Department Of Education 3 Year Cohort Default Rates
Department Of Education 3 Year Cohort Default Rates, A cohort default rate is a percentage of a school’s borrowers in the US who enter repayment on certain loans during a federal fiscal year (October 1 to September 30) and default prior to the end of the next one to two fiscal years. The United States Department of Education (ED) releases official cohort default rates once per year.
DOWNLOAD HOW THE COHORT DEFAULT RATES ARE CALCULATED
Official Cohort Default Rates for Schools
A cohort default rate is the percentage of a school’s borrowers who enter repayment on certain Federal Family Education Loan (FFEL) Program or William D. Ford Federal Direct Loan (Direct Loan) Program loans during a particular federal fiscal year (FY), October 1 to September 30, and default or meet other specified conditions prior to the end of the second following fiscal year. Please refer to the Cohort Default Rate Guide for a more in-depth description of cohort default rates and how the rates are calculated.
The U.S. Department of Education releases official cohort default rates once per year. The FY 2014 official cohort default rates were delivered to both domestic and foreign schools on September 25, 2017, electronically via the eCDR process. All schools must enroll in eCDR to receive cohort default rate notification. Schools may check their eCDR enrollment online or by calling CPS/SAIG Technical Support at 800-330-5947.
Secretary DeVos announced that the FY 2014 national cohort default rate is 11.5 percent. The Department also released a summary of the FY 2014 official cohort default rates by state and by institution type. We are also providing a briefing on the national default rates.
Schools may also obtain an electronic loan record detail report via the National Student Loan Data System (NSLDS) Professional Access website. A loan record detail report contains the data used to calculate a school’s FY 2014 official cohort default rate. Assistance in accessing the NSLDS site or with downloading an electronic loan record detail report is available through NSLDS Customer Service at 1-800-999-8219.
For schools interested in taking actions to manage defaults, and for schools required to submit a default prevention plan based on at least one year of a cohort default rate equal to or greater than 30 percent, please refer to the federal regulations at 34 CFR 668.217 and Appendix A within that section.
Important Note: Some schools have a small number of borrowers entering repayment. At other schools only a small portion of the student body takes out student loans. In such cases, the cohort default rate should be interpreted with caution as these rates may not be reflective of the entire school population.