by Jeff Sovern
Glen Thrush has an article in the Times headlined Mulvaney Demotes Unit That Polices Student Loans in Consumer Bureau Reshuffle. Excerpt:
The change comes at a critical moment in the agency’s effort to rein in abuses in the student loan industry. The program, started under the Obama administration, has clawed back about $750 million from lenders since 2011. At the center of the bureau’s effort is its case against Navient, a spinoff of Sallie Mae, which the agency accused in 2017 of steering low-income borrowers into higher payments than they needed to make, misallocating payments and failing to provide customers with clear information about cost-saving options.
* * *
Navient has denied wrongdoing and deployed a team of Washington-based lobbyists to fight what they believe is an unfair investigation.