In a letter to the Consumer Financial Protection Bureau, the SBPC calls attention to troubling practices by large technology companies that are occurring in the higher education finance and postsecondary education space. Given the CFPB’s recent inquiry into tech giants’ practices in the consumer payments market, the SBPC is urging the Bureau to expand its focus to include this industry’s role in exacerbating the student debt crisis.
Some of the examples raised in the SBPC’s letter include evidence of social media companies illegally empowering for-profit colleges to target communities of color; payment processors driving consumers toward increasingly risky forms of credit; and tech companies appearing to structure credit offerings to attempt to avoid existing consumer protections.
Read the Letter: Letter to the CFPB on Troubling Practices by Large Technology Companies