I know Pepperdine is the right place [for me] but money always has a voice said junior David Rowe as he reflected on the price of attending Pepperdine.
Rowe is part of the 75 percent of students attending Pepperdine who rely on some form of financial aid during their four years at Pepperdine.
But in the current economic crisis, for some students like Rowe, the availability of financial aid has changed from a lure to attend a four-year private institution to a necessity to get through another semester.
Right now there is no way my family could write a check for 47 grand each year Rowe said. I wouldn’t be here if it weren’t for the aid I get.”
As 2009 begins in the midst of a recession college students are by no means exempt from the impact of the financial crisis. In an e-mail sent to Pepperdine faculty and staff Jan. 5 President Andrew K. Benton noted that students and families paying for college are experiencing diminishing personal resources. A decline in external financial aid sources and generally tight credit markets have impacted both students and the university during this period of economic turmoil.
At Pepperdine there has been an increase in demand for financial aid from students due to the impact of the financial crisis.
“We have already seen an increase in demand for financial aid from our returning students said Michael Truschke, dean of admission and enrollment management. We anticipate it will require significant resources to secure future incoming classes.”
The university must respond to the economic climate by reducing spending while simultaneously looking out for the welfare of its students according to Truschke. He said the university is implementing strategic initiatives to continue assisting eligible students with financial resources. Some of these initiatives include cutting the budget by 15 percent in 2010 to reduce the cost of operations and halting any increase in general spending.
“It is important to note that our financial aid budgets are solid and we are working hard to ensure the economic climate will not adversely affect our ability to assist students with the cost of attendance Truschke said.
Specifically, the university plans to respond to this increase in demand for financial aid by making additional grant money available to students and families who have been adversely affected by the economic downturn. It is also considering the possibility of making institutional loans available to students, according to Truschke.
Although the university is currently dealing with its own financial challenges, it has been able to secure its budget for financial aid for this year using funds from the Seaver Trust, a diversified investment made available by Benton in 2008.