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May 02, 2010 12:00 PM Student Loan Default Rates by State

By Daniel Luzer

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Apparently Florida has the highest private student loan delinquency rate in the country. According to an article in the Jackson, Miss. Clarion-Ledger:

The delinquency rate in Mississippi was 9.09 percent, second only to Florida at 9.44 percent. Tennessee had the third highest rate at 9.07 percent. Accounts were defined as delinquent if they were 90 days or more past due.
Vermont had the lowest rate, with only 3.28 percent of private student loan payments considered delinquent.

This information came from a report recently issued by TransUnion, an American consumer credit reporting agency.

The information varied dramatically across states and the default rate alone did not necessarily reflective of the state’s progress in that area. Vermont, for instance experienced an almost 30 percent increase in student loan defaults from last year.

Nationally, there was an almost 12 percent increase in private student loan defaults from a year ago.The average balance for default student loans was $13,033. [Image via]

Daniel Luzer is the news editor at Governing Magazine and former web editor of the Washington Monthly. Find him on Twitter: @Daniel_Luzer