no federal student loans at Seattle Central CC?

Paying for College
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<p>I was talking to a high school student here who is interested in Seattle Central Community College. I have never seen this sort of thing before, but it appears they don't participate in the federal student loan program.</p>

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Seattle Central Community College DOES NOT PARTICIPATE in Federal Student Loan Programs (Stafford Loan, PLUS Loan, Perkins Loan).

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Types</a> of Aid</p>

<p>The student's mother said she heard the school "lost their federal funding" because of a high rate of students defaulting on loans... but something about that just doesn't sound right. They do still administer Pell grants and work study.</p>

<p>I'm wondering if Kelsmom can offer any insight here, or maybe some posters in WA who might know something about this?</p>

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<p>I do not live there but over where I live none of the Community Colleges offer up student loans at all. </p>

<p>What is far out is that over at that Seattle Community College, they used to offer up student loans and now they do not. They do not look to be all that very pricey at all, their classes are literally about one half the cost of the ones over where I live. </p>

<p>I think that if a school has too many student defaulting on those loans for a certain period of time then they can be in danger of loosing their overall federal funding and all of that. So, that Community College must be worried about loosing out on the whole kit and caboodle to the point where they just stopped offering up student loans altogether. </p>

<p>Here is an article on that…</p>

<p>[Many</a> More Students Are Defaulting Than Official Tallies Show - Government - The Chronicle of Higher Education](<a href=“http://chronicle.com/article/Many-More-Students-Are/66223/]Many”>http://chronicle.com/article/Many-More-Students-Are/66223/)</p>

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<p>…it is mainly an article about trade schools but it also does speak of Community Colleges a mite bit as well.</p>

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<p>Default rates are a HUGE issue for schools. A high default rate can result in various sanctions, including the possibility of not being able to participate in federal aid programs. Schools absolutely can choose not to award loans to students. It is not uncommon for community colleges to limit loans, since the cost is so low. I don’t know anything about this particular CC, though, so I can’t comment on why they don’t participate in the Stafford loan program.</p>