As a loan guaranty agency, we know first-hand how important it is for students to receive financial aid to further their education beyond high school.
Many people rely on loans to help pay for their higher educational pursuits.
TG guaranteed its first student loan in January 1981. Since that time, we have guaranteed in excess of 4.4 million loans to help approximately 1.7 million borrowers, students and their parents alike, to receive the funds needed for their postsecondary pursuits. Because such a large number of people depend on loans, it is only logical that some borrowers are ultimately unable to repay their student loans for various reasons. Statistics released from the U.S. Department of Education indicate that the default rate for loans guaranteed by TG was at an all-time high of 30.8 percent in 1990 and has declined to the current published low of 13.3 percent. We have been able to reduce our default rate for three reasons.