New York Department of Financial Services Announces Initiative Targeting Student Loan Debt Relief Industry

​On September 5, 2019, the New York Department of Financial Services (NYDFS) announced​ that it was launching a new investigation into the student loan debt relief industry. NYDFS stated that, as part of its “Step Up for Students” initiative, it was issuing subpoenas to eight student loan debt relief companies relating to an investigation into allegedly deceptive practices including misleading advertising and unscrupulous fees. According to NYDFS, the investigation will focus on whether student loan debt relief services charge excessive fees through a monthly subscription when their services are already available for free through the federal government.