion on college affordability and access.

Deputy Secretary Miller joined Rev. Brenda Girton-Mitchell, director of ED’s Center for Faith-Based and Neighborhood Partnerships, Harris Stowe students, as well as community members for the town hall discussion. (Earlier in the week, the Department of Education announced that Harris Stowe received $1.6 million grant – one of 97 Historically Black Colleges and Universities (HBCUs) to receive nearly $228 million to strengthen their academic resources, financial management, endowments, and physical plants.)

“In the past three years,” Miller said. [The Obama Administration has] done more to help students afford college since the G.I. Bill.” Miller spoke of the Administration’s steps to helps students, including increases in Pell Grants, a commitment to keep student loan interest rates low, and the President’s plan to keep college affordable.

Mt. Vernon: Celebrating successful public-private partnerships

Deputy Secretary Tony Miller speaks with a worker at the Continental Tire facility. Official Department of Education photo by Joshua Hoover.

Deputy Secretary Tony Miller speaks with a worker at the Continental Tire facility. Official Department of Education photo by Joshua Hoover.

Following St. Louis, the bus kept us moving to our third stop of the day. The floor of a tire factory isn’t your typical spot to celebrate educational success. Yet, that is exactly where the Education Drives America dropped off Deputy Secretary Miller and staff to talk about the successful partnership between Continental Tire North America (CTNA) and Rend Lake College in Mt. Vernon, Ill.

Since 2005, CTNA has partnered with Rend Lake College to develop and staff a new training center at CTNA. The facility boasts a 24-station computer lab with teacher station, a distance learn¬ing room which seats 24 students, and Rend Lake provides a coordinator to work full-time in the training center, over¬seeing the college programs.

The public-private partnership allows CTNA employees to take classes that meet the CTNA’s business needs and puts its employees on a path towards an associates degree and in some cases a bachelors degree. It is an impressive partnership that is model for communities throughout the country.

Evansville: Collaboration is key

Because two states in one day wasn’t enough for day six of ED’s back-to-school tour, our last stop of the day took us to Glenwood Leadership Academy in Evansville, Ind., for a discussion on labor-management collaboration.

Deputy Secretary Miller joined National Education Association (NEA) President Dennis Van Roekel, Superintendent of Evansville Vanderburgh School Corporation David Smith, and President of the Evansville Teachers Association Keith Gambill.
Glenwood is both an NEA priority school and a recipient of an ED School Improvement Grant, and has pulled in the entire community to ensure success of its students.

Superintendent Smith spoke passionately about the need for collaboration, saying that it is necessary to “take time to invest in relationships.”

At a number of stops on the Education Drives America tour, we’ve witnessed communities coming together to help their children succeed, and Evansville is another powerful example of support and commitment.

During the town hall, you could hear the emotion in the voices of the audience as they spoke of how proud they were to be a part of the school’s success. One student asked how she could give back to her teachers because she sees that they work so hard. In response, the entire audience gave the Evansville teachers a powerful standing ovation, which left a deep impression on those of us passing through.

The Evansville stop made for a perfect ending to a great day in the Midwest. The bus moves on and will be rejoined by Secretary Duncan today for stops in West Virginia.

See what people had to say on social media during day six, stay connected to the Department of Education throughout the year by getting email updates, and watch our video summary of day six:


Click here for an alternate version of the video with an accessible player.

Cameron Brenchley is director of digital engagement and is blogging and tweeting his way from coast to coast during ED’s annual back-to-school bus tour.

College Students Discuss Higher Education Affordability with Secretary Duncan

Secretary Duncan and Undersecretary Kanter talk with StudentsStudents are a crucial voice in education, particularly when it comes to policy debates. To continue its transparency efforts and ensure students have a seat at the table, the Obama Administration has engaged youth, parents, and higher education leaders regarding college affordability and accessibility through roundtables, forums and Secretary Duncan’s Student Voices Series.

Secretary Arne Duncan and Under Secretary Martha Kanter heard directly from college students and youth leaders from the United States Student Association during the most recent Student Voices Series.

Students shared stories on how the Pell Grant and TRIO programs have positively impacted their lives. “Without these programs, I would have not been able to continue my college education and graduate with a degree,” said one youth. Since President Obama took office the maximum award increasing more than $900 dollars and the number of students relying on Pell Grants to pay for college has risen by more than 50 percent.

