Student Loan Default Rate Is Continuing to Increase
Posted by Emma BusbySep 13
The default rate on federal student loans continued to rise last year, with the rate for students at for-profit colleges — already the highest — rising the fastest.
Education Secretary Arne Duncan said Monday that the overall student loan default rate in the 2008 fiscal year, the latest period for which data is available, was 7 percent, up from 6.7 percent the year before and 5.2 percent in the 2006 fiscal year.
The default rate at public institutions increased to 6 percent from 5.9 percent; at private institutions to 4 percent from 3.7 percent; and at for-profit institutions to 11.6 percent from 11 percent.
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