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Student Financing of Undergraduate Education: 1999-2000
This report was issued by the U.S. Department of Education National
Center for Education Statistics in July 2002. It describes the financing of
undergraduate education by students enrolled in U.S. postsecondary
institutions during the 1999-2000 academic year. The report is based on data
from the 1999-2000 National Postsecondary Student Aid Study.
KEY POINTS FROM THE REPORT
All findings reflect the 1999-2000 academic year.
- 16.5 million undergraduates were enrolled in postsecondary
institutions for all or part of the year as full- or part-time students. 55%
received financial aid from federal, state, institutional, or other sources
(average amount received was $6,200).
- 44% of all undergraduates received grants (averaging $3,500) and 29%
received loans (averaging $5,100). 5% had work-study jobs (earning an
average of $1,700). 7% received other types of aid, such as veteran's
benefits, job training and vocational rehabilitation funds, and federal PLUS
loans for parents.
- Undergraduates received several different types of aid packages:
- 7% received only student loans
- 22% took out loans and were also awarded grants or other aid
- 27% had grants, work-study, or other aid, but no loans
- Packages consisting of loans and other aid averaged $10,600 in total
aid compared with $5,200 for those with loans only and $2,900 for those
- 39% of all undergraduates were enrolled full-time for the full
academic year, 73% of whom relied on financial aid (receiving an average of
Tuition and the Total Price of Attendance
- Tuition and fees for full-time full-year students averaged $1,600
at public two-year institutions, $4,300 at public four-years, $8,900 at
private for-profits, and $15,000 at private not-for-profits.
- The average total price of attendance averaged $9,100 at public
two-year institutions, $12,600 at public four-years, $18,400 at private
for-profits, and $23,600 at private not-for-profit four-years.
Financial Aid, Price of Attendance, and Income
- The percentage of undergraduates receiving financial aid increased
as the price of attendance rose, while the percentage receiving aid
decreased as family income rose.
- Low-income students with limited resources usually qualify for
need-based aid at any price of attendance and high-income students qualify
for need-based aid only at high priced institutions.
- 3/4 of all low-income dependent undergraduates (family income of less
than $30,000) received financial aid compared to 1/2 of high-income dependent
undergraduates (family income of more than $80,000).
Financial Aid by Type of Institution Attended
- At public two-year institutions 38% of undergraduates received
financial aid (averaging $2,300). 33% of those students received grants
(averaging $1,600) and 7% took out student loans (averaging $3,300).
- At public four-year institutions 62% of undergraduates received
financial aid (averaging $6,200). 46% of those students were awarded grants
(averaging $3,200) and 40% took out student loans (averaging $4,800).
- At four-year private not-for-profit institutions 76% of all
undergraduates received financial aid (averaging $11,600). 66% had grants
(averaging $7,000) and 50% took out loans (averaging $6,200).
- At private for-profit institutions 85% of all undergraduates received
financial aid -- 60% had grants and 67% had loans.
The Sources of Financial Aid
- Loans: 28% of undergraduates took out federal loans, 1% borrowed
from state sources, 1% borrowed from institutional sources, and 3% borrowed
from private commercial or non-profit sources.
- Grants: 23% of undergraduates received grants from the federal
government, 17% from institutional sources, 14% from state sources, and 7%
from private sources.
- Federal grants were awarded to 17% of those at public two-year
institutions, 25% at public and private not-for-profit four-year
institutions, and 53% at private for-profit institutions.
- 46% at private not-for-profit four-year institutions received
- 97% of undergraduates who borrowed took out federal student loans
(averaging $4,600) and 13% took out nonfederal loans
- 48% of Stafford borrowers took out need-based subsidized loans only,
17% took out unsubsidized loans only, and 36% took out both.
- Independent undergraduates were more likely than dependent
undergraduates to take out a combination of unsubsidized and subsidized
loans and the average Stafford loan was higher for independent students.
Students Borrowing at Different Types of Institutions
- Among all undergraduates, 42% had borrowed through the federal
student loan programs at some time, either in 1999-2000 or in prior years
(average cumulative amount of $9,900). This included 23% at public two-year
institutions, 52% at public four-years, and 61% at private not-for-profit
U.S. Department of Education. National Center for Education Statistics.
Student financing of undergraduate education: 1999-2000, NCES 2002-167 by
Lutz Berkner, Ali Berker, Kathryn Rooney, & Katharin Peter.
Project Officer: Andrew G. Malizio. Washington, DC: 2002.
Submitted by Leah Ewing Ross, April 2004. This is a report summary and
excerpts are quoted directly from the text.
Iowa State was the first chartered land-grant institution.