{Kentucky}...Nationally, student debt and default rates are rising. Of the 81 Kentucky schools eligible for federal student loan programs, 35 showed a three-year default rate for 2008 that was higher than the national average of 13.8 percent. The state's worst default rates are found at private, for-profit "career colleges" and several campuses of the Kentucky Community and Technical College System. Kentucky Attorney General Jack Conway is leading an investigation with 17 other attorneys general into possible consumer protection violations by for-profit schools and says lawsuits are likely. Conway says high default rates can be a sign that a school produces unemployable graduates.
Monday, July 18, 2011
Attorney General Investigating Student Loans
{Kentucky}...Nationally, student debt and default rates are rising. Of the 81 Kentucky schools eligible for federal student loan programs, 35 showed a three-year default rate for 2008 that was higher than the national average of 13.8 percent. The state's worst default rates are found at private, for-profit "career colleges" and several campuses of the Kentucky Community and Technical College System. Kentucky Attorney General Jack Conway is leading an investigation with 17 other attorneys general into possible consumer protection violations by for-profit schools and says lawsuits are likely. Conway says high default rates can be a sign that a school produces unemployable graduates.
