7 Successful Strategies that Increase Financial Aid Retention Rates
By: FAS Staff
Offer and promote financial literacy and education programs: Many students who drop out of college or struggle to repay student loans do so because they lack financial literacy skills. By offering financial education programs and resources, financial aid offices can help students better manage their finances and make informed decisions about borrowing and repayment.
Personalized communication and outreach efforts: Financial Aid Services Reported that 86% of first-generation students use some type of Financial Aid. Financial aid offices should try to communicate with students and families in a personalized and targeted way, taking into account their individual needs and circumstances. This can include using student-specific messaging and offering individualized counseling sessions on a rotating semester base.
Streamline and Simplify awarding process: The financial aid process can be hard to navigate, and complex and confusing financial aid processes can discourage students from applying or accepting financial aid awards. By simplifying and streamlining these processes, financial aid offices can make it easier for students to receive and accept financial aid.
Monitor academic progress and provide support: Financial aid offices should monitor academic progress and provide support to students who are struggling academically. This can include offering academic counseling, tutoring, and other support services to help students succeed.
Encourage involvement in campus activities and organizations: Students who are involved in campus activities and organizations are more likely to stay enrolled and graduate on time. Financial aid offices can encourage involvement by providing information about campus events and organizations and offering support for extracurricular activities.
Offer incentives for meeting academic milestones: Financial aid offices can offer incentives such as book stipends, meal plans, grants, or other financial rewards for students who meet academic milestones such as maintaining a certain GPA or completing a certain number of credit hours.
Monitor and address non-academic factors that can impact retention:
Non-academic factors such as mental health, housing, and food insecurity can impact a student’s ability to stay enrolled and succeed academically. Financial aid offices should be aware of these factors and provide support and resources to address them.
