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As defaults on student loans surge, millions are trying to get their lives back on track
Summary by The San Antonio Editorial Desk · Based on reporting by Heather Hollingsworth And Nicky Forster, Associated Press , KSAT 12 (ABC affiliate)
· July 20, 2026
· 8 min read
Life after college did not go as Ashley Dreahn planned. After starting out as a teacher, she went back to school — and took out more loans — in hopes of landing a higher-paying job in the chemical processing industry. It never materialized, and then came Hurricane Harvey, a job loss and a car bre...
Story provenance No corrections
Summary created by The San Antonio Editorial Desk — automated, rule-governed Original reporting Heather Hollingsworth And Nicky Forster, Associated Press, KSAT 12 (ABC affiliate) Original story Read at the source Source published Jul 20, 2026 AI assistance Automated summary drawn from the source’s own published text Prepublication human review No — editorial rules, flagged-item review, and published samples
Every story comes with a passport. How we work · Corrections log
Key takeaway By 2022, she was so broke she filed for bankruptcy.
Why this matters in The San Antonio
The surge in student loan defaults has significant implications for San Antonio, where many residents are struggling to make ends meet. With a large number of students attending local universities and colleges, the city is likely to feel the effects of this trend. Borrowers like Ashley Dreahn, who are facing default and skyrocketing interest rates, may be forced to make difficult choices between paying their loans and covering basic expenses like housing and food. This could lead to increased financial instability and stress for individuals and families in San Antonio, potentially exacerbating existing social and economic challenges. As the federal government considers changes to income-driven repayment plans, local leaders and organizations may need to step in to provide support and resources for borrowers who are struggling to stay afloat. The city's social services and non-profit organizations may see an increase in demand for assistance with debt counseling and financial planning.
About this story
Original reporting by KSAT 12 (ABC affiliate) . The San Antonio surfaces reporting from trusted publishers and adds local editorial context so readers can quickly understand what a story means for their community. We attribute every source, link to the original report, and follow a documented editorial standards policy. To understand how stories are selected and reviewed, read our about page .
For the complete original report, visit KSAT 12 (ABC affiliate) . Have a tip or correction? Contact our newsroom .
Category: schools ·
Published: July 20, 2026 ·
Source: KSAT 12 (ABC affiliate) ·
Reading time: 8 min
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Frequently asked about this story
What is this story about? Life after college did not go as Ashley Dreahn planned. After starting out as a teacher, she went back to school — and took out more loans — in hopes of landing a higher-paying job in the chemical processing industry. It never materialized, and then came Hurricane Harvey, a job loss and a car bre...
When was this published? This article was first published on July 20, 2026 by KSAT 12 (ABC affiliate) and curated for The San Antonio readers.
Who reported this story? This story was reported by Heather Hollingsworth And Nicky Forster, Associated Press at KSAT 12 (ABC affiliate). To learn more about how The San Antonio selects and reviews stories, see our editorial standards .
Where can I find related coverage? See more schools coverage from The San Antonio, or browse our daily briefing and topic hubs .
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