The meat of the article is about the follow on effects from that. Higher default should mean higher interest rates is a higher cost which would push down enroll

The meat of the article is about the follow on effects from that. Higher default should mean higher interest rates is a higher cost which would push down enrollment in those underperforming schools (which also underperform for students) and/or push the the school's price down. To the extent that loans are insured, the banks profits aren't really affected by incorrectly priced risk. I'm very skeptical of free market solutions to higher education affordability issues. I think it's nonsense. But, screaming your slogan (fuck banks!) at a sentence from an article making a point about a different point of view is basically youtube comments.