Community College Students in 31 States Can't Get Federal Loans

April 29, 2011

More than one million community college students in 31 states do not have access to federal student loans because their institutions choose not to offer them, according to a new report by the Project on Student Debt. (The report is a followup to a 2008 study by the group, and finds modest changes since then.) Many community college administrators fear that participation in the federal loan program would put their students at risk of losing federal financial aid if too many students at the institutions do not repay their loans. The report notes that there are “persistent racial and ethnic disparities,” with nearly one in five Native American students and one in six African-American students attending community colleges that do not participate in the federal loan program. In addition, the report notes that California “now has the largest number of community college students -- about 214,000 -- without access to federal loans.”

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