Published Paper Details:

In order to help students at higher education institutions pay for their academic and extracurricular expenses, one financial aid option is education loans. Most students leave college with debt, and that debt is growing so quickly that it is hard for graduates to repay it within the allotted time. During the past several years, there has been a large rise in student loan borrowing by nursing students as well as default rates. Wilful defaulting is the growing concern among education loan borrowers. Wilful defaulters, as defined under the act, are borrowers who have the financial capacity to pay back loans but choose not to, or who have acquired loans for one reason but misappropriated the funds, incurred losses, and have no intention of repaying. The rising nursing student debt levels of young borrowers eventually had an impact on the Indian economy, crowding out other investments, postponing economic progress, and altering young families' standard of life. This research, which analyses data from 315 nursing college students who received educational loans from Madurai district of Tamil Nadu, reveals unconventional reasons for wilful default.