Quote:
Originally Posted by Dirty Dane
Tax payers don't pay if it's a loan.
|
Yeah if they paid them back!
Don't forget pell Grants.
"With tuition rising steadily, and family income falling, the number of borrowers with federally guaranteed student loans has increased by about a third in the last five years, to more than 37 million. The number of borrowers in default has risen to about 5.9 million, and together they owe a total of $76 billion on loans. "
I am going to assume with the next quote that Colleges ALSO get aid from the federal Gov..
"Colleges with consistently high default rates can lose their eligibility for federal financial aid. Under the three-year measure, sanctions can be imposed on colleges with default rates of 30 percent or more for three consecutive years, or 40 percent for a year. Although those sanctions will not go into effect until 2014, the 218 colleges with three-year default rates over 30 percent, and the 37 with a rate of 40 percent, must submit a default-management plan to the Department of Education."
http://www.nytimes.com/2012/09/29/ed...ent-loans.html