Public colleges and universities in many states are under severe financial pressure as budgets are cut at the same time that more in-state students are applying to relatively low-priced public colleges. In fact, some of these schools are not low-priced at all, especially for out-of-state students, and costs are likely to go up as public universities try to compensate for losses in state funding. Tuition increases at some public colleges could be bigger than in previous years.

 

Of course, private colleges are not immune to the effects of the recession and they have also lost money as endowments have shrunk over the past year. Some private colleges, especially those that didn’t have huge endowments before the economic downturn and have always been more dependent on tuition, could be in serious trouble if they don’t have enough students paying that tuition. So in addition to worrying about whether you have enough money to send your child to college, you have to wonder if the school will have enough money to provide a quality education.

 

One positive development is that many private colleges are keeping tuition increases to a minimum this year and offering more financial aid, both need and merit based, in order to remain viable alternatives to public schools. The difference in cost between public and private education could get smaller, especially if budget cuts at public schools make it difficult for students to get the classes they need in order to complete their degree in four years.

 

All of this means that whether you are considering public or private colleges, in-state or out-of-state schools, it is more important than ever to do your research. When you’re putting together a college list, you need to know if a public university that would have been an easy admit two years ago is no longer a sure thing because budget cuts are forcing enrollment caps at the same time that applications are increasing.

 

While some public universities, particularly those that limit out-of-state enrollment, may now be out of reach, others could be more accessible. Some excellent public schools will be eager for more out-of-state students, whose higher tuition payments are increasingly important as these colleges can no longer count on state funding to maintain educational quality. You can compare the acceptance rates, grade point averages and test scores for this year’s entering freshman class with the previous year’s class to get a sense of whether the school is becoming more selective. Since things can change from one year to the next, ask admissions officers about any changes in admissions policies or criteria for out-of-state students.

 

Students may also find they have more options at private colleges than in recent years. While the Ivies and some other elite schools received more applications this year and are likely to remain extremely competitive, a number of highly selective colleges saw significant decreases in applications. As more families feel the impact of the economic downturn, applications could decline even more next year, especially at schools that do not promise to meet full financial need. More colleges may become need-aware when making admissions decisions, which is good news for students who don’t need financial aid. 

 

The state of the economy may impact admission prospects, but it’s even more important to know how financial pressures could affect the quality of the educational experience at a college. If a school is increasing the size of the freshman class because it needs more tuition payments, students could find larger classes and crowded triple dorm rooms.  More classes might be taught by graduate students rather than full professors. Some classes and even whole departments could be eliminated. If you are excited about a school’s linguistics major, or the opportunity to receive a stipend for doing summer research on campus, you want to know that those programs will be there when you arrive. Colleges could also make cuts in athletic programs, academic advising or health services.

 

Once you’ve created a college list, reading school newspapers, which are usually available online, will help you keep up with developments on each campus. If a college is eliminating the football team, you’ll see editorials by outraged students. When you visit a college, you can see if the buildings and grounds are well-maintained. You can also ask admissions officers how the economy is impacting the school. How are they cutting costs? Talking to students is always a great way to learn what’s really happening on campus. They can tell you if they have trouble getting into classes, the library has started closing earlier and it takes four weeks to get an appointment with a career advisor. As always, the more information you have, the better prepared you are to make decisions about college.