Obama admin. trying to cover up massive $15 billion college loan default spike

A quarterly report on student aid brags of “promising repayment trends,” but it obscures a rise in student loan defaults.

The Department of Education mentions “notable decreases” in the student loan default rate, as they dropped in the first quarter of fiscal year 2016 from 2.5 percent a year ago to 2.3 percent.

What they don’t highlight, however, is a $6 billion increase in the total amount of defaulted loans from the fourth quarter of 2015. Compared to a year ago, the amount of federal student loans in default has increased by $15 billion.

As Jason Delisle, the director of the federal education budget project at the New America Foundation, tweeted, $121 billion of student loans have entered default.

“Over the past seven years, we have taken unprecedented steps to make college more affordable and to help borrowers manage their student loan debt,” Secretary of Education John B. King, Jr. said in a press release.