The challenge is that we are comparing two different groups of things that were grouped together using different criteria.
Imagine if we were to sort all of the vehicle at the San Francisco Airport parking lot. We might do a sort by color - so the Ford Mustang, the Chevy Pickup and the Honda Accord would all end up in a group of red cars. Or we might do a sort by acceleration - the Mustang would no longer be with the Chevy and the Honda but instead would be with the Porsche and the Corvette.
Well, athletic and academic levels are somewhat like color and acceleration. There are D3 and D1 schools that are excellent academically - and there are D3 schools and D1 schools that are far weaker academically. Schools like Trinity (Tx), Rice and Stanford happen to be both excellent academically and athletically. Schools like Pomona, Cal Tech, MIT, Harvard, Yale, and University of Chicago are all top notch academically and perhaps not as strong athletically.
D3 schools can have large endowments - which lead to large financial aid grants. I just visited Pomona with my daughter and so I happen to have information about their financial aid at my fingertips.
Pomona is "committed to both need-blind admissions and fully funded, need-based financial aid, the College reviews each applicant entirely on the basis of academic promise, then meets 100 percent of the demonstrated need of every student admitted."
They have $1.8B in the bank - in the top 50 endowments in the country. They are #6 in endowment per student.
08Son applied to D1, D2, and D3 schools - and got financial and merit aid packages from all three. Some packages were better than others - but it did not appear to be correlated to what level "D" they were at. There was some correlation to academic level of school - but even there, some schools simply have more money to give. (Those with large endowments are "fully funded"
)
In terms of academic excellence once you are there, I firmly believe that there is a difference between schools at the very high end - but that you can get a great education at practically any university if you seek it out.
Probably the opposite is more where the difference lies - I think it would be very hard to get a bad education at a top academic school without flunking out but that there are places to hide and graduate without learning anything at bad schools.