By Associated Press
Frankfort, KY – A new report citing federal data says that of the 81 Kentucky schools eligible for federal student loan programs, 35 showed a three-year default rate that was higher than the national average of almost 14 percent. The state's worst default rates are found at private, for-profit "career colleges" and several campuses of the Kentucky Community and Technical College System. In one example cited in the report, Donald and Stacey Lee of Paducah racked up about $70,000 in federal insured student loans while attending private, for-profit Daymar College. They quit school last year because of day care problems with their son and defaulted on the loans. For-profit schools tend to cost more than taxpayer-supported community colleges and put students deeper in debt.