Pell Grant Changes Mean More Borrowing by Students

New federal rules for the awarding of Pell Grants will result in more borrowing by low-income college students across the country, says the director of financial aid at Duke University.

"Pell Grants are a critical component of student aid packages for low-income students," said Duke's James A. Belvin. "For many students around the country this will mean that they must borrow more to cover those educational expenses that would have otherwise been covered by Pell funds."

Belvin is co-author with Joseph Russo, director of student financial services at the University of Notre Dame, of a new book titled "How to Save for College." The book, published in the fall by Random House/Princeton Review, provides parents and others interested in establishing a college savings plan with information on investments, tuition savings or prepayment plans, education tax benefits, loans, financial aid and other topics. Belvin and Russo also offer insight on the myths and realities of college costs and tips for students on how to cut costs.

Duke students will not be affected by the rule changes because the university "is committed to meeting 100 percent of each student's demonstrated need," said Belvin, who has testified several times before Congress on financial aid matters. "Duke will therefore revise institutional need-based aid awards to replace those Pell funds that have historically been available to our neediest students."

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