By just about every objective measure, the $88-million in debt that Wartburg College has carried since late 2005 poses a risk. The college's debt load--twice the amount that it takes in annually from tuition and other revenue--has raised red flags with its accreditor, alarmed some faculty members, and left Wartburg with a credit rating just one…

About a year ago, Heidelberg College pumped up its spending for a new, streamlined scholarship program, and then promoted its simplified formula so that students would know how much they could get before they even applied. Heidelberg's strategies worked as it was able to brought in the second-largest class in its 158-year history and a gain in its…