Is Canceling Student Debt the Right Approach?
Complaints about student debt cancellation being regressive doesn’t acknowledge there are very big differences in terms of income and wealth.
Student loans get put on hold in coronavirus stimulus bill. Here's what to know.
With the coronavirus pandemic spreading throughout the United States and crippling the economy, Congress moved quickly to approve a $2 trillion relief bill, which President Donald Trump soon signed. Included in the bill is relief for borrowers of certain types of student loans -- they'll see their interest frozen and payments suspended through at least Sept. 30.
Banks may soon offer Americans more loan options—here’s what experts say you need to know before borrowing
“Lenders who charge extremely high rates don’t have a lot of incentive to care whether customers succeed on their loans or not because they make so much money on interest, they can lose the principal and still make money,” Borné says.
Student loan payments suspended for six months under Senate bill
The Center for Responsible Lending is concerned that some federal student loan borrowers will be left out under the draft bill. It applies to those with federally held loans and excludes private loans, as well as some federally guaranteed loans -- likely including some disbursed prior to 2008.
FDIC approves student loan servicer’s bid to become a bank
Nelnet, one of the largest student loan-servicing companies, is gearing up to become a bank, a prospect that has consumer groups concerned. The Federal Deposit Insurance Corp. this week approved the firm’s application to form an industrial loan company, a state-chartered bank that can operate nationally with minimal federal oversight. The decision clears the way for the launch of Nelnet...
We have to do something about the black student debt crisis
According to the Center for Responsible Lending (CRL), 70% of the people who graduated from college in 2016 have student loan debt with an average of $30,000 — and the problem gets worse for communities of color, says Ashley Harrington, federal advocacy director at the Center for Responsible Lending. “We definitely think we have to do something about this crisis,”...
CFPB Limits Its Own Powers Against Abusive Conduct in New Policy
Those directives are likely to make it harder for the CFPB to deploy the abusiveness standard, said Will Corbett, director of litigation at the Center for Responsible Lending. “The CFPB is deliberately tying the hands of its enforcement and supervision of abusive acts practices,” he said.
Student Debtor Forgiven $220,000 in School Loans
Ashley Harrington, senior policy counsel for the Center for Responsible Lending, celebrated the decision, but said student debt that impacts low-income and minority borrowers more than any others should be addressed long before debtors end up with interest-bloated loans. “
Trump Plan For Home Loans Rattles Watchdogs
At its heart, the new Trump administration plan for the home loan market aims to change the rules for the mortgage giants Fannie Mae and Freddie Mac. The two companies are the bedrock foundation for home mortgages in the U.S. The government created them decades ago to provide a federally backed guarantee on loans to ensure that money would always...
Congressional Reps Rebuke Delay of Payday Loan Rule
Anyone who struggles with the rising costs of living knows all too well how hard it is to try stretching dollars when there’s more month than money in the household. Predatory lending, like payday and car-title loans, worsen financial stress with triple-digit interest rates that deepen the debt owed with each renewal. The irony is that many payday loan borrowers...