Private Scholarships Should Benefit the Student, Not the InstitutionPosted 07.19.15
Have you heard of higher ed institutions reducing financial aid once a student receives a scholarship? We are shedding light on the problem, award displacement, in The Baltimore Sun. “Private scholarships should benefit the student, not the institution“ is the title of Vice President Michele Waxman Johnson’s editorial in The Baltimore Sun. Ms. Waxman Johnson wrote about the problem of award displacement, where several higher education institutions reduce aid to students once an additional scholarship is awarded.
Ms. Waxman Johnson explains, “Often, the victims are low-income students who qualify for need-based federal, state and institutional financial aid, which universities pair with student loans and campus work-study to meet the overall cost of attendance. If such students then win a private scholarship, universities may use those funds to replace institutional money, while retaining a student’s federal loans and work-study — after the student’s financial aid award letter has been sent, sometimes even after the student has arrived on campus and started attending class.” To learn more, read the editorial on The Baltimore Sun website.