How undergrads pay for college shifts
New data show that student borrowing has decreased in Minnesota, a reversal of the previous trend. This and other nuggets of information have emerged from the latest release of the Minnesota Office of Higher Education report, “Financial Aid Awarded to Minnesota Undergraduates.”
The following chart shows the changes in how students have paid for their education over time:
- Between 2011 and 2013, undergraduate borrowing in Minnesota decreased 6%, institutional grant aid increased 11%, state grants increased 5% and federal grants decreased 9%.
- Borrowing decreased overall from $1.85 billion to $1.73 billion.
- Each sector saw a decrease in borrowing except the University of Minnesota and MnSCU two-year institutions.
- For all Minnesota institutions over the past 22 years, total borrowing increased 577% and institutional grant aid increased 793%. State grants increased 142% and federal grants rose 316%.
At Minnesota Private College Council member institutions in 2013:
- $393 million more in institutional grant aid was awarded than in 2001.
- Loan aid made up 35% of all aid — the lowest proportion of all sectors.
- For every $1 of state and local grant aid, $9 was borrowed and $14 was awarded in institutional grant aid.