Student Loan Default Rates Jump
"Default rates have been increasing since 2007, an upward trend that's directly correlated to the economy, said Justin Draeger, president of the National Association of Student Financial Aid Administrators," CNNMoney reports. "'Clearly those with a college education are better able to get jobs than those without one, but the unemployment rate even for college graduates has been sluggish,' said Draeger. 'People say 'I don't have a job, how am I ever going to be able to make payments?'' ...But many borrowers are so stressed about finding work or earning enough to make their payments that they fail to look into these options, said Draeger. 'It's [often] someone who has student loan debt who didn't complete school and falls off the face of the earth or puts their head in the sand and doesn't deal with any of the payments,' he said."
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