Student Loans II: How Much Default?

By Karen Gross. What is an acceptable level of loan default?
College and university leaders will be increasingly called to answer this question. That’s partly because the law will demand it: the newly embraced three-year cohort default rate measurement could result in penalties for more colleges and universities, and recent Congressional proposals could make institutions where significant numbers of students borrow and default on those loans responsible for paying back a sliding-scale amount of the defaulted debt to the federal government. Read more...