As the cost of higher education continues to rise, more students face financial challenges that affect their ability to attend college and their likelihood of completing their degrees. For many, the stress of managing tuition, living expenses, and potential student loans can become overwhelming, leading to academic underperformance or even dropping out. In this climate, colleges and universities are realizing that providing financial wellness services is not just a benefit – it’s a necessity. By integrating these services into their enrollment and retention strategies, institutions can better support their students and set themselves apart in a competitive market.
The Power of Financial Wellness in Attracting Students
A key factor in a student’s decision-making process is how they will manage the cost of attending college. Schools that offer comprehensive financial literacy services demonstrate their commitment to helping students navigate these challenges. By promoting access to tools like budgeting workshops, debt management resources, and personalized financial coaching, institutions send a clear message: they are invested in their students' financial success.
For prospective students, knowing that they will have access to resources that can help them manage their finances can ease anxieties about student loans and post-graduation debt. As a result, these services can serve as a differentiating factor when students are choosing between colleges, giving institutions that prioritize financial wellness a competitive edge.
Improving Retention Through Financial Literacy
Once students are enrolled, financial stress can become a significant barrier to academic success and retention. Studies have shown that financial struggles are one of the leading reasons students drop out of college. Whether it's confusion about loan repayment, difficulties balancing work and study, or unexpected financial emergencies, many students find themselves overwhelmed and unable to continue their studies.
Offering ongoing financial wellness programs can play a crucial role in addressing these issues. When students have access to tools that help them budget effectively, plan for future expenses, and manage debt, they are more likely to remain enrolled and complete their degrees. Financial wellness services provide a safety net that empowers students to make informed financial decisions, reducing the risk of them dropping out due to financial difficulties.
Integrating Financial Wellness into Enrollment Strategies
Colleges and universities should integrate financial wellness services into their broader enrollment and retention strategies. Doing so requires a holistic approach that incorporates financial literacy into the student experience from the moment a prospective student expresses interest in the institution.
Marketing Financial Wellness: During recruitment efforts, institutions can highlight their commitment to student financial well-being. Whether through campus tours, information sessions, or digital marketing campaigns, promoting financial wellness programs as a cornerstone of student support can appeal to both students and parents.
Orientation and Onboarding: Introducing financial wellness services early, during orientation, ensures that students are aware of the resources available to them. Offering workshops or seminars that teach students about budgeting, managing student loans, and planning for post-graduation can set the tone for a financially healthy college experience.
Ongoing Support: Financial education should be an ongoing part of the college experience. Offering regular workshops, one-on-one coaching, and easy access to financial tools helps students maintain their financial health throughout their academic journey.
How iGrad Can Help
Today, iGrad serves over 1.2 million students across 500 schools and organizations around the country. Our award-winning platform equips students with the tools needed to succeed in the real world of personal finance. By addressing both the financial concerns of prospective and current students, iGrad helps institutions improve student attraction, retention, and long-term success, while empowering students to take control of their financial futures.
