Borrowers in Massachusetts has the lowest default rate for college loans in fiscal 2016, a financial website says.
LendEDU, analyzing data from the U.S. Department of Education, looked at data from168 higher-education institutions in Massachusetts and found that 5.82% of loans were in default. That is about half of the national rate, which was 10.1%.
Overall, for-profit schools had a loan default rate of 15.2% public institutions had a default rate of 9.6%, and non-profit private schools had a default rate of 6.6%.
LendEDU is a website that helps consumers learn about and compare student loans and other financial products.
A federal student loan is considered to be in default, LendEDU says, if a payment is late by 270 days—about nine months. The standard for private student loan default varies, but typically loans will be deemed in default when a payment is late by three or fourth months, LendEDU says..
Here are the 10 states with the lowest loan default rates in fiscal 2016.
