New Cornell College program to pay up to $12,000 in students’ federal loans
MOUNT VERNON, Iowa (KCRG) - Cornell College announced on Tuesday a new program that will pay half of a student’s federal loans, up to $12,000, at the time of their graduation.
The college said its ‘Debt Reduction Pledge’ will provide the funding for 65 first-year students, starting with those enrolling for the 2022-23 academic year.
The college’s requirements for the program are that the students must graduate from Cornell in four years, live on campus, maintain good academic standing and stay enrolled as a full-time student.
In a news release, Cornell Vice President for Enrollment Management Wendy Beckemeyer said run-of-the-mill programs aren’t providing the solutions to the current problems with access and affordability to higher education.
“The Debt Reduction Pledge is one more thing we can do to help students access a quality education and reduce debt, so our graduates can take the next steps in life with fewer financial worries.”
The college released the following explanation of how the program works:
- “If students take out $24,000 or more of federal loans, the college will pay up to $12,000.
- If students take out less than $24,000, the college will pay half of their final federal student loan bill.
- For example: At the time of graduation, the college would pay $4,000 for a student who has borrowed $8,000 in federal loans.”
The college said the Debt Reduction Pledge will work in conjunction with all of Cornell’s current financial assistance support and won’t impact any aid, scholarships, work-study, or other support from a student’s financial aid package.
For more on the program, click here.
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