Beyond Awareness: Financial Aid and College Access

CHEPA’s Financial Aid and College Access project continues its focus on college access, postsecondary enrollment, and financial aid awareness by low-income, urban high school students. What are the kinds of information, communication, and activities related to financial aid that need to take place between schools, postsecondary organizations, and educational agencies? By the end of 2005, the research team--William Tierney, Mari Luna De La Rosa, Kristan Venegas, Zoe Blumberg Corwin, Paz Maya Olivérez, Jarret Gupton, and Brianna Kennedy--completed 300 student interviews and observations at nine Los Angeles area, low-income high schools and a survey of 5,288 11th and 12th grade students at seven of these nine high schools. Based on this data, the team has defined seven statements, including:

1. Students make college-related decisions
based on their perceptions of financial aid availability

Financial aid is an important determinant for students in terms of enrolling in postsecondary education. Survey results indicated that approximately 59% of students will use financial aid information to decide about going to college. However, admission to a four-year institution does not always mean that students will enroll in a college or university. Some students opt to pursue employment opportunities immediately after high school as a means of saving money. The students plan to then use this money to offset the cost of college tuition. A large number of students, undocumented students in particular, plan to live at home and attend a local community college due to their ineligibility for government-sponsored financial aid.

For those students with knowledge of the financial aid system, state options such as the Cal Grant made enrolling in California colleges and universities the most attractive option. Only a small percentage of students demonstrated extensive, reliable knowledge of the financial aid system. These students were optimistic that they would receive sufficient aid or somehow find the financial resources needed to enroll in postsecondary education resources. Finally, a small number of students was able to articulate their financial aid awards and compare packages between potential destination colleges.

2. A high school's culture of preparation makes a difference
in students' access to college and financial aid information.

While only 52% of all survey respondents said that the encouragement of their teachers and counselors was "very important" in their decision to go to college, the majority of students felt that teachers were in a strong position to provide financial aid information to their classes and did not do so. Often, students perceived that such information was reserved for students in select courses and/or organizations, such as Advanced Placement classes. Even college counselors were not always perceived as reliable sources of information. At many of the schools, college counselors focused mainly on the procedural aspects of the students' college-going needs (such as form completion and deadlines) as opposed to the developmental aspects (including college aspirations).

Graduation and college enrollment rates were significant in creating a supportive environment with high academic and social expectations for students. College aspirations were stronger among students at high schools and magnet schools with higher college-going rates compared to schools where fewer students go on to college. The creation of a culture that encouraged students' postsecondary aspirations also included enrolling students in appropriate preparatory courses. A large number of students reported being ineligible for admission to a four-year university because they had not been scheduled into the appropriate college preparation classes.

3. Students lack accurate and timely information about financial aid.

The junior year was a crucial time for students to receive financial aid information and decide to apply for college. Students at all schools showed a 10% decrease (from 57% to 46%) in plans to attend a four-year university or college between the 11th and 12th grade. Over one-third of the 11th grade respondents (35.6%) believed that their grades were not good enough to receive information on college or financial aid information. Students stressed the importance of receiving financial aid information, application deadlines, and a list of options in their junior year.

The maze of financial aid information and options can be overwhelming for students. Many students indicated that they needed extra money for college, but were unclear about the costs of college, financial aid options, and how much money they needed. Such confusion often led students to not apply for financial aid. Several 12th graders failed to meet financial aid deadlines despite knowing when they were. Other students did not complete and submit Cal Grant applications, even though such awards do not have to be repaid. Special need populations, such as foster children or undocumented students, were unsure how to access financial aid information specific to their needs.

4. Group seminars on financial aid information can be helpful
but inadequate without pre-and post-individual follow-up sessions.

With regard to the overall perception of financial aid information provided at group seminars, 76% of students indicated they would use the information to apply for financial aid. While students generally found such seminars helpful, at several of the schools, college counselors held small group FAFSA sessions in which less than 10% of senior families attended the workshops.

Students who attended large financial aid events left with many unanswered questions about the FAFSA, and were often unsure who to approach for reliable information. While counselors offered line-by-line workshops to help students with FAFSA forms, many students said they were not able to complete their FAFSA during such events because they did not know they had to bring the necessary tax information. For many students, the confusion regarding financial aid could not be sorted out during a large session. Some students felt their financial situations were too complicated to be handled at large events. The family income section of the FAFSA was particularly difficult for students with non-traditional families (such as a student who lives with a grandparent or sibling, students with divorced or single parents, or those undocumented students) and required additional assistance to complete.

5. Peer counselors do not supplant adult, expert advice
about college and financial aid information.

At some schools, students reported working with either a college counselor or a peer counselor to complete the FAFSA. For schools with peer counseling, the effectiveness varied dramatically between these schools, depending on the types of information they had been trained to share. Peer counselors attributed their knowledge about college and financial aid to their experiences and training. In most instances, the peer counselors themselves benefited the most from the college knowledge they possessed.

6. Parent also lack information and knowledge about college and financial aid.

Survey results revealed that 61% of respondents would use information from workshops they attended to talk to their parents about financial aid. Parents who were interviewed as part of this study were unaware of the different forms of financial aid available. For example, the majority of parents of undocumented students were unaware of AB-540 or that scholarships were available to help their children pay for college. Sharing tax information was particularly problematic. Some students explained that it was difficult to collect their parents' tax information; other parents were reluctant to share that information with their children.

7. Even after applying for financial aid, many students require
individualized, sustained support throughout the process.

Although financial aid can serve to offset college expenses, the process of applying for aid and choosing a college was unclear. A majority of students could not articulate: a) their expected family contribution, or EFC; b) the details of their financial aid package; and c) how financial aid would work once in college. Students did not understand how to interpret the Student Aid Report or the financial aid offer letter. Consequently, they made uninformed decisions about where to attend college. The impact of borrowing large amounts of money for low-income students can be difficult. Many students expressed reluctance to take out loans because of concerns about how and when to begin paying them back. Other students were reluctant to consider work-study; they did not understand how the program worked. In addition, students were uninformed or misinformed about key options and deadlines specific to their situation (such as AB-540, which allows undocumented students in California to pay in-state tuition rates; foster care scholarships; or college scholarships based on GPA).

Many students credited a specific individual for helping them fill out the financial aid paperwork. When they had questions throughout the process, they benefited from being able to go to the same person every time.

In the final year of the project, the research team will conduct focus groups and a second survey of 11th and 12th graders in the project high schools to further explore these research questions

Mari Luna De La Rosa is a Post Doctoral Research Associate at the
Rossier School of Education.

For additional information, research findings, and resources for this project,
visit the CHEPA website at: http://www.usc.edu/dept/chepa/fa&a/