View in EDS

A First Look at Student Loan Borrowers Exiting Default via the Fresh Start Program: An Analysis Using National Credit Panel Data

Saved in:
Bibliographic Details
Title: A First Look at Student Loan Borrowers Exiting Default via the Fresh Start Program: An Analysis Using National Credit Panel Data
Language: English
Authors: Kristin Blagg, Urban Institute
Source: Urban Institute. 2026.
Availability: Urban Institute. 2100 M Street NW, Washington, DC 20037. Tel: 202-261-5687; Fax: 202-467-5775; Web site: http://www.urban.org
Peer Reviewed: N
Page Count: 13
Publication Date: 2026
Sponsoring Agency: Arnold Ventures
Document Type: Reports - Research
Descriptors: Student Loan Programs, Loan Default, Loan Repayment, Program Effectiveness, Federal Aid, Credit (Finance), Debt (Financial), Student Financial Aid, COVID-19, Pandemics
Abstract: In this analysis, the author uses credit data to provide a first look at outcomes for a segment of borrowers who appear to have participated in the Fresh Start program, which temporarily removed student loan defaults from credit reporting and allowed borrowers an opportunity to return their loans to good standing. The results suggest that this program provided temporary credit score improvements for most recent defaulters and provided an opportunity to reenter repayment for a small share of defaulted borrowers. Some borrowers who defaulted shortly before the pandemic have been able to keep their loans in good standing through repayment or deferment of payment (e.g., because they are enrolled in school). But a substantial share of borrowers who actively took up Fresh Start and entered repayment appear to be returning to delinquency and possible default, with associated negative credit score outcomes. As the US Department of Education continues to pause involuntary collections on defaulted loans, evidence from the Fresh Start program could support the identification of policy changes that would improve collection and repayment outcomes for defaulted borrowers.
Abstractor: ERIC
Entry Date: 2026
Accession Number: ED681277
Database: ERIC
FullText Text:
  Availability: 0
CustomLinks:
  – Url: https://eric.ed.gov/contentdelivery/servlet/ERICServlet?accno=ED681277
    Name: ERIC Full Text
    Category: fullText
    Text: Full Text from ERIC
Header DbId: eric
DbLabel: ERIC
An: ED681277
AccessLevel: 3
PubType: Report
PubTypeId: report
PreciseRelevancyScore: 0
IllustrationInfo
Items – Name: Title
  Label: Title
  Group: Ti
  Data: A First Look at Student Loan Borrowers Exiting Default via the Fresh Start Program: An Analysis Using National Credit Panel Data
– Name: Language
  Label: Language
  Group: Lang
  Data: English
– Name: Author
  Label: Authors
  Group: Au
  Data: <searchLink fieldCode="AR" term="%22Kristin+Blagg%22">Kristin Blagg</searchLink><br /><searchLink fieldCode="AR" term="%22Urban+Institute%22">Urban Institute</searchLink>
– Name: TitleSource
  Label: Source
  Group: Src
  Data: <searchLink fieldCode="SO" term="%22Urban+Institute%22"><i>Urban Institute</i></searchLink>. 2026.
– Name: Avail
  Label: Availability
  Group: Avail
  Data: Urban Institute. 2100 M Street NW, Washington, DC 20037. Tel: 202-261-5687; Fax: 202-467-5775; Web site: http://www.urban.org
– Name: PeerReviewed
  Label: Peer Reviewed
  Group: SrcInfo
  Data: N
– Name: Pages
  Label: Page Count
  Group: Src
  Data: 13
– Name: DatePubCY
  Label: Publication Date
  Group: Date
  Data: 2026
– Name: SourceSuprt
  Label: Sponsoring Agency
  Group: SrcSuprt
  Data: Arnold Ventures
– Name: TypeDocument
  Label: Document Type
  Group: TypDoc
  Data: Reports - Research
– Name: Subject
  Label: Descriptors
  Group: Su
  Data: <searchLink fieldCode="DE" term="%22Student+Loan+Programs%22">Student Loan Programs</searchLink><br /><searchLink fieldCode="DE" term="%22Loan+Default%22">Loan Default</searchLink><br /><searchLink fieldCode="DE" term="%22Loan+Repayment%22">Loan Repayment</searchLink><br /><searchLink fieldCode="DE" term="%22Program+Effectiveness%22">Program Effectiveness</searchLink><br /><searchLink fieldCode="DE" term="%22Federal+Aid%22">Federal Aid</searchLink><br /><searchLink fieldCode="DE" term="%22Credit+%28Finance%29%22">Credit (Finance)</searchLink><br /><searchLink fieldCode="DE" term="%22Debt+%28Financial%29%22">Debt (Financial)</searchLink><br /><searchLink fieldCode="DE" term="%22Student+Financial+Aid%22">Student Financial Aid</searchLink><br /><searchLink fieldCode="DE" term="%22COVID-19%22">COVID-19</searchLink><br /><searchLink fieldCode="DE" term="%22Pandemics%22">Pandemics</searchLink>
– Name: Abstract
  Label: Abstract
  Group: Ab
  Data: In this analysis, the author uses credit data to provide a first look at outcomes for a segment of borrowers who appear to have participated in the Fresh Start program, which temporarily removed student loan defaults from credit reporting and allowed borrowers an opportunity to return their loans to good standing. The results suggest that this program provided temporary credit score improvements for most recent defaulters and provided an opportunity to reenter repayment for a small share of defaulted borrowers. Some borrowers who defaulted shortly before the pandemic have been able to keep their loans in good standing through repayment or deferment of payment (e.g., because they are enrolled in school). But a substantial share of borrowers who actively took up Fresh Start and entered repayment appear to be returning to delinquency and possible default, with associated negative credit score outcomes. As the US Department of Education continues to pause involuntary collections on defaulted loans, evidence from the Fresh Start program could support the identification of policy changes that would improve collection and repayment outcomes for defaulted borrowers.
– Name: AbstractInfo
  Label: Abstractor
  Group: Ab
  Data: ERIC
– Name: DateEntry
  Label: Entry Date
  Group: Date
  Data: 2026
– Name: AN
  Label: Accession Number
  Group: ID
  Data: ED681277
PLink https://search.ebscohost.com/login.aspx?direct=true&site=eds-live&db=eric&AN=ED681277
RecordInfo BibRecord:
  BibEntity:
    Languages:
      – Text: English
    PhysicalDescription:
      Pagination:
        PageCount: 13
    Subjects:
      – SubjectFull: Student Loan Programs
        Type: general
      – SubjectFull: Loan Default
        Type: general
      – SubjectFull: Loan Repayment
        Type: general
      – SubjectFull: Program Effectiveness
        Type: general
      – SubjectFull: Federal Aid
        Type: general
      – SubjectFull: Credit (Finance)
        Type: general
      – SubjectFull: Debt (Financial)
        Type: general
      – SubjectFull: Student Financial Aid
        Type: general
      – SubjectFull: COVID-19
        Type: general
      – SubjectFull: Pandemics
        Type: general
    Titles:
      – TitleFull: A First Look at Student Loan Borrowers Exiting Default via the Fresh Start Program: An Analysis Using National Credit Panel Data
        Type: main
  BibRelationships:
    HasContributorRelationships:
      – PersonEntity:
          Name:
            NameFull: Urban Institute
      – PersonEntity:
          Name:
            NameFull: Kristin Blagg
    IsPartOfRelationships:
      – BibEntity:
          Dates:
            – D: 01
              M: 05
              Type: published
              Y: 2026
          Titles:
            – TitleFull: Urban Institute
              Type: main
ResultId 1