Home » News » News Item

August 08, 2013

Grants Get Results: Better Financial Decisions, Fewer Loan Defaults

Jefferson City - The Default Prevention Grant Program of the Missouri Department of Higher Education has awarded $885,724 to 34 institutions of higher education to promote financial literacy among their students.

Now in its 13th year, the Default Prevention Grant Program has enabled colleges and universities to launch default prevention programs on their campuses, with notable results. Vigorous financial literacy programs helped Missouri keep student loan default rates below the national average.

  • U.S. student loan default rate - 9.1 percent*
  • Missouri student loan default rate - 8.6 percent*

The grants are awarded through a competitive application process. The maximum grant amount per year is $25,000. With these funds, the institutions launch financial literacy initiatives to help students live within their means, make smart choices about money management and plan for a secure financial future.

The schools are free to invent their own programs, tailored to the needs of their student body. Webster University, for example, provides financial counseling in the evening, when busy undergraduate students are generally out of class. Eden Theological Seminary, whose enrollment is largely graduate students with families, provides shopping and recipe tips for wholesome, inexpensive meals.

Institutions do not have to participate in the Default Prevention Grant Program to receive MDHE default prevention training. To schedule training, go to the MDHE website to complete a speaking event form, or contact Marilyn Landrum at marilyn.landrum@dhe.mo.gov and Sarah Schedler at sarah.schedler@dhe.mo.gov .

2014 Default Prevention Grant recipients are:

  • Aquinas Institute of Theology
  • Avila University
  • Bryan University
  • Cape Girardeau Career & Technology Center
  • Columbia College
  • Concordia Seminary
  • Cox College
  • East Central College
  • Eden Theological Seminary
  • Fontbonne University
  • Forest Institute of Professional Psychology
  • Franklin Technology Center
  • Harris-Stowe State University
  • Jefferson College
  • Kirksville Area Technical Center
  • Lincoln University
  • Linn State Technical College
  • Metropolitan Community College
  • Mineral Area College
  • Missouri Southern State University
  • Missouri State University
  • Missouri State University-West Plains
  • Missouri University of Science & Technology
  • Missouri Valley College
  • Missouri Western State University
  • Moberly Area Community College
  • North Central Missouri College
  • Southeast Missouri State University
  • St. Charles Community College
  • State Fair Community College
  • Stephens College
  • University of Missouri-Columbia
  • Webster University
  • Wentworth Military Academy

*Most recent two-year official rates for loans that went into repayment in 2010