Private School Enrollment Shrinking

Online, August 26, 2010 (Newswire.com) - According to a recent report by the Department of Education, private secondary school enrollments have been shrinking - over the four year period from 2006 to 2010, overall enrollments at private schools has dropped by an average of 3 percent nationwide.

The U.S. Department of Education estimates private school enrollment declined by 3% in the years between 2006 and 2010, reducing the amount of funds that schools have available for operating costs - let alone budgeting extra for student financial aid programs. The recession has impacted families heavily, causing donations from alumni to fall drastically in some cases. Even schools that have significant investments or enjoy the benefits of an endowment have seen the income from investment portfolios fall and endowments to shrink.

Faced with declining enrollments, many schools are hesitant to increase tuition to offset the loss of income, choosing instead to use creative fund-raising or innovative programs designs to cut costs. One school, Providence Catholic High School, in Burbank, California hired two actors to teach a full theater arts curriculum at a fraction of the cost of regular drama and choir teachers. The result has been a revitalized drama program - the actors' passion for teaching their craft has paid off. Other schools are extending enrollment deadlines or increasing fund-raising efforts.

Even so, a study by the National Association of Independent Schools showed that one out of every five parents of students in private schools pay for tuition and expenses by using some form of credit - typically personal loans, home equity loans or credit cards.

Private school parents will tell you that providing their children with the best available education is essential, but it is an essential that is becoming harder to afford. For parents who remain committed to providing their children with private school educations, loans and credit cards are often the only remaining options, but they often come with higher interest rates and fees than they did even a few years ago.

Find out if you qualify for a personal loan or small business loan by applying here.