In the News

The CFPB’s report comes as the Biden administration is facing pressure to fix the challenges plaguing the PSLF program. Advocates called on the Department of Education to forgive the debt of public servants who have been repaying their loans for at least 10 years. Members of the military are, for example,...

A new report from the Consumer Financial Protection Bureau (CFPB) found that student loan servicers have engaged in systematic mismanagement of a key student loan forgiveness program, often providing misinformation or misrepresenting the rights and options of borrowers.

Rohit Chopra, the CFPB’s first student loan ombudsman, will likely crack down on servicers once he is confirmed by the Senate to lead the bureau, observers say. Chopra is widely expected to tag-team servicers with his old boss, former CFPB Director Richard Cordray, who is now the chief operating officer...

Pressure is building on President Joe Biden to address the failures in the student loan system and cancel billions of dollars in debt before the pause on student loan payments expires at the end of September. Democrats and progressive organizations have warned that resuming student loan payments could blunt the...

Advocates and members of Congress, including Democratic Senators Chuck Schumer and Elizabeth Warren, are urging the Biden administration to extend the payment pause, based on concerns that the student loan system isn’t ready logistically for payments to resume and that borrowers aren’t financially prepared — a recent survey of 23,000...

Borrowers in the Public Service Loan Forgiveness program are reporting waiting for up to six months for approval of their forgiveness applications, often with little explanation why. Even though loan payments are paused for pandemic relief, borrowers still worry whether their approval will be processed before payments are set to...

Tens of millions of borrowers have their federal student loan payments on pause right now, thanks to governmental efforts to keep them out of financial trouble during the pandemic. But as soon as Oct. 1, a switch will flip and most of those people will need to start the repayment...

Led by the Student Borrower Protection Center, 128 organizations, including the American Civil Liberties Union (ACLU) and Service Employees International Union (SEIU), sent a letter to Biden on Thursday urging him to extend the payment pause until the administration has followed through on its promises to fix the student-loan system...

On Thursday morning, more than 125 organizations also wrote to the president to extend the pause "until your administration has delivered on the promises you made to student loan borrowers to fix the broken student loan system and cancel federal student debt."

Millions of student loan borrowers could be at risk of having their child tax credit seized by the government. A generous expanded child tax credit was part of President Biden’s American Rescue Plan, the Covid-19 relief package that Congress enacted in the spring.