Federal household‑debt data show a sharp rise in student‑loan delinquency and default: roughly a million borrowers defaulted late last year and nearly 10% of balances were more than 90 days past due. New York Fed researchers warned delinquencies will keep rising absent policy changes, a dynamic that threatens borrower credit, institutional revenue streams, and federal loan program sustainability. The report underscores pressure on servicers, loan‑forgiveness design, and campus financial‑aid offices managing students at risk of leaving.