Student Loans

CFPB Fines Student Loan Holder, Debt Collector

The federal government has fined two groups it says illegally attempted to collect student loan debt and prohibited them from further action on recovering payments until audits on all its accounts are completed. The Consumer Financial Protection Bureau said Monday National Collegiate Student Loan Trusts, which owns more than 800,000 student loans, and their debt collector, Transworld Systems, sued borrowers…

US Consumer Credit Rose at Slower Pace in June

American consumers increased their borrowing at a slower pace in June, as the category that includes auto and student loans posted the smallest gain in a year. The Federal Reserve says overall consumer credit expanded by $12.4 billion in June, down from May’s $18.3 billion increase. Non-revolving credit, which includes auto and student loans, rose $8.3 billion, down from an…

Rule Aims To Ease Debt Relief To Students Who Were Defrauded

The Obama administration is trying to make it easier for students who have been misled or defrauded by their colleges to have their loans forgiven. The Education Department has proposed a new rule that lays out a clear relief process for borrowers who believe they were lied to about job prospects after college or otherwise deceived in order to enroll…