“ For the first time, NYU’s financial aid packages met the full demonstrated financial need of every student in its first-year class. The new policy, which started with the class of 2025, also covers international students, according to NYU spokesperson John Beckman.
Beckman added that the university expects to continue meeting demonstrated financial aid for every accepted student in the future. Until this year, NYU did not guarantee it would meet the full demonstrated need of every admitted student”
Of course, the actual result depends on how NYU defines “need” for the purpose of meeting it with financial aid.
Here is NYU’s net price calculator page: Estimate Your Cost . Since NYU uses the College Board’s CSS Profile, the more detailed College Board net price calculator is likely to be closer to what NYU is actually likely to offer.
Note that NYU requires both parents’ finances if they are divorced or separated, so students unfortunate enough to have divorced parents still fighting their divorce are probably out of luck.
I personally have NO issue with students taking the $27,000 over all four years of Direct Loan money. At $80,000 plus a year for NYU, this small loan amount isn’t onerous, in my opinion.
NYU is my S22’s first choice (he applied ED), as well as my late father’s alma mater. Though we won’t qualify for aid at all, I’m glad to see the school make this change. Beyond being good for the recipients, it also furthers NYU’s elite positioning, since meeting full need is increasingly a hallmark of top schools.
I know many students from middle class families who will be responsible for paying back these federal loans themselves, including my kids. Low income students are going to be graduating from NYU, other middle class students (including my kids) will be graduating from lower ranked colleges since they were not eligible for additional financial aid so had to try to get merit instead of applying to reaches. Why is it feasible for middle class kids to be able to pay back the $27,5000 after graduation, but not the lower income kids with a degree from a much more selective university?
Agree. Speaking from personal experience, I was very “low income” and I took loans knowing that I would work my tail off to get good grades and to repay my loans. I repaid all of my loans with my “unexpected” windfall after I graduated.
The devil is in the details. I’m not sure how NYU is going to do it. If NYU has to increase FA by $11k (based on its own number in the current year according to the article) for each FA recipient, it’d cost NYU about $300m extra a year. That’s about an extra 5% of its endowment. Would it draw down its endowment? Or would it target affluent school districts and internationally even more? We’ll see.
For families with fewer financial resources, there would presumablty be less family help with loans, living expenses and so on. If there is no family help, as is sometimes the case regardless of family financial status, I would think many middle class as well as low income families would still avoid NYU due to loans in the package. It seems you are saying that your kids avoided expensive schools, and that seems wise. That would be even wiser for familiies with incomes that are low.
So I am not sure what you are asking. Glad to hear that some grads are able to handle the debt, but I know too many who can’t and it hobbles them for years.
I’m saying that after graduation, the middle class student isn’t always in a better position to repay debt than a lower income student, a poster suggested that lower income student should be offered financial aid that does not need to be repaid instead of the $27,500 federal loans. Many graduating students from middle class families get no help with their loans.
Kids from middle income families have a financial backstop low income kids don’t. Middle income parents can help fund moves (moving expenses, first month’s rent, deposit) to locations with better opportunities, cover payments if the student is out of work or gets sick, absorb the costs of the kid living at home if it takes a while to find a job, etc.
But not all parents are able or even willing to continue to support their adult children. I know many who’ve downsized and moved. Those who had to struggle to help pay tuition aren’t going to keep up the financial support. Some might’ve put off aggressively funding retirement. I remember one of my friend’s divorced parents moved out of state when she was in college (she lived at home and commuted, her parents couldn’t afford to live in this high COL area any longer so my friend was left without a place to live and with loans). My oldest ended up couch surfing for a year after graduation until covid hit and she could work remotely anywhere. I do know many college graduates who are lucky covid hit so they can live at home even though their offices aren’t close.
Can we move off the affordability of college and/or the rationale for loans. Both are valid topics, but are well beyond the scope of this thread, and hardly unique to NYU.