BREAKING: Trump Administration Blocked Attempts to Address Public Service Loan Forgiveness Problems – Forbes
National news organizations are reporting on deliberate and coordinated efforts by the Trump administration to thwart an independent federal oversight agency from cracking down on student loan servicers that have misled borrowers or steered them away from Public Service Loan Forgiveness.
The Consumer Financial Protection Bureau (CFPB) was established in the wake of the Great Recession of 2007–2008 to regulate financial service companies, including student loan servicers. The CFPB was designed to be an apolitical and independent oversight agency, fulfilling its mission to protect consumers and borrowers regardless of the prevailing political winds of either the White House or Congress.
Part of the CFPB’s job was to oversee student loan servicing companies, investigate and report on consumer complaints, and enforce federal statutes and regulations if these companies ran afoul of the law. Indeed, in its early years, the CFPB went after student loan giants like Navient and National Collegiate Student Loan Trust.