Unfortunately, it turnsout the numbers are bogus.
In keeping with a White House that talks a good game on transparency but that is cloaked in secrecy, the Department of Education moved the goalposts at the last minute, changing how the default rates were calculated and thus sparing some colleges from tough penalties. It has so far refused to say which schools were given a reprieve, though it appears likely that black colleges were the major beneficiaries.
The academic world has been anxiously awaiting the Department of Education’s annual announcement on student loan defaults. As of this year, schools with three consecutive years of default rates above 30 percent (or one year above 40 percent) will risk losing federal financial aid. The review was expected to clobber the for-profit sector, but also to penalize some smaller schools characterized by higher-then-average