students woory about economy

Economic stress gets into the nooks and crannies of life, and college students not only are no exception, but the cost of paying for higher education can increase the worry factor for them and their families. Penn State Altoona sophomore Erin Nebgen is paying part of her education with tips she earns as a waitress. ''It's really kind of hit home right now,'' she said of the economy. Nebgen said with people not eating out as much, her cash flow suffers, which makes it hard to pay for items such as school books. Nebgen and junior Lauren Campbell receive financial aid, but worry about the rise in tuition and the dip in bank loans. Penn State University trustees approved tuition hikes of about 5 percent for the 2008-09 academic year in July. The percentage differs according to a student's academic year and which campus he or she attends. ''I still have at least two years of school left, and I don't know if I'm going to be approved for loans,'' Campbell said. ''It's not like it was before, where you could get a loan for everything,'' Nebgen said. Both worry about the rising competition for student aid funds, and Nebgen says the worries can keep her up at night. Penn State Altoona's director of student aid David Pearlman said the department is receiving phone calls from students and families concerned about their financial future in an uncertain economy. Penn State Altoona chancellor Lori J. Bechtel-Wherry sent a letter addressing the matter to the 4,000 families financially tied to the school. ''We have been getting calls as a result of the outreach of our chancellor,'' Pearlman said. He said families who never considered student aid before are inquiring. The department can do a circumstance evaluation review to try to get more money for a student, he said. Pearlman said he has worked in the student aid field for 20 years and has witnessed tough times before. Although economic experts say this time around is different, he said, when dealing with job loss, his interactions often are the same. ''Families are realizing the value of education for their children,'' he said of a positive to come out of the negative. ''A college education is still very valuable.'' He said college graduates still are less likely to find themselves unemployed than those without. ''There's uncertainty,'' he said of parents calling the financial aid department. ''They're looking for direction on how to proceed.'' The Pennsylvania Higher Education Assistance Agency is encouraging families to research financial aid for the 2009 school year. PHEAA is offering free workshops to explain how to complete the Free Application for Federal Student Aid (FAFSA) form. For more information, visit www.pheaa.org/fafsa.
Mirror Staff Writer Amanda Clegg is at 949-7030.