Federal Student Loan Default Rate Rises for the First Time in 4 Years
Recent Education Department Actions Will Lead to Even More Defaults

September 27, 2017
The Institute for College Access & Success

Data released today by the U.S. Education Department show the share of new federal student loan borrowers defaulting rose for the first time in four years. Despite the availability of income-driven repayment plans that are helping millions of borrowers stay on top of their payments, a record 8.5 million federal student borrowers were in default as of June 30, 2017, including over 500,000 who defaulted in the first six months of 2017. More than one in ten outstanding federal student loan dollars - $140 billion – is in default.