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We also need to be able to track the debt gap with greater frequency, as contextual factors—including economic conditions, financial aid policies, and the role of for-profits—can change quickly.

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Finding 2: Differences in undergraduate borrowing explain less than a third of the black-white gap in total debt four years after graduation.

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Black graduates are much more likely to experience negative amortization interest accumulating faster than payments received : nearly half 48 percent of black graduates see their undergraduate loan balances grow after graduation, compared to just 17 percent of white graduates.

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Hispanic borrowers, despite having about the same level of debt as white graduates, are more than twice as likely to default 5.

Description: Where data do not allow, analysts should acknowledge that the patterns that hold for the majority may be very different for borrowers of color. We conclude with the following policy implications:.

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