PALO ALTO, Calif.--(BUSINESS WIRE)--Palo Alto University (PAU), a private non-profit higher education institution, announced today that its Tuition Stabilization Program has saved students roughly $748,000 in just one year. Launched in Fall of 2011, this program enables students to lock-in their tuition rate for the duration of their stay.
As outlined in President Obama’s fact sheet on making college more affordable, the College Board and Census data reveals that the average tuition at a public four-year college has increased by more than 250 percent over the past three decades, yet income for the average American family grew by only 16 percent. The data also reveals that the average borrower graduates with more than $26,000 in debt and just 58 percent of full-time students who began college in 2004 earned a four-year degree within six years.
“We didn’t want PAU students to become part of these statistics, so in 2011, we launched our own initiative to save our students money," said Allen Calvin, Ph.D., President of PAU. “Our Tuition Stabilization Program has already saved students $748,000 in its first year. We project future savings over the next five years at about $3.75 million.”
PAU calculated the Tuition Stabilization Program’s first year of savings by comparing what the costs would have risen to for students if they had gone up 4.5 percent per year, the rate at which most universities increase tuition fees.
“When you account for inflation, the tuition costs for PAU students will actually go down over time in real dollars,” adds William Froming, Provost at PAU and chief architect for the Tuition Stabilization Program. “Our Tuition Stabilization Program removes the worry of future tuition increases. I am not aware of any other university currently offering this.”
For more about PAU’s undergraduate and graduate programs, please visit http://paloaltou.edu.