On Tuesday, Scott posted a N.Y. Times op-ed describing a worsening U.S. student-loan debt problem. The Consumer Financial Protection Bureau is also concerned. Yesterday, it posted a piece entitled New signs of trouble for student loan borrowers, focusing not only on debt burden and default rates, but also on problems student-loan debtors have with loan servicers — the companies that seek to collect the debt each month. The CFPB maintains that servicers "can make it harder [for debtors] to manage [their] loans and may contribute to our nation’s growing student loan default problem."
Yesterday's piece was posted in conjunction with release of the CFPB's annual report on student loan complaints, which looks in depth at problems experienced by student-loan borrowers. The agency noted that it is "particularly concerned about repayment problems facing those with older federal student loans that were made by banks and other private lenders."
Our readers may also be interested in last month's comprehensive CFPB report on student-loan servicing, which was based on input from 30,000 debtors who provided the agency with information on how their loans have been serviced.
