Feds aggressively using private law firms to collect student-loan debt

This article by Bobby Allyn discusses a program, begun by the Obama Administration in 2015, to step up use of private law firms to collect student-loan debt through federal-court lawsuits. The program apparently includes obtaining judgments and then placing liens on poor people's homes. Allyn's article focuses on law suits filed in federal court in Philadelphia, but the tactic is being used elsewhere as well. And Allyn stresses that "almost all" of the suits are against low-income people.

Click here for a chart illustrating the increase in student-loan collection suits instituted by just one private law firm in Philly.

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