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Consider School Accreditation When Determining a College's Value

By U.S. News & World Report

Over the years, the Student Loan Ranger has offered a range of data points that students and their families should consider when deciding on college. Comparing a school’s default rate, average debt levels and graduation rates are just some of the things students should look at when determining which school might give them a better path to success and a good return on investment.

Another important but often overlooked aspect of an institution’s value is accreditation. Accreditation is a process in which accrediting agencies assess the quality of education that higher education institutions offer and ensure they meet certain standards.

[Discover how to tell if an online program is accredited.]

Many consumers are under the incorrect assumption that the federal government is responsible for accrediting colleges and universities. In fact, accreditation is just one part of a three-pronged approach to school oversight:

— The Department of Education has regulatory oversight responsibility for the way schools handle federal student aid funds and to ensure equal access to education.

— Individual states ensure that schools comply with the state’s consumer protection laws and authorize the schools to operate in that state.

— The accrediting agencies ensure that the schools or their programs meet certain levels of quality.

While the Department of Education has no real authority over the robustness or content of schools’ programs, it does have some indirect authority. For schools to receive federal financial aid funds, they must have a Department of Education-recognized accrediting agency accredit them. If the agency isn’t up to par, then the schools using that agency can’t receive aid — and most schools require federal aid to attract students.

The Department of Education recently voted to cease recognition of one large accrediting agency due to a series of complaints related to the agency’s oversight and other practices. Once the decision is finalized — and if the court doesn’t block the decision — schools using this agency will have 18 months to find new accreditation or risk losing their eligibility for federal student aid.

Lost federal aid can hurt the schools’ current students. For example, students may have difficulty finding schools willing to accept the credits from an institution that lost its accreditation and failed to find new credentials, leaving them with student debt and no degree.

[Here’s what to know if your college loses federal funding.]

What Accreditation Means to Students

Understanding accreditation and how schools’ accreditation is viewed can help students and their families as they evaluate whether their school of choice is a good financial fit for their current and future economic situation. Remember, just because schools are accredited doesn’t mean they are eligible to receive federal financial aid funds — as previously stated, schools must use one of the Department of Education’s approved accrediting agencies. Students should keep this list on hand as they review their college choices.

Students also need to understand that not all accreditation is considered equal. Regional accrediting agencies are generally considered more robust than national accrediting agencies. In general, regionally accredited schools tend to be academically oriented rather than trade oriented. Regionally accredited schools, including state schools, also are more likely to be nonprofit.

[Consider these Best Value Schools.]

Certain accrediting agencies also review different aspects of schools. Institutional accrediting agencies review the entire school, while programmatic or specialized accrediting agencies focus on schools’ particular areas of study, such as teaching or medical-related education.

Examples of specialized accrediting agencies include the American Bar Association and the American Academy of Forensic Science. The Council of Higher Education Accreditation maintains a full list of such accrediting agencies.

The type of accrediting agency that approves schools can be very important not only for the recognition but also for credit transfer. Institutions are much more likely to accept credits from schools with regional accreditation or specialized accrediting agency-approved programs. If students already have student loan debt from taking classes at one school, they certainly don’t want to incur more debt to take those same classes at a new school.

Students and faculty can also use accrediting agencies to help ensure schools are maintaining educational excellence and quality. All accrediting agencies maintain a complaint process that students and faculty can use to resolve education-related disputes with the institution or to notify the agency of an overall issue with the institutions or their programs.

Student loan holders with c omplaints specific to student loans or other federal aid, though, must file those concerns directly with the loan holder or the Department of Education.

Accrediting agencies play an important role in ensuring that students are receiving a quality higher education experience. As such, it is important for students and their families to understand this role and consider schools’ accreditation as an important data point when choosing a college.

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Consider School Accreditation When Determining a College’s Value originally appeared on usnews.com

Don’t Settle for Student Loans to Pay for Online Education

By WTOP Staff
Online college programs are becoming a more popular choice for prospective students, with one study finding that more than 6 million students enrolled in at least one online course in fall 2015. The popularity of these courses can be attributed in part to their flexibility with working adults' schedules, students' ability to progress more quickly through online programs and, oftentimes, cheaper tuition. [See 10 low-cost online bachelor's programs for out-of-state students.]Online degrees can be beneficial to many college students, but some studies have shown online learners complete their programs at lower rates than students at traditional brick-and-mortar campuses. Individuals with student loans but no degree comprise two-thirds of defaulted borrowers. Though these numbers are not encouraging, just like for traditional programs, there are ways to reduce how much you'll need to borrow for an online program to ensure you won't become one of these statistics. Don't just settle on borrowing student loans to cover the whole cost of your program and living expenses. Instead, start thinking about how to cut costs and cover your balance in different ways, such as the following. -- Grants and scholarships: Even though you are taking an online course, you can still apply and receive grants and scholarships. But your first step should be to complete the Free Application for Federal Student Aid, commonly referred to as the FAFSA, which will allow you to receive a Pell Grant if your expected family contribution is low enough. The EFC criteria and award amounts are adjusted annually, but the 2017-2018 academic year awards range from $606 to $5,920, which could significantly lower the amount you borrow annually. Your next step is to apply for scholarships. You can start by checking online scholarship search engines, such as the Salt Scholarship Search, College Board's BigFuture and Peterson's. But don't forget to take advantage of local organizations and your school's financial aid office. Both may offer scholarships that you can't find with a national scholarship search. [Review these 10 sites to kick off your scholarship search.]For instance, organizations like the Elks Club, Knights of Columbus or the Rotary Club typically offer scholarships annually to local students. Just because you're going to school online doesn't mean you're ineligible. Visit your local library for scholarship listings, and ask around town. You might be surprised how many local organizations offer scholarships. While these scholarships typically aren't large, every little bit counts. Each dollar you receive in a scholarship is a dollar you don't have to borrow and pay interest on. -- Work-study: Another option for online students may be work-study awards. Not all students enrolled in online programs are eligible, but students at some schools -- including, for example, SUNY Empire State College and Liberty University -- are. Work-study awards are not given upfront like scholarships and grants. In most cases, they are an offer to earn up to the awarded amount if you secure an eligible work-study job. While there is a misconception that all work-study jobs must be on campus, students can work for off-campus, nonprofit or public employers as long as the work is in the public's interest. You may be able to work for a for-profit employer if the job is relevant to your course of study. No matter who the outside employer is, it will need to have an established agreement with your college for you to receive work-study funds. Remember, to be eligible for federal financial aid, you must be enrolled and pursuing a degree or certificate. If you're not working toward a credential, Pell Grants and work-study won't be option, but you may still be able to take advantage of private scholarships -- just be sure to read the eligibility criteria carefully. [Explore what to know about financial aid in online programs.]-- Pay as you go: One of the great benefits to enrolling online is the flexible schedule, which can allow you to complete your college coursework around your responsibilities. But prospective students often overlook using their part- or full-time job earnings as an option for paying for college. Almost 80 percent of college students in 2015 worked at least part time while attending classes, according to the National Center for Education Statistics. By budgeting and thinking strategically about your college costs, you can likely reduce your dependence on student loans by paying a portion out of pocket. Many -- but not all -- online programs are less expensive than traditional programs and often have shorter payment periods. Six, eight or 10 weeks are common course durations. Because of the frequency of payments in an online setting, you may be well-placed to pay as you go and possibly avoid borrowing altogether. Attending college online and avoiding student loans may be challenging, but if you are willing to put in the effort, you can limit the amount you need to borrow. More from U.S. News Q&A: Understanding Student Loan Discharge Eligibility Student Loan Refinancing Isn't Right for All Borrowers
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