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Private loan borrowing increased in 2000s

It’s probably not much of a surprise with student debt growing ever larger, but: The percentage of students who took out private loans in the 2000s increased,  according to a report released Tuesday by the Education Department’s National Center for Education Statistics.

For-profit colleges drove the increase: Between 2003 and 2008, the number of students who took out private loans rose from 5 to 14 percent (at for-profit schools, students with private loans rose from 13 percent in 2003 to 42 percent in 2008).

As a reminder: The average student loan default rate is 8.8 percent (the highest since 1997), average student loan debt was $24,000 in 2010, the national student debt is now past the $1 trillion mark in 2010, and 111 colleges now cost more than $50,000 a year to attend.

[Inside Higher Ed]

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