Why is NYU's financial aid particularly bad?

Juvenis · 10-13-2012, 09:17 PM

I keep hearing on these boards that you'd find more money looking for coins on the sidewalk than nyu's FA package. But why is that the case? It's prestigious and private, albeit the largest in the country. Am I missing something here?

cptofthehouse · 10-13-2012, 09:24 PM

It's not particularly bad. It's just that it is a school in the category of top private universities that is both need blind in admissions and does not meet full need most of the time. It's also a large university so a lot of people are affected since many people apply there. There are more universities and colleges that operate in this regard like NYU than not. It's just on these boards, more interest is in the selective schools so you do read much about, say DePaul University, There is very little discusiion about any aspect of that school whereas a lot come up about NYU. And invariably in that discussion comes it aid policies. I think NYU's financial aid is as better than most collleges' since most are need blind in admissions but do not tend to meet full need. But in its peer group, it is unusual that it operates the way it does.

Juvenis · 10-13-2012, 09:29 PM

so it's RELATIVELY bad?

sally305 · 10-13-2012, 09:42 PM

It's PARTICULARLY bad. If you look at collegenavigator.gov you can see the stats:

AVERAGE NET PRICE BY INCOME 2010-2011
$0 – $30,000 $25,462
$30,001 – $48,000 $28,961
$48,001 – $75,000 $36,764
$75,001 – $110,000 $40,148
$110,001 and more $46,306

Juvenis · 10-13-2012, 09:54 PM

That's horrible...

canadiannerd · 10-14-2012, 01:16 AM

I think as compared to Ive Leagues, private schools such as NYU don't have as big of an endowment so they can't help students as much. That's what my guidance counselor told me...

BobWallace · 10-14-2012, 01:24 AM

NYU's endowment per student is only ~$62K. That is very low compared to top private schools.

sally305 · 10-14-2012, 08:47 AM

canadian, you are right that some of the Ivies have enormous endowments. But a lot of private universities (and LACs) have far more resources to devote per student than NYU. A lot of what NYU does have is tied up in its constant quest for real estate in one of the most expensive cities in the world.

cptofthehouse · 10-14-2012, 10:45 AM

I am no personal advocate for NYU. However, I have seen kids get their best aid package from them. It all depends on how much they want you. It is NOT a safety school in terms of admissions or aid.

What is particularly galling, in many respects, is that it seems like a lot of lower/middle income families are busting their banks to send their kids to NYU, they so want it. How are these breakdowns at other like colleges? Especially those that do not guarantee to meet need, and are need blind in admissions. Some schools will just reject those students who are high need if they guarantee any need; it's a small list but many of such schools are considered peer schools in selectivity and ranking.

annasdad · 10-14-2012, 02:05 PM

As long as they can fill their classes doling out minimal aid, what's the incentive for them to change?

When and if people realize that an equivalent education can be had for far less elsewhere, things may change. As long as parents and students buy into the myth that there is something special about any highly selective school - and as long as easy credit makes it possible for people to make dumb decisions - prices will stay up and aid packages will stay down.

cptofthehouse · 10-14-2012, 05:06 PM

I think Annasdad's explanation also accounts for a part of NYU's popularity even when it is not something a lot of the families paying for their kids going there should be doing.

OHMomof2 · 10-15-2012, 01:06 PM

A lot of kids want to go to school in NYC but don't have the stats for Columbia or Barnard (or Julliard, Mannes, etc). So....NYU. Right in Manhattan, a cool neighborhood at that. A lot of families will pay for that.

Fordham's aid isn't so hot either, probably for similar reasons.

sueinphilly · 10-15-2012, 02:30 PM

My son graduated from NYU College of Arts and Sciences in May 2011
He received $125,000 in SCHOLARSHIP money during his 4 years at NYU

He is a white male, from single parent home (never met his father) in Philadelphia

His SAT was 2250 (790 math, 740 reading, 720 writing)

My EFC was in the range of 11-13K per year. I figure I paid (out of savings) about 60K over 4 years.

His ONLY loans, were Perkins loans 2400 * 4 = 9600
Subsidized stafford loans 3500, 4500, 5500, 5500 = 19000

He is gainfully employed since graduation and currently earning 75K a year

we feel he got his money's work and are eternally grateful to NYU for making my son's dream come true.

MommaJ · 10-15-2012, 02:40 PM

I think the following explanation of NYU's finaid approach (taken from the NYU forum) explains why NYU financial aid is considered to be poor, while at the same time there are stories like sueinphilly's:

Quote:

(1) NYU DOES NOT meet full need. They are VERY stingy with funds, as our endowment is VERY small. And don't quote it's 2.3 billion! That's so much money! Well, that has to keep NYU operational. If we look at an expenditure, how much does all that New York City real estate cost yearly? Professor salaries, other staff salaries? Providing for 43,000 students in the heart of one of the most expensive cities in the world, in one of the most expensive zip codes in New York, is VERY costly.

(2) NYU gives aid NOT on a need basis, but RATHER on a desirability basis. Most NYU financial aid comes in the form of scholarships, large scholarships are given to the students they want more, whereas smaller ones given to students they want less. Admissions ranks the desirability of students and the financial aid office allocates funds based on the rankings of the students. Typically students are ranked in tiers of desirability.

(3) There are of course exceptions to (2), wherein NYU will give larger amounts to people more in need. However, these usually occur within the same desirability ranking. E.g. a student in tier 1 (most desirable) with EFC $10,000, MAY get more than another student also in tier 1 with EFC $25,000.

(4) Trying to appeal a financial aid decision is VERY difficult and in some cases impossible. Even if you can appeal, NYU RARELY grants appeals. This is true not only for financial aids, but for all students appeals in any regard.

I think that explains why a student with adequate credentials for NY and several other schools may get very nice financial aid packages from the others, but little from NYU, leading to the reputation OP is asking about.

cptofthehouse · 10-15-2012, 05:22 PM

Fordham is less expensive for commuters due to the commuter allowance which is a generous $6K off the tuition. They also give some very generous merit awards for test scores that might not even get you accepted to NYU. NYU does not tend to give much in merit money, but are big in merit within aid packages.