Student-Loan-Press-Briefing-Presentation

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Defaults and default rate • The number of borrowers who default each year (defined as at least 9 months past due) increased from about half a million ten years ago to 1.2 million annually in 2011 and 2012 • The number of borrowers who default has declined a bit in the last two years • The rapid increase in the defaults is partly due to the increase in the number of borrowers, but even after accounting for the increase in the borrowers, the rate of default increased over time from 2.4% in 2004 to 3.6% in 2012 • The default rate declined somewhat after 2012 to 3.2% 20
Default rate by school leaving cohort Share ever defaulted by years after leaving school 25% 2009 Cohort 26% 5 years later 2007 Cohort 24% 7 years later 20% 2005 Cohort 25% 9 years later 15% 10% 5% 0% 1 year later 2 years 3 years 4 years 5 years 6 years 7 years 8 years 9 years (after entering repayment) Source: New York Fed Consumer Credit Panel / Equifax 21
Page 1 and 2: Student Loan Borrowing and Repaymen
Page 3 and 4: Researching student borrowing • W
Page 5 and 6: Student loans increased as other de
Page 7 and 8: Increases among borrowers of all ag
Page 9 and 10: Significant heterogeneity in amount
Page 11 and 12: Number of active borrowers peaked i
Page 13 and 14: Larger rise in level of lower incom
Page 15 and 16: Wrapping up, part 1 • Student deb
Page 17 and 18: Distribution of payment history Sna
Page 19: Defaults and default rate Thousands
Page 23 and 24: 5-year cohort default and delinquen
Page 25 and 26: 5-yr Cohort default and delinquency
Page 27 and 28: Student loan repayment behavior Stu
Page 29 and 30: 5-year cohort repayment difficultie
Page 31 and 32: 2009 cohort repayment rates by inco
Page 33: Wrapping up • These results are f

Student-Loan-Press-Briefing-Presentation

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