Default Prevention

Introduction and Background

Although not required by the Department of Education to have a default prevention plan in place, the Financial Aid Services Office at Valencia College makes significant efforts in the areas of default prevention and debt management. This document, a part of Valencia College's Financial Aid Policies and Procedures, describes these efforts and presents information about the institution's loan program that helps guide these efforts. The Financial Aid Services Office is responsible for implementation of this plan.

Valencia College Student Loan Borrower Population

Valencia College, also known as Valencia or VC, is a public state college in Orlando, Florida, United States offering Associate in Arts (AA), Associate in Science (AS), Bachelor of Science (BS) degrees, and certificates with over 10,189 students with degrees conferred in the 2020-2021 academic year.  In the 2020-2021 academic year, 48,347 students received some type of federal or state financial aid including 20,968 Pell Grant and 7,521 federal student loans.  Valencia is the second-largest member institution of the Florida College System. The college was founded in 1967 as "Valencia Junior College", taking the name "Valencia Community College" in 1971. In December 2010, Valencia's Board of Trustees voted to change the college's name to "Valencia College", as the academic scope of the school expanded to include bachelor's degrees. Valencia has several campuses in Orlando with additional campuses in Kissimmee, Winter Park, Lake Nona, Poinciana and Downtown Orlando. With over 70,000 students enrolled each year; Valencia is ranked fourth among two-year schools in the United States for the number of Associate's degrees awarded. Also noteworthy, the college ranks fifth in the nation in the number of degrees awarded to Hispanic students and seventh in the number awarded to African-Americans. The college also ranked fourth in the nation in the number of one-year certificates awarded.

Valencia College's Default Rates

The chart below illustrates Valencia’s historical rates compared to all two year institutions as well as the state of Florida and the nation’s colleges and universities overall.  It is important to note that the population of all two year public colleges nationwide includes many schools quite different in size and character to Valencia, and therefore the comparison may not be as useful as comparing our rates to more similar institutions, which will follow.

Cohort Chart for Valencia College

Starting in September of 2012, the Department released the first official 2009 rates measured by a 3-year cohort. Valencia College official rates are listed below:

3-year Cohort Default Rates (CDRs)
Cohort Year


(Borrowers defaulted)


(Total borrowers in repayment)

3-year CDR
2006 362 3,026 11.9%
2007 399 2,543 15.6%
2008 381 2,383 15.9%
2009 504 2,672 18.8%
2010 644 3,670 17.5%
2011 1,088 5,346 20.3%
2012 1,347 7,905 17.0%
2013 1,258 8,479 14.8%
2014 1,243 8,062 15.4%
2015 1,016 7,774


2016 446 6,521


2017 660 6,584


2018 494 5,893


2019 138 5,404


2020 0 5,320


Measuring the Effectiveness of Valencia College's Plan

The Assistant Vice President of Financial Aid & Veteran Affairs and a Financial Aid Specialist will examine on an ongoing basis this default prevention plan to assess its effectiveness. Valencia College Default Prevention Advisory Committee also understands that our default prevention efforts must focus on both short term and long-term efforts to reduce both default rates among students who have received loans and are already in repayment, and default risk among those students who are currently enrolled or who will enroll in Valencia College in the future. We understand that this effort will combine strategies, which are both targeted and general in nature. We will be monitoring the results of the efforts described in this plan and making adjustments as necessary to meet our institutional goals. We will continue to seek additional opportunities to both reduce default rates and default risk.

If you have questions about any aspect of this plan please contact Financial Aid Services by email at