:: Preventing Student Default ::
Preventing student loan default is the goal of Ready Set Repay and many campuses across the state. Effective default prevention isn't solely the responsibility of the financial aid office; the best efforts require campus-wide involvement.
Default prevention efforts are best targeted at two primary groups:
- Current students. These long-term efforts should include financial literacy, enhanced loan counseling and frequently collecting updated contact information from your students.
- Former students who are or will soon be delinquent. These short-term efforts should include sending letters or emails, conducting call campaigns or hiring an outside company to locate these students. They'll need assistance making suitable payment arrangements in order to avoid default.
1,2,3...Default Prevention Starts With "We"
By working together, we can create a plan to lower your default rates, ensuring more students have academic success and successfully repay their loans.
- To develop effective default prevention activities, we feel it's vital that schools better understand cohort default rates and conduct a thorough Cohort Analysis to determine which students are at a greater risk of defaulting. This assessment will help you better focus your efforts.
- We can also help you put together a Default Prevention Management Plan that's specific to your campus and your unique needs. Through this plan, we'll help you establish your goals, determine characteristics of a defaulted borrower and put together a plan of action.
- Of course, we have a variety of other products and services to assist you in reaching your institution's typical defaulter.