Navigating the Financial Aid Process: Borrowing Outcomes among First-Generation and Non-First-Generation Students

A growing number and proportion of students rely on student loans to assist with the costs of postsecondary education. Yet little is known about how first-generation students use federal loans to finance their education. In this article, we examine each of the decisions that culminate in student indebtedness: the decision to apply for aid, whether to borrow, and how much to borrow. We find significant differences by generational status at each step of the student borrowing process. First-generation students are more likely to apply for financial aid, borrow, and take out larger loans than their peers, after controlling for a rich set of covariates for costs and financial resources. We find that student characteristics cannot fully explain these observed differences in borrowing outcomes across generations.

Student indebtedness amongst graduates from Canadian Optometry Schools

Purpose: The objective of this study was to investigate the level of student indebtedness amongst the graduates from the two Canadian optometry schools (Montreal and Waterloo). A secondary objective was to investigate the financial impact of the clinical externship program on the overall student debt. Methods: The 2007 graduating class was surveyed anonymously. Information was obtained on demographics, number of years of study, expenses related to externships and the overall estimated level of debt upon graduation. Results: The mean overall debt varied between zero and one hundred and fifty thousand ($150,000 Cdn), with UW students having a higher mean debt (UM $26,750; UW $75,165 Cdn; p<0.05). Males had a significantly higher debt than females at either school (F $48,200 vs M $59,231; p<0.05). Conclusions: This is the first report of Canadian optometry student indebtedness. Understanding the factors that contribute to the optometry student indebtedness is the first step in understanding the financial burden of students attending Canadian optometry schools.