Policy analysts are concerned the Department of Education is not reaching and engaging with low-income and disadvantaged student loan borrowers in the most effective ways.
Tia Caldwell, higher education policy analyst for the progressive think tank New America and one of the authors of a new report, highlighted more than 40% of low-income borrowers are unaware of income-driven repayment plans.
She said it is concerning because debt collection on defaulted loans will resume in September. While the Biden administration has helped struggling borrowers through its Saving on a Valuable Education plan, Caldwell emphasized some still do not know about its benefits. In Nevada, more than 36,000 federal student loan borrowers have enrolled but Caldwell argued the department should consider new outreach methods.
"The Department of Education is just missing a whole chunk of people and so we really heard from a variety of outreach experts that you need to reach people through multiple mediums," Caldwell explained. "We would love to see more texting and creative ideas like push notifications, things like that; reaching borrowers where they actually are, on their phones."
Caldwell stressed unless the department and its contractors' outreach improves, borrowers from marginalized backgrounds will be at a high risk of default when debt collections resume. She recognizes while the department and its contractors have made improvements, they can continue to make strides but it will take more funding and prioritization from Congress.
Caldwell pointed out the report lays out a number of recommendations to help improve communication, which should first come from the Department of Education, but it also touches on the role other government agencies could play as "trusted messengers" when they come into contact with student loan borrowers.
"We'd love to see, like, an 'all of government' approach so that if a vulnerable borrower or low-income person reaches the government in any way, they'll be screened for a variety of different needs and be directed to a variety of different benefits they need: SNAP, student-loan assistance, all of that through any door," Caldwell outlined. "That is, like, a pie-in-the-sky thing, it is far away."
Caldwell added there is also a significant need for what she called user testing, meaning the Department of Education understands what it is like to be a borrower navigating what at times can be complex systems and subsequently talks with them about what is working and what is not.
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According to research from Lumina Foundation, the rate of U.S. high school seniors seeking higher education is on the upswing.
Although Ohio student rates are improving, the numbers show they still rank behind national figures. The foundation's Stronger Nation report showed nearly 55% of American adults aged 25 to 64 have a college degree or industry-recognized certification. Ohio's attainment rate is almost 53%, 12 points shy of the 2025 goal for the state.
Teresa Lubbers, a Lumina Foundation board member and president of the Sagamore Institute, a think tank focusing on social impact issues, said the study was done with a sense of urgency.
"I don't think that the salary alone can be the measure because some important jobs don't have the pay that we think they should have," Lubbers pointed out. "But economic mobility is an important way to measure it, and all degrees and credentials should ensure economic mobility and meet workforce needs."
The report specified a post-high school education as an associate's, bachelor's or master's degree or an industry-recognized certificate. It noted 60% of adults in the United States will need a post-high school credential in training and a demonstrated competency in an employable skill.
Data classified by race and ethnicity showed progress across the board. The report found 31% of Black students either have an associate, bachelor's or master's degree, while 45% of white students, 32% of Hispanic students, and 66% of Asian students have obtained degrees.
Lubbers stressed it is important to compile the information.
"Whether it's college readiness, college completion, dual credit, return on investment, the number of credentials and certificates, all of those things roll up to make the case for what we're doing and what's working," Lubbers outlined.
The report recommended maintaining the current achievement figures and boosting enrollment numbers in credential-based institutions.
Support for this reporting was provided by Lumina Foundation.
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Institutions need to do more to close the higher education graduation gap for Native Americans, according to a new report.
The report notes at just 25%, Native Americans have the lowest college-going rate of any racial group in the country.
Cheryl Crazy Bull - the president and CEO of the American Indian College Fund, who helped author the report - recommended states set specific higher education goals, focused on increasing Native participation.
She added that they should prioritize direct engagement with tribes and schools to provide resources, as well as expanding recruitment practices.
"Those practices," said Crazy Bull, "can often exclude Native students who live in reservation rural areas as well as urban Native students."
In 2022, Oregon made public universities free for Native students enrolled in one of the state's nine federally recognized tribes through the Oregon Tribal Stewardship Grant.
The program has been gaining steam over the years - but the graduation gap, made larger during the pandemic, has not closed.
While Crazy Bull said financial barriers play a big part in preventing native people from accessing higher education, she added that not all issues can be solved with money.
"How do institutions create a place or a sense of belonging for students?" said Crazy Bull. "That's just a constant effort."
Crazy Bull added that even before the new administration, anti-DEI practices were harmful to Native students' experiences.
Native students can apply for the Oregon Tribal Student Grant until April, as long as funds are available.
To qualify for the grant, they must be accepted for enrollment at an Oregon college or university.
Support for this reporting was provided by Lumina Foundation.
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New York State is making historic higher education investments.
As part of the 2026 budget proposal, Gov. Kathy Hochul proposes free community college for people ages 25 to 55. Not only would it cover tuition costs, but also books, supplies and other fees. Implementing the measure would allow New York to join a legion of states with similar policies.
Jeff Smink, deputy director of The Education Trust New York, predicted it would bolster the growing semiconductor workforce and other high-demand fields.
"To get some of these high-paying jobs, you need a skilled workforce," Smink pointed out. "I think the investment in community colleges -- and SUNY (State University of New York), CUNY (City University of New York) -- is going to help get us that workforce, particularly for students of color, students from low-income backgrounds that might not have had these opportunities in the past."
It is one thing to get into college, but it is quite another to finish. Money is often the reason people do not finish and student loan debt can hold people back from making bigger financial moves. The Education Data Initiative reported New York has around 2.5 million student loan borrowers with nearly $95 billion in student loan debt.
College investments can only benefit people with a strong educational foundation. Smink noted free community college could reduce the number of students who have to take remedial college classes since they did not get the same knowledge in high school. He thinks New York's budget proposal needs more investment in literacy instruction.
"Part of the problem is students who are getting their teaching certification are not taught how to teach reading aligned with the science," Smink contended. "There's some efforts happening there but we'd have liked to see some funding to help SUNY teacher preparation programs align their instruction, so that when teachers get into the classroom they're already prepared and won't need any extra support or reteaching."
New York State has one of the worst literacy rates in the country. National scores for the state's fourth and eighth grade students show declines in reading and math proficiency which have continued to slip since the pandemic.
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