According to this, undergrad loans are a loss leader for grad loans, which cause the system as a whole to be profitable: http://money.cnn.com/2016/08/04/pf/coll

According to this, undergrad loans are a loss leader for grad loans, which cause the system as a whole to be profitable: http://money.cnn.com/2016/08/04/pf/college/federal-student-loan-profit/ http://money.cnn.com/2016/08/04/pf/college/federal-student-l...