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Home Press Release

Why Free Tuition Doesn’t Always Mean Free – What to Look For

By Shai Reshef, President of University of the People

SVJ Writing Staff by SVJ Writing Staff
October 17, 2025
in Press Release
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The headlines this week proudly announce that elite universities such as Wake Forest, Emory and countless others are joining the movement of offering “tuition-free” education to certain groups of students. At first glance, this seems like cause for celebration—a recognition that higher education should be accessible regardless of a student’s financial circumstances. This is nothing new for the University of the People, as we pioneered a true tuition-free model.  

But let’s pause for a moment and ask: What does “tuition-free” really mean?

In many of these cases, the catch is that “tuition-free” isn’t actually free. Instead, it is an expansion of financial aid programs, scholarships, and grants—mechanisms that, while valuable, still come tethered to requirements, restrictions, or even debt in the form of federal aid packages that students are expected to repay.

This distinction matters. When universities promote “free tuition” but embed repayment obligations or hidden costs, the result is confusion at best and disillusionment at worst. Students deserve clarity when they make life-changing decisions about where to study and how to finance their futures.  Students deserve to not get caught in what we call the “tuition trap.”

What is the ‘Tuition Trap’?

  1. Education that is free (for now).  For example, student loans that make education  “free” while attending, but saddle graduate with crushing debt after graduation.
  2. Education that is free (for some).  Not a universal tuition waiver, but an income threshold to be met. This requires students to file complicated FAFSA forms and often share their parents’ financial situation. This can leave many middle-income families in a gap where they don’t qualify for aid, but also can’t afford to pay out of pocket.

What To Look For in “Free Tuition” Promises

When families see eye-catching headlines, they should ask critical questions:

  • Is this program a true tuition waiver, or is the cost covered by a patchwork of financial aid that could require repayment?
  • Are “tuition-free” promises limited only to specific income brackets, or extended universally regardless of background?
  • What about fees, materials, and required expenses—are students still burdened with costs beyond tuition?

Stepping into “tuition-free” higher education with incomplete information is like signing a contract without reading the fine print.

Why Being Truly Tuition-Free Matters

At University of the People (UoPeople), tuition is not discounted, waived, or temporarily absorbed—it simply does not exist. There are no hidden charges, no back-end obligations, and no bills waiting upon graduation. We are the first nonprofit, accredited, tuition-free, American online university built to serve those who otherwise may not have access to higher education.

Our model is straightforward: students pay only a one-time application fee, and minimal assessment fees per course to cover administrative costs.  That’s it. No tuition. No repayment obligations. No misleading headlines.  For students who can afford it, it’s $6,460 for a full bachelor’s degree for as long as it takes the student to complete their program. For those in need, these costs are covered by generous scholarships. In fact,70% of our more than 170,000 studentsaround the globe pay nothing whatsoever.  That is truly the definition of an ultra low-cost, high-quality, tuition-free education. For students in the United States, University of the People does not even require they complete the FAFSA to qualify.  There is no red tape. Zero.

The Bigger Picture

The rising excitement around “free tuition” offerings makes one thing clear: the demand for more affordable higher education alternatives is undeniable. But if universities continue to blur the lines between true zero-cost tuition and financial aid packages, the trust gap between higher education institutions and prospective students will only grow.

Access to higher education is a right, not a privilege reserved for those who can afford hidden costs. It is time for our industry to honor that promise with transparency.

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