Students at a third of the nation's community colleges are more likely to default on their student loans than full-time freshman students there are to graduate, according to an analysis. The analysis, which focused on 265 "red flag" schools where more than 30% of students took out loans, found that 88 community colleges had default rates that outpaced graduation rates. "These colleges should set off a red flag in the minds of prospective student borrowers -- and their parents," said Andrew Gillen, research director for Education Sector, the nonprofit group that gathered the federal data.

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