Research from the Hope Center for Student Basic Needs at Temple University examining data from over 65,000 undergraduate students across 153 institutions reveals a significant drop in emergency aid distribution. The share of students receiving emergency assistance fell from 44 percent in fall 2021 to 4 percent in fall 2025, according to findings from Trellis Strategies’ Student Financial Wellness Survey. Emergency aid functions as a grant to help students address unexpected expenses and has been shown to improve enrollment retention and degree completion rates.
Despite this decline in aid recipients, the number of institutions offering emergency aid programs has actually increased during the same period. The National Association of Student Financial Aid Administrators reported that the percentage of member institutions operating emergency aid programs rose from 35 percent in 2020 to 52 percent in 2025. However, federal data reveals a substantial awareness gap between program availability and student knowledge. The Beginning Postsecondary Students Longitudinal Study found that only about one-quarter of students reported knowing their institution offered emergency aid, while more than two-thirds indicated uncertainty about availability. Inside Higher Ed’s Student Voice survey similarly found that 64 percent of respondents did not know if their institution provided such assistance.
Analysts suggest the disconnect between program growth and student participation may reflect deliberate institutional choices. Research indicates some colleges may avoid publicizing emergency aid programs due to concerns about demand exceeding available funding. The inability to meet requests quickly enough defeats the purpose of emergency assistance, potentially discouraging institutional promotion of these programs.
Historically, Congress allocated nearly $40 billion in emergency aid to students through the Higher Education Emergency Relief Fund during the pandemic. Currently, only seven states maintain dedicated emergency aid programs at the state level, collectively providing approximately $46 million annually. Experts recommend Congress expand emergency aid access by permitting colleges to utilize Federal Supplemental Educational Opportunity Grant funds for emergency purposes. Without such flexibility or adequate funding, analysts warn that students will continue relying on higher-risk borrowing methods including credit cards and predatory loans when facing unexpected expenses that might otherwise prompt them to leave college entirely.
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