Search Results: test Student Loans

CFPB Files Suit Against Companies for Allegedly Funneling Credit Reports to Student-Loan Debt-Relief Scheme

​On January 9, 2020, the Consumer Financial Protection Bureau (CFPB) announced that it had filed a complaint against a constellation of companies for allegedly requesting credit reports without a permissible purpose in order to deceptively market sham student-loan debt relief services to consumers, in violation of the Consumer Financial Protection Act…

Read More

FTC Files Suit and Obtains Temporary Restraining Order Against Alleged Student Loan Debt Relief Scam

FTC

On November 12, 2019, the Federal Trade Commission (FTC) announced that on it had filed a lawsuit against a collection of interrelated companies and individual defendants for allegedly misrepresenting themselves as affiliated with the Department of Education in order to convince consumers to sign up for student loan debt relief. The…

Read More

New York Attorney General Sues Student-Loan Servicer for Failure to Administer Federal Loan Forgiveness Program

​On October 3, 2019, the New York Attorney General’s office (NY AG) announced that it had filed a lawsuit against a major student-loan servicer for failing to properly administer the federal Public Service Loan Forgiveness program. According to the complaint, the servicer allegedly employed deceptive, unfair, and abusive practices such…

Read More

FTC Settles With Operators of Alleged Student Loan Debt Relief Schemes

On September 12, 2019, the Federal Trade Commission (FTC) announced that it had settled lawsuits​ against the operators of two alleged student loan debt relief schemes, and a financing company that assisted them, alleging that they had bilked millions of dollars from consumers.  The FTC alleged that the defendants violated…

Read More

CFPB Announces Settlements with Higher-Learning Institution and Lender Over Private Student Loans

On August 12, 2019, the Consumer Financial Protection Bureau (CFPB) announced a proposed settlement with a for-profit higher-education institution. The CFPB filed a complaint against the institution in the U.S. District Court for the Southern District of Indiana on February 26, 2014, alleging that the institution had violated the Consumer…

Read More

Finance Company to Pay $440,000, Banned from Selling Student Loan Services in Massachusetts

On August 7, 2019, the Attorney General for the Commonwealth of Massachusetts (“Massachusetts AG”) announced that it filed a complaint and consent judgment in Suffolk County Superior Court.  The consent judgment bans a purportedly unlicensed finance company from collecting on any active student loan debt relief accounts in Massachusetts, and requires the company to pay $340,000 to repair the credit of…

Read More

New York AG Announces Settlement with Student Loan Debt Relief Company

​On August 8, 2019, New York Attorney General Letitia James (“New York AG”) announced a settlement and consent order with a student loan debt relief company, resolving the complaint’s allegations that the company deceived borrowers into paying for debt relief services that are available to the public for free from the federal government…

Read More