Consumer Financial Protection Bureau headquarters in Washington, D.C. Credit: Adobe StockCFPB Reports Widespread Misconduct Across Student Loan Market
The report “points to what a lot of us in the field think is a forthcoming default crisis and seeing a lot more federal student loan borrowers default into 2025,” said Stephanie Hall, a higher education policy expert at the Center for American Progress.
December 17, 2024 at 02:57 PM
3 minute read
The student loan market is rife with misleading and fraudulent practices, the Consumer Financial Protection Bureau stated in a report released Monday.
Much of the misconduct is related to the post-pandemic return to repayment, when 6 million people started paying back their student debt for the first time, the CFPB reported. In total, 28 million people resumed paying student loans this past year following a pause during the COVID-19 crisis, the bureau found.
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