If you have taken out a student loan, chances are you have used one of the integral services that work between you and the bank. They act as a kind of liaison that manages the loan and process your monthly payments.
One of these services is called Navient, which is the largest one, has been accused of failing to act on complaints, with allegations that they have been providing mis-information and processing payments incorrectly. This is something that the federal government doesn’t take lightly and subsequently, the government's Consumer Financial Protection Bureau (CFPB) has filed a multi-million dollar lawsuit against them.
Based upon ...
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Beware of Private Student Loans
While many students look forward to college and graduate school, albeit, graduating school, they often miscalculate or are just oblivious to what could become an overwhelming accumulation of student loan debt.
Some students are lucky that their grades and SAT scores allow them the privilege of gaining scholarships; however, even these students become subjected to paying back the loans that were needed to compensate for the part of the tuition that the scholarships did not provide for.
Nancy, an undergrad in New York’s SUNY Binghamton University has received scholarships, but there was still a whopping $22,000 that she had to apply for ...
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Student Loans Guidance From D.O.E. – Is The D.O.E. Making Deals? Maybe
The Department of Education has recently released a guidance letter on how it will handle bankruptcy discharge requests for government backed student loan debt. Although any guidance is helpful, it's more or less another “kick the can down the road” as it places the burden on students who believed what schools and colleges sold them as a smart financial move.
The Department of Education desires to find a balance between collecting debts and allowing debt to be discharged. What this formula misses is the inequity of the indebtedness to begin with by schools, for-profit and nonprofit, pushing loans on consumers. It's almost like a game of ...
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The College Debt Bubble is Ready to Explode
For the first time ever, student loan debt has surpassed credit card debt. Over the last decade, young people have eagerly received hundreds of thousands of dollars from private lenders working with financial aid offices to earn bachelor’s degrees. According to Yahoo, thanks to easy credit, declining grants and growing tuitions, more than two-thirds of students graduated with debt in 2008, up from 45% fifteen years ago. Outstanding student loan debt ballooned, it grew roughly four-fold in the last decade to $833 billion, with the average debt load being $24,000 according to the Project on Student Debt.
If that wasn’t bad enough, defaults ...
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