More than 20 Democratic senators called on the Consumer Financial Protection Bureau to investigate a loan servicer Pennsylvania Higher Education Assistance Agency’s handling of the Public Service Loan Forgiveness program for public service workers. According to recent reports, 99 percent of applicants have been denied loan forgiveness.
A 2017 report by the CFPB’s student loan ombudsman found that “flawed payment processing” and paperwork errors had contributed to loan forgiveness denials. A 2018 Government Accountability Office report blamed PHEAA’s failure to “properly account for qualifying payments and reliance on inaccurate information.”
The Hill has the story.
