Loan Originations
PO Box 21487
Columbia, SC 29221

 


Repayment Services
PO Box 21337
Columbia, SC 29221

 

 
 

William M. Mackie, Jr. Interstate Center • Suite 210 • 16 Berryhill Rd. • Columbia, SC 29210
www.scstudentloan.org • 800-347-2752 • 803-798-0916

 
  September 19 , 2007  

Media Contact: Wayne Landrith
(803) 612-5006
wlandrith@scstudentloan.org

 

SC Student Loan Lowers Default Rate

 

(Columbia, SC) South Carolina Student Loan, the only nonprofit student loan provider in the state, continues to surpass the national cohort default rate average with a rate of 1.6 percent, second-lowest in the country.

The U.S. Department of Education announced last week that the Fiscal Year 2005 national student loan cohort default rate fell to 4.6 percent, down from 5.1 percent for 2004. SC Student Loan's 2005 default rate represents a 33 percent decrease from last year's figure.

According to the Department, a greater number of borrowers consolidating their student loans contributed to the drop in the national default rate. “Borrowers took advantage of the opportunity to lock in record-low interest rates by consolidating their federal student loans,” the Department said in a written statement.

SC Student Loan also experienced a significant increase in Federal Consolidation Loan volume over the period from July 1, 2004 to June 30, 2005, however it was not a major factor in their reduced rate according to SC Student Loan President Chuck Sanders.

Since its creation in 1973, SC Student Loan has been able to maintain one of the lowest default rates in the country by counseling borrowers on the importance of maintaining good credit, offering excellent repayment incentives and working closely with the state's colleges and universities.

“This low default rate reflects the attitude and efforts of our borrowers and the excellent education provided by our staff and schools throughout South Carolina ,” Sanders said. “We are committed to making higher education possible for all South Carolinians which includes making repayment as convenient as possible. Our outstanding staff continues to go the extra mile to help our borrowers avoid default and that is why our rate is less than half the national average.”

Borrowers needing assistance in repaying their student loans can visit www.scstudentloan.org or call 1-800-347-2752.

 
 


SC Student Loan is a nonprofit organization established by the state to make education loans to South Carolina residents and students attending South Carolina institutions.
 

Since its inception in 1973, SC Student Loan has made loans to over 414,000 people, totaling $6.4 billion, while maintaining one of the lowest default rates in the nation.