What Are Loans?

Student Loans are a form of financial aid available to assist undergraduate students attending college at least half-time. Students may use the funds to pay for tuition, books, and living expenses. Loans can come from federal, state, or private sources and must be repaid.  



Interest Rates for New Direct Loans

Under the Higher Education Act of 1965, as amended, interest rates are determined each spring for new Federal Direct Loans being made for the upcoming award year, which runs from July 1 to the following June 30. Each loan has a fixed interest rate for the life of the loan.

Learn about interest rates and fees associated with federal student loans.

Cohort Default Rate

A cohort default rate (CDR) is the percentage of a school's borrowers in the US who enter repayment on certain loans during a federal fiscal year (October 1 to September 30) and default prior to the end of the next one to two fiscal years.

Lone Star College's CDR for Fiscal Year 2020 (the most recent date available) is 0% compared to the national rate of 0%.  FY 2020 cohort default rates were significantly impacted by the pause on federal student loan payments that began March 13, 2020.

Lone Star College's Cohort Default Information

  FY 2018 FY 2019 FY 2020
Default Rate 12.3% 0.8% 0%
Number in Default 951 59 0
Number in Repayment 7,709 6,594 6,113
Enrollment Figures 110,542 109,742 102,989
Percentage Calculation 6.9% 6.01% 5.94%

For more information on Cohort Default Rates, see the Department of Education's Cohort Default Rate Guide.



Make LSC part of your story.