Campus-Based Practices for Promoting Student Success: Financial Aid

The relationship between financial aid and student success, is partly determined by the nature of the aid package. Whereas the receipt of grant aid and work-study has generally yielded a positive effect on student persistence, the receipt of loan aid has been unassociated with persistence (Hossler et al., 2009; U.S. General Accounting Office, 1995). Moreover, the accumulation of student loan debt has been mainly negatively correlated with persistence (Hossler et al., 2009). This report thus summarizes key findings from research that may inform institutional policy regarding grant aid and work-study programs.