Here's How Much Students-To-Be Actually Know About Financial Aid

Bloomberg has just released a shocking statistic about how little 11th and 12th graders in the US actually know about financial aid. Depending on the income group, from 73% to 81% of students were "unaware that the government will subsidize their interest on qualifying existing loans while they are still in college." The Typical Student team learned more about the data.

Possibilities Of Financial Aid

Source: Bloomberg

The ACT’s Center for Equity in Learning statistic reveals that from 67% to 70% of students were clueless about the possibilities of getting financial aid. The program allows students to repay loans slower based on how much money they make after college. The statistic was gathered in April 2018 from about 1,200 students who registered to take the ACT. Students across all income levels call tuition a “very important” factor when choosing a college. Among the students who took part in the survey, 27% were black students, 31% of who are first to go to college in their family. These students anticipate paying tuition without family help. 

Financial Literacy Improvement Needed

Researchers believe there's an urgent need for more "financial literacy–specific interventions, especially in light of the economic stakes at hand".  In connection with this, ACT’s Center for Equity in Learning provides steps for improvement, which includes providing more information for students and improved outreach by college representatives. Meanwhile, US student loan debt has reached the point of $1.5 trillion. The average borrower has now reached the mark of $40,000 in student loan debt.