Q2-2026 Update: Delinquencies Fall 40% in 2026

The latest dv01 Federal Student Loans Analysis is now available for download. This edition examines Q2-2026 data to address recent concerns about the potential performance impact of new servicing practices for seriously delinquent borrowers.

Quick Insights

• Delinquencies are improving sharply: 30+ delinquencies fell below 2015 levels for the first time since repayments resumed after COVID, while the 30-90 day rate reached its lowest since 2014.
• Balance growth mostly reflects interest, not new borrowing: Balances among 50+ borrowers have grown 57% since 2019, significantly ahead of loan growth for that group, as IDRs allow interest to compound faster than borrowers pay principal.
• Debt is concentrating among fewer borrowers with higher balances: 50% of all outstanding student debt is now held by three million borrowers with balances over $80k.