The rate at which new federal student loan borrowers enter default declined for the third year in a row. New federal data show that among borrowers who entered repayment in 2013, 11.3% had defaulted on their loans by 2015. That is down from 11.8% of borrowers who entered repayment the prior year and 13.7% the year before that. While the lower default rate among borrowers entering repayment is good news, the total number of borrowers in default has continued to grow and is now at a record 8.1 million—more than the entire population of 38 states.
September 28, 2016