About 600 university students have been declared no longer eligible for student loans because of their poor academic performance last year, the Japan Student Services Organization said Thursday.
It is the first time the organization has taken such tough action, which was prompted by a growing number of unpaid loans.
To continue to receive the loans, students are required to renew their applications every spring at the beginning of the school year. They update the schools on their finances and reaffirm their pledge to pay the loans back.