US student loan defaults rise to 9.2M amid crackdown

Bloomberg

Betsy Mayotte, founder of The Institute of Student Loan Advisors, said she expects delinquency and default rates to continue rising throughout the year. Her organization, which offers free advice on repayment to struggling borrowers, is fielding up to 100 email requests a day — more than double what they received last year.

Mayotte is especially concerned about those with Parent PLUS loans, a previously-unlimited borrowing program for parents paying their children’s college tuition, who will be rendered largely ineligible for income-driven repayment under the Trump administration’s new rules. And for those on Biden-era plans ending July 1, the clock is running out to get the best rates under Trump.