The U.S. Department of Education annually publishes the official cohort default rates for domestic and foreign schools with 30 or more student borrowers who enter into repayment status on their loan(s) in a federal fiscal year. The federal fiscal year begins October 1 and ends September 30.
What is a cohort in regard to student loans?
It is all of a college's current and former students who, during a fiscal year, enter into repayment status of any Direct Subsidized Loan, Direct Unsubsidized Loan, or Federal Stafford Loan they received to attend college.
What is a federal student loan cohort default rate?
It is the number of students in a cohort who default on their loans during a fiscal year, divided by the total number of students in the cohort.
How is the cohort default rate calculated?
The cohort of students who enter repayment status is monitored for three years. The number of students who enter into a default status during those three years becomes the numerator, and the total number of cohort students becomes the denominator, resulting in a percentage.
Example:
"The total number of students who enter repayment status in the fiscal year 2020 AND default in fiscal years 2020, 2019, and 2018" is the numerator, while "The total number of borrowers who enter repayment status during the fiscal year 2020 and the preceding 2019 and 2018 fiscal years" is the denominator.
What is ASU-Beebe's default rate?
The latest reported cohort default period is for 2020. The National Default Rate for 2020 is 0%. ASU-Beebe's default rate for the same period is 0%. The decline in the default rate indicates fewer students default on the student loans.