After hearing from the students, Kanter told them “there are not enough real stories about students who are benefiting from programs that help them manage their educational debt. These stories could help others become aware of opportunities that they may also be able to benefit from.”

”The Obama Administration has made an unprecedented commitment to improve college access and completion for millions of American families,” Secretary Duncan said. The expanded income-based repayment program (IBR) and the new Pay as You Earn plan will help students better manage their debt, and the American Opportunity Tax Credit has lowered the cost of attendance for 9.4 million students and families annually. In addition, the FAFSA or Free Application for Federal Student Aid has also been simplified in order to make federal financial aid more accessible to students. And click here to read President Obama’s blueprint for college affordability.

Secretary Duncan told students their input is important and requested feedback from the youth on the new studentaid.ed.gov website, which outlines many programs to help Americans with educational debt.

Do you have a story of how the Pell grant, IBR or a TRIO program has helped you? If so, we would love to hear it.

Robert Gomez is a higher education and youth liaison in the Office of Communications and Outreach

White House Office Hours with Secretary of Education Arne Duncan

Cross-posted from the White House Blog.

Secretary of Education Arne Duncan is joining us for special session of White House Office Hours on Wednesday, June 27th at 2:00 p.m. EDT. During a live Q&A on Twitter, Secretary Duncan will answer your questions about college affordability and the administration’s education policies and priorities.

Will you join us? Here’s how it works:

  • Ask your questions now and during the live event on Twitter with the hashtag #WHChat
  • Follow the Q&A live through the @WHLive Twitter account
  • If you miss the live Q&A, the full session will be posted on WhiteHouse.gov and Storify.com/WhiteHouse

Today, higher education isn’t a luxury – it’s a necessity that every American family should be able to afford. But it’s also getting more and more expensive.

For the first time ever, Americans owe more in student loans than in credit card debt. That’s why the President is calling on Congress to keep interest rates low so that every hardworking student gets a fair shot at the skills and training needed to get a good job in today’s economy.

If Congress doesn’t act, interest rates on federal student loans will double on July 1 and more than 7 million students around the country will rack up an average of $1,000 of extra debt each.

Kori Schulman is Deputy Director of Outreach for the White House Office of Digital Strategy

Education Department Announces Winners of Net Price Calculator Video Contest

Each year, millions of students face the challenge of choosing a college – and how to afford it is increasingly daunting for families. For many, the high price tag of a college education may discourage them from pursuing a degree, and that’s why the Department has undertaken an effort to help families access better consumer data that can help students determine how to best invest in a high-quality education at an affordable price.

Part of that effort has focused on institutions’ “net price” and spreading awareness of net price calculators, a key tool that can assist parents and students in researching the cost of higher education. Net price calculators go beyond an institution’s “sticker price,” factoring in grants and scholarship aid to give families a better sense of how much they would actually pay to attend a specific school.

Earlier this year, the Department held a contest encouraging college and high school students to come up with creative videos that explain net price calculators and why they are a valuable resource. Today, ED is announcing that three students have each won a $1,500 prize for creating the top-scoring videos in the Department’s College Net Price Calculator Student Video Challenge. The winners are:

    • Michael Kirby from the University of Richmond in Richmond, Va. (watch the video)
    • David DeMesquita from Cal State Fullerton in Fullerton, Calif. (watch the video)
    • Brian Schwabauer from Missouri State University in Springfield, Mo.  (watch the video)

The Department plans to use these videos to broaden awareness of net price calculators among students and will continue outreach efforts to several stakeholder groups, organizations, college counselors and student body leaders. In addition, every title IV institution is now required to have a net price calculator on their website, and the Department has proactively linked to each school’s net price calculator from its College Navigator site, which contains a wealth of consumer information. 

The challenge is part of a broader Administration effort to address the rising cost of college and the struggles families face paying for higher education. The Department hopes that by providing key consumer data like net price, families will have a better sense of what they can afford and will be empowered to make smart decisions about where to invest and enroll for college.

Sara Gast is press aide in the Office of Communications and Outreach

President Obama Calls on Congress to Prevent Student Loan Interest Rates from Doubling

“In America, higher education cannot be a luxury,” President Obama said in his weekly address. “It’s an economic imperative that every family must be able to afford.” At a time when higher education has never been more important, the President is calling on Congress to prevent student loan interest rates from doubling for more than 7.4 million students this summer. Without action, the average borrower will see an average of $1,000 added to their debt.

Watch the address:


Click here for an alternate version of the video with an accessible player.