More using payment plans, but student loan defaults still grow

More using payment plans, but student loan defaults still grow


If there’s a glimmer of hope in the latest round of student loan numbers released by the federal government, it’s more like when a biblical deluge of rain turns into a steady downpour.

First the good news: There’s less money being loaned out this financial quarter than last year at the same time. And there are more borrowers taking advantage of an income-based repayment plan.

But here’s the flip side: The overall amount of money that is owed to the federal government, including interest and penalties, is up again. The amount of money defaulted on grew yet again, to $111 billion.

http://www.freep.com/story/news/local/michigan/2015/08/23/student-loan-defaults-grow/32235989/