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Federal Loan Default Information

The Office of Financial Aid encourages students to obtain their education without undue reliance on loans. This page provides disclosure on federal loan default rates.

Cohort Default Rate

The U.S. Department of Education annually produces federal student loan default rates. This rate is the percentage of federal loan borrowers in the Federal Family Education Loan (FFEL) Program or William D. Ford Federal Direct Loan (Direct Loan) Program during a federal fiscal year ranging from October 1 through September 30 who enter default.

Morehead State University - 3-Year Federal Loan Default Rates

Year Default Rate # of Borrowers in Repayment # of Borrowers in Default
2019 2.4% 2,159 52
2018 8.2% 2,222 183
2017 11.6% 2,277 265

What is the Default Rate?

The Department of Education uses the Cohort Default Rate (CDR) to determine whether colleges are eligible to receive federal student aid. The Department of Education can sanction schools with default rates above 40 percent in a year or above 30 percent for three consecutive years.

What is Default?

A student loan defaults when no payments have been made in 270 days. Default is easily avoided.

Students that are unable to make their monthly loan payments should contact their loan-servicing provider and discuss the deferral process. Deferral is when loan repayments are paused. Deferral must be applied for directly with the loan-servicing provider. Subsidized loans will not accrue interest during the deferral period; however, unsubsidized loans will continue to accumulate interest while the loan is deferred. Delinquency occurs when payments are not made and lasts until the loan transitions into default status. Default is when no payments have been made on the loan in 270 days.

More information on the Cohort Default Rate (CDR)

College Navigator
CDR by School Type
CDR by State
2018 Average National Cohort Default Rate

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Office of Financial Aid

121 E. Second St.
Morehead, KY 40351

FAFSA Code 001976

PHONE: 606-783-2011
FAX: 606-783-2293