What happens if your teen’s college closes before they graduate? In this episode, College Ready founder Shellee Howard welcomes Gary Stocker, PhD, founder of College Viability, to discuss the growing — and often hidden — financial instability facing many U.S. colleges. Gary explains why small private colleges are closing at increasing rates, how tuition discounts are often framed as scholarships, and why parents should evaluate a college’s financial health before looking at majors, rankings, or campus amenities. Together, they break down graduation rates, enrollment trends, teach-out agreements, and why low-enrollment majors can put students at risk of program closures. This episode equips parents with practical tools and a new lens for evaluating colleges — so students don’t lose time, money, or momentum. A must-listen for parents who want clarity, protection, and smarter college decisions.
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