In the News
Dozens of for-profit colleges that are among those most likely to benefit from stimulus funding face thousands of claims from students demanding their money back because they say they were defrauded, according to analysis prepared for MarketWatch.
But even as Congress and the Trump administration acted, it was, and in some cases still is, business as usual in the private sector, with private education lenders and creditors filing a flurry of lawsuits throughout March to recover past-due debts, according to advocates and court records.
But for millions of people whose student loans are from private lenders such as Wells Fargo, Sallie Mae, or SoFi, the package, which is intended to alleviate financial pressures caused by the coronavirus pandemic, brings no relief.
Several of the largest private student loan creditors announced they will halt all collections lawsuits after weeks of dragging distressed borrowers to court during the coronavirus national public health crisis. These announcements come on the heels of work by the Student Borrower Protection Center to call attention to these abusive…
Today, the California Department of Business Oversight filed a lawsuit against the Pennsylvania Higher Education Assistance Agency (PHEAA), also known as FedLoan Servicing.
Today Student Borrower Protection Center Executive Director and former CFPB Student Loan Ombudsman Seth Frotman issued the following statement on how the CARES Act fails to deliver critical relief for student loan borrowers.
Testimony of Katherine Welbeck Before the California Assembly Select Committee on Student Debt: Student Debt Impacts on California Neighborhoods
Testimony of Seth Frotman at the House Financial Services Committee hearing: A $1.5 Trillion Crisis: Protecting Student Borrowers and Holding Student Loan Servicers Accountable
Keynote remarks of Seth Frotman in conjunction with the release of the San Francisco Federal Reserve Bank’s paper, At What Cost?: Student Loan Debt in the Bay Area.