As of 2023, 43.6 million borrowers owe more than $1.7 trillion in student loan debt. However, there is another, often overlooked, institutional debt that students may owe their former institutions after stopping out. It is estimated that 6.6 million students owe $15 billion in unpaid balances to their institutions. This institutional debt stems…

A college degree is often viewed as a key step toward better employment and higher earnings. Many community college students, however, never graduate and cannot reap the financial benefits associated with a college degree. Although existing research suggests that financial aid interventions can modestly improve students' short-term academic…

A college degree is often viewed as a key step toward better employment and higher earnings. Many community college students, however, never graduate and cannot reap the financial benefits associated with a college degree. Although existing research suggests that financial aid interventions can modestly improve students' short-term academic…

Performance-based scholarships have two main goals: (1) to give students more money for college; and (2) to provide incentives for academic progress. MDRC launched the Performance-Based Scholarship (PBS) Demonstration in 2008 to evaluate the effectiveness of these scholarships in a diverse set of states, institutions, and low-income student…

The intention of the program is that conditioning additional financial aid on certain behaviors will lead students to increase their effort towards their studies, which in turn will lead them to perform better in their classes in the short-term and progress through their degree requirements at a quicker rate in the medium-term. The program is…

Low-income students are at particular risk of not persisting to earn a certificate or degree, often because of competing priorities, financial pressures, and inadequate preparation for college. One form of financial assistance designed explicitly to reward students' academic success is a performance-based scholarship, paid contingent on attaining…

This report presents early results from a rigorous evaluation of a performance-based scholarship program that was implemented at three community colleges in Ohio during the 2008-2009 academic year. The program in Ohio that is the subject of this report is part of MDRC's national Performance-Based Scholarship (PBS) Demonstration, which was launched…

In today's economy, employers' demand for an educated workforce is steadily rising. Policymakers, education leaders, and communities across the country recognize the need to improve college attendance and success, but are constrained by the current budgetary environment. Meanwhile students themselves face mounting college costs, and financial aid…

While studies have examined the relationship between financial aid and college access, few have evaluated the relationship between financial aid and academic success. Factors that are associated with financial need, such as being low income, are also associated with a lack of academic success, making it difficult to isolate the effect of…