Is Your Teen’s College Financially Safe? What Parents Must Know About College Closures and Risk

Key Takeaways for Parents:

Many colleges — especially small, private, non-urban schools — are under significant financial strain

Some colleges have closed with little warning, leaving students scrambling

Graduation rates below 50% are a major red flag

“Merit scholarships” are often tuition discounts, not actual awarded funds

Low-enrollment majors may be at risk of being eliminated mid-degree

Teach-out agreements exist but may transfer students to similarly struggling institutions

Financial health should be the first checkpoint when building a college list

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