Schools may lose their ability to participate in federal student aid programs if a significant percentage of their borrowers default on their student loans within the first 3 years of repayment. A report from the Government Accountability Office (GAO) examines (1) how schools work with borrowers to manage default rates and how these strategies affect borrowers and schools’ accountability for defaults; and (2) the extent to which the Department of Education oversees the strategies schools and their default management consultants use to manage schools’ default rates.[TE1]
The report can be obtained at https://www.gao.gov/assets/700/691520.pdf.