CFPB Pullback Shrinks Bankrupt Student Loan Borrowers’ Options | Bloomberg Law
“The CFPB played a key role in forcing student loan servicer Navient Corp. to change how it handled certain private loan discharges, according to Eileen Connor, president of the Project on Predatory Student Lending.
Lenders such as Navient often include arbitration clauses in their contracts, making it harder for borrowers to seek legal help, she said.
The CFPB’s oversight prompted Navient to allow borrowers to seek relief through its website.
“If it hadn’t been for the CFPB, that really wouldn’t have happened,” Connor said. “And it’s kind of uncertain what the future of this is in light of the status of the CFPB now.”’
