Statement from SBPC Executive Director Seth Frotman on Appointment of Industry Executive to Top Student Loan Watchdog Job
AUGUST 16, 2019 | WASHINGTON, DC—Student Borrower Protection Center Executive Director and former CFPB student loan ombudsman Seth Frotman released the following statement on today’s announcement by the Bureau that student loan industry executive Robert G. Cameron will serve as the Bureau’s student loan ombudsman.
“Under current leadership, the CFPB has made it its mission to do the bidding of the largest financial services companies in America. It is outrageous that an executive from the student loan company that has cheated students and taxpayers—and is at the center of every major industry scandal over the past decade—is now in charge of protecting borrowers’ rights. This is an insult to the nation’s 45 million borrowers who deserve an advocate in their corner. We will continue working with states, cities, and groups across the country to hold the Administration and industry accountable and to stand up for borrowers.”
Seth Frotman stepped down from the Bureau’s Student Loan Ombudsman role a year ago after witnessing agency leadership put the interests of predatory companies ahead of its job protecting consumers. Before this appointment, Robert G. Cameron worked as an executive at the Pennsylvania Higher Education Assistance Authority, one of the nation’s largest student loan servicing companies.
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About the Student Borrower Protection Center (SBPC):
The Student Borrower Protection Center (www.protectborrowers.org) is a nonprofit organization solely focused on alleviating the burden of student debt for millions of Americans. SBPC engages in advocacy, policymaking, and litigation strategy to rein in industry abuses, protect borrowers’ rights, and advance economic opportunity for the next generation of students. Led by a team of former federal regulators that directed oversight of the student loan market at the Consumer Financial Protection Bureau, SBPC exposes harmful and illegal practices in the student loan industry, drives impact litigation, advocates on behalf of student loan borrowers in Washington and in state capitals, and promotes progressive policy change. SBPC accomplishes these goals by partnering with leaders at all levels of government and throughout the nonprofit sector.