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    Default Rates Drop on education loan Video Easy to understand.

    It's Thursday September 25 New York areas are open in today's big number thirteen point 7%. It's motivating figures government anyway which is the percentage of black friday 2015 circulars student borrowers were defaulted on their federal loans pushing. Because it's below what the year before. And it went on down in New York security details Daniel Douglas Gabriel back reporter with the california Post Dana many thanks being with us today. So talk us through these numbers how a significant drop visit them. It's not a huge drop but on condition that last year the was about fourteen point 7%. It's pretty significant especially when you remember that. The default rate had been climbing for quite a while it as a lot of students struggle to repay their debt in a weak economy. Cities are you look at 1% drop their How that is a play out to the overall impact the our health and wellbeing of the economy. Well I think it's an encouraging sign because therefore that the job market is coming back sufficiently strong so that its graduates are able to find it. Positions that enable them stay on top of their debt. That's an encouraging sign for the economy is something which we hadn't seen the last year or two so it means in the markets really starting to turn around. Now because Doug best online deals black friday rates are still a double digit the top it says that it's not the recovery has not been so potent that it allows. Many bars so you're able to on time and they're still having a hard time finding jobs will sustain them. That these kind of two issues on are not only those students as far as their default rates are but it's also the school's offer black friday that there attending as well. Fishing nugget in and that post reports that 21 schools in fact aren't water since default rates right. Ok. So what's happening here is that there were about 21 schools that the government noticed had really high default rates at least 30%. Or further. Going back many years or in some case. For rather than 40% for one year a number of schools were for profit schools several of them cosmetology schools. A what's happening here is that in the figure that students have to gain access to. It usually it if it's really high that's reflected the higher default treat all of these for profit schools don't offer the kind of scholarships and and grants that. Any other schools for not for profit schools might offer students of these students are college with. Quite a lot going back to the school and usually not having the kinds of probabilities and job markets repay that debt. So let me ask you this then Daniel because if I'm not a student and I'm not one such schools then how was it impact me overall as an American because you know impact all civilian federal Reserve from New York. Face it it's amount to in a nut-shell one trillion dollars in the first quarter 2014. Raise by 213. 1000002003. How does that play out to every other American neither one don't some of these colleges or does not black friday online deals 2015 have an exceptional student loan. It's a total drag on the economy in a very few ways. You consider students who are graduating with many different debt and they have hiding in what's called. Debt to income ratio making it very hard for them to get affordable on car loans or mortgages or even for them to think about purchasing a home which is holding back the housing recovery. In excellent weight and why that matters is that could. The housing arena is a great indicator of economic strength in this country so if it's being held back by the shortcoming of a lot of borrowers in oriented access to that market it hurts all of us.

    Spolitical spolitical election a big number. I'm that pork. This records has been readily generated and may not be 100% accurate.


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