Claremont McKenna Eliminates Student Loans
Michael Wilner broke the story at the CI:
"At its annual retreat this week in Newport Beach, Claremont McKenna College's Board of Trustees opted to replace student loans with scholarship grants, joining a small group of elite colleges who can afford to do so. Current students returning to CMC in the Fall will have grants in place of loans, and all packages will henceforth be strictly scholarship and grant money."
Basically, current loans must still be paid off, but in the future, all aid packages will include no loans, just grants. It sounds like this includes current students, starting in the fall.
As for the source of funding, Wilner writes, "The money will come from an endowed fund set up a number of years ago for the purpose of providing interest-free loans."
This follows a trend of other top liberal arts colleges and universities that have adopted increasingly generous financial aid policies in recent years.