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Student Loan Defaults Surge As Treasury Assumes Collections

By Seeking Alpha May 14, 2026 Neutral
Student Loan Defaults Surge As Treasury Assumes Collections
Federal student loan debt has resumed growth, reaching nearly $1.7 trillion and affecting 42.8 million Americans with an average balance of $40,000. Serious delinquencies have surged to 10.3%, with 22% of borrowers now in default and almost 40% in some form of delinquency or default.
Federal student loan debt has resumed growth, reaching nearly $1.7 trillion and affecting 42.8 million Americans with an average balance of $40,000. Serious delinquencies have surged to 10.3%, with 22% of borrowers now in default and almost 40% in some form of delinquency or default.