Student Loans

Public colleges in 49 states across the country — all but Louisiana — are being called out in a report for placing unpaid debts with private collection agencies to be repaid for tuition, library fees, and parking fines, creating a “spiraling” amount of debt that former students are not able …

Richard Cordray, the new head of the federal government’s student loan program, on Friday announced that the Education Department was reversing a policy that was put in place during the Trump Administration which blocked state and federal regulators from accessing records needed to investigate student loan lenders, servicers, and private …

The Federal Trade Commission has banned those behind a student loan debt relief scam from providing debt relief services as part of a settlement that the agency announced earlier this week. One of the defendants will also make a monetary payment of $11,500 as part of an overall judgment against …

The Attorney General of Pennsylvania has recalled more than $18 million in student fees that are owed to the state from private collection agencies that were working the accounts and announced that the Commonwealth will no longer send unpaid student fees to for-profit agencies and attempts by a university to …

A familiar name is coming back to help regulate the accounts receivable management industry. Yesterday, it was announced that Richard Cordray — the former director of the Consumer Financial Protection Bureau — has been hired as the Chief Operating Office of the Department of Education’s Federal Student Aid, which oversees …

The Attorney General of Minnesota has reached a settlement with a student loan debt relief company that was accused of falsely promising student loan forgiveness which will see the company repay all the money it collected from customers in the state and cease operations in Minnesota until it registers as …

A bill has been introduced in the House of Representatives that seeks to cancel any outstanding student loan debt for frontline healthcare workers. The bill, H.R. 2418, called the Student Loan Forgiveness for Frontline Health Workers Act, was introduced yesterday by Rep. Carolyn Maloney [D-N.Y.]. The bill includes 23 cosponsors, …

A day after it announced it was canceling the student loan debt for 230,000 individuals with student loan debt who had become permanently disabled during the COVID-19 pandemic, the Department of Education yesterday announced it was expanding a moratorium on federal student loan interest and collections on all defaulted loans …

Performant Financial Corp. announced yesterday that it has sold some of its recovery contracts that are outside the healthcare industry, including its student loan agreements, to an unnamed buyer as part of the company’s decision to “fully dedicate” its resources to its healthcare business. The impact that the COVID-19 pandemic …

A District Court judge in Delaware has dismissed a lawsuit filed by the Consumer Financial Protection Bureau that accused a student loan servicer and the debt collector it hired of engaging in deceptive collection practices, ruling that the regulator did not have the authority to file the lawsuits because it …