At the lower end, they are. If their default rate gets too high, the school loses access to federal funding altogether. Of course, places like NYU have excellent programs with valuable degrees to balance out the defaults among the less valuable degrees. Plus their graduates in those less valuable programs also are far more likely to have wealthy families to support them and certainly have more ability to go on to grad school, resetting their default risk somewhat. So really it's only super scammy, low end, primarily for-profit schools who are at risk of losing their access to federal funds. And even that is a super low bar.