Discussion of a ruling allowing state agencies to deny new educational loans to students with previous loans discharged in bankruptcy looks at the intent behind the Bankruptcy Code, specifically concerning the nature of educational loans and the "fresh start" policy. Potential conflicts between the state and federal statute is also…

It is proposed that a recent court decision concerning default on National Health Service Corps scholarship obligations has addressed thoroughly and resolved all the arguments made by defaulting recipients, placing the scholarships in the realm of grant-in-aid programs and removing common-law defenses of the defaulting student. (MSE)

Debtors seeking discharge in bankruptcy of student loans should be aware of certain arguments in their favor: that the burden of persuasion should remain on the creditor throughout; the standard of proof should be the preponderance-of-the-evidence standard; and that burden of production is, for the most part, the creditor's. Recent case law is…

College students today face heavy student loan debt that is intensified by the amount of credit card debt they carry. This study provides a profile of financially at-risk students based on their credit card usage behavior. When compared to the non-financially at-risk students, those in the financially at-risk group were found to have higher…

This brief statement offers 10 questions for consideration by American Dental Association (ADA) officials and others concerned with the burdensome indebtedness graduates often incur for their dental education. Questions ask for assessments in such areas as school operating costs, tuition, school support, loan forgiveness, and how the ADA can help…

Uses National Postsecondary Student Aid Study data to analyze the characteristics of student loan recipients and compare defaulters and nondefaulters along various dimensions, including demographic profiles, socioeconomic characteristics, and educational attainment. Borrowers from low-income households and minority groups, high school dropouts,…

A study analyzed characteristics of 392 University of Dayton (Ohio) students borrowing through the Perkins Loan Program to discover their relative impact on loan default behavior, and developed a model to help predict individual potential defaulters. Financial aid policy recommendations aimed at reducing default costs at the institution are…

Insufficient funding for college work-study programs, increased student loan defaults, unanticipated deficits in the federal Pell Grant program, and the climate of recession are creating serious problems for student financial aid. Some fear enrollments will be affected and federal programs will be further reduced. (MSE)

This survey concludes that, overall, student debt has not caused most borrowers to make lifestyles changes nor regret their educational investment. Discussion analyzes borrower debt levels; payment-to-income and debt-to-income ratios; noneducation debt burden; student perceptions about borrowing and debt; effect of borrowing on decision making;…

This article examines problems with the student loan program from an institutional perspective, in the context of reauthorization of the Higher Education Act of 1965. It raises questions for evaluating reform proposals; presents seven key principles for student loan reform; and offers suggestions for a pilot program addressing direct lending,…

This article reviews student loan programs around the world; notes the problem of financial inefficiency, particularly in developing nations; discusses strategies to improve loan program performance, such as program targeting and avoidance of hidden subsidies; and considers alternatives to student loans based on principles of deferred payment. (DB)

Based on a survey of former California State University students who repaid (224) or defaulted on (128) loans, an analysis found high levels of significance in postsecondary outcome variables (graduation, employment and income patterns), institutional practices and characteristics, student background characteristics, and understanding of rights…

Analyzes data showing the progress made by historically black colleges and universities (HBCUs) in reducing student loan default rates and discusses implications of the Higher Education Act Amendments of 1998 on the development of HBCU default management plans. Identifies continuing barriers to higher education for minorities, including poor…

The cost of student loan defaults is a growing problem. At the beginning of this century, defaulted student loans exceed $25 billion (Student Aid News, 2001). In addition to the costs borne by the taxpayer as the federal government purchases defaulted accounts, there are costs incurred by schools, lenders, loan servicers, and guaranty agencies for…

During spring 2001, Noel-Levitz created a student loan default model for the University of Texas at Austin (UT Austin). The goal of this project was to identify students most likely to default, to identify as risk elements those characteristics that contributed to student loan default, and to use these risk elements to plan and implement targeted,…