The Consumer Financial Protection bureau has just announced a beta version of a new tool they’ve been working on to help inform people about the costs of college in order to make better decisions.
For a first pass it’s pretty cool.
It allows you to enter up to three school names in the tool and then compare the average costs.
I ran a test calculation and to my surprise, Harvard university was less expensive than University of Iowa.
Even though Harvard University is significantly more expensive, the grants and scholarships available bring the yearly cost way down.
And when you compare the costs versus an average public and private college the cost of Harvard doesn’t look all that grim at all.
The current beta version is a “thought starter.” It will help users make side-by-side cost comparisons, tailored to their unique financial circumstances. While our prototype can’t determine actual debt burden when leaving school, we hope it will point students in the right direction.
The goal is to give students and their families an easy-to-understand view of how their decisions today impact your debt burden after graduation. Equally important, though, is that users can use the tool effectively. You can to adjust the loan amounts, savings, scholarship offers, and more, in order to reflect your individual financial situations.
Nice job CFPB.