1 / 19

Rescuing the Financially Fragile

Rescuing the Financially Fragile. What got you here…won’t get you there. By the end of our 30-40 minutes together…. Grateful graduates. Attrition:. A.) Positive B.) Negative C.) Neutral

eliza
Download Presentation

Rescuing the Financially Fragile

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Rescuing the Financially Fragile

  2. What got you here…won’t get you there.

  3. By the end of our 30-40 minutes together…

  4. Grateful graduates

  5. Attrition: A.) Positive B.) Negative C.) Neutral The longer s student remains at a given college or university, the higher the cost of losing that student becomes (Wetzel et al 1999)

  6. Definitions…… Financially Fragile Grateful Graduate 65% 75% 85%.....plus one

  7. What do… Waynesburg, Drexel, Gettysburg, Mercyhurst, Point Park, Susquehanna, Penn and 13 other PA schools have in common?

  8. Definitions….. Institutional Loan Sound familiar?..... a.) balance forward b.) promissory note c.) A/R’s > 90 days

  9. Still an investment in ones self….

  10. Institutional Loans: Your “money”… ProsCons Endless flexibility College is the lender Better than market I/R Lender assumes risk Low-cost/No-cost to student Cash flow implications School determines who Lender List not required School sets repay terms Forgivable balance Graduation benefit Financial Literacy benefit

  11. A partnership….. Good debt…Bad debt Creativity Administrative Compliance Quality Default Rate Cost

  12. What have you accomplished if…. a rescued rising sophomore She comes back Rising junior Rising senior Yes… a.) she persisted b.) she graduated c.) what if you helped her improve 1.) broke the cycle

  13. Your CFO?…

  14. Budget thoughts…. No capital requirements Budget a.) set aside 5,000, 10,000, 50,000? b.) existing unfunded aid grant/scholarship c.) donor dollars

  15. Not one dimensional… Enrollment a.) without giving away more unfunded aid b.) appeals c.) summer school d.) grad school e.) study abroad f.) law students studying for bar

  16. Who I am… Bill Engler National Education Cell: 651-398-2998 Email: bengler@nationaled.net Booth here Always! Willing to visit

  17. Results… When rescuing the Financially Fragile, real examples. 1.) 2.) 3.)

  18. Example of a $1,000 I/L with graduation and on-time pay benefits What can it accomplish? provides an additional financing option for your students, giving your office financial flexibility to meet your revenue goals while accommodating students’ varied financial needs Low cost to families: with 25% principal forgiveness opportunities For example - if a student borrows $1,000, that student will pay back $800 over time (with earned benefits) Cash flow example: Student awarded $1,000 in an Institutional Loan $50 minimum monthly payment required With earned benefits, student will pay $750 inprincipal after 16 months of repayment Student pays ~$800 in principal and interest payments ($50 x 16) If serviced by an outside partner, less an estimated $60 in servicing fees ($3.75 x 16 payments) Your school receives $740 ($800 less servicing fees) What you may have accomplished for an investment of $260: Student returns to school Improved your retention rate Graduated (grateful?) Improved your graduation rate Rescued tuition revenue otherwise lost Less expensive to retain vs. enroll

  19. Retention Calculator – saved revenue

More Related