CFPB Report – Borrowers Struggle After Student Loan Rehabilitation
The National Consumer Law Center’s Student Loan Borrower Assistance Project, is a resource for student loan borrowers, their families, and advocates representing student loan borrowers. In this recent post, Persis Yu, discusses the continued struggle of students after their loans have been rehabilitated.
CFPB Report Shows Borrowers Still Struggle After Student Loan Rehabilitation
The Consumer Financial Protection Bureau (CFPB) Student Loan Ombudsman released a report today estimating that over a third of borrowers who rehabilitate their loans will re-default within the first two years. It further highlighted industry estimates that re-default rates could be as high as 75% over the entire life of the loans. This confirms one of our greatest fears – that programs designed to help student loan borrowers may actually put them in a worse position.Read More…