Yuba CC District Opts Out of Federal Loan Program

July 15, 2013

The Yuba Community College District, in California, has decided to leave the federal student loan program to eliminate a risk its students could lose access to Pell Grants, The Sacramento Bee reported. Only 275 of the district's 15,000 students borrowed last year, but the district's default rate, if repeated for three years, could subject Yuba to sanctions that might affect access to federal and state aid programs relied on by many students. Others, however, say that the college is over-reacting and that there is little risk of it losing aid eligibility.



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