Center for American Progress

The State Lawsuit That Could Set a Precedent for Nationwide Student-Loan Refunds
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The State Lawsuit That Could Set a Precedent for Nationwide Student-Loan Refunds

Authors Natalia Abrams and Senya Merchant discuss California state's lawsuit against student loan company Navient and the implications on efforts to hold abusive student loan companies accountable if California wins.

Authors

  • Natalia Abrams
  • Senya Merchant

Anyone with a student loan knows what it’s like to be given the runaround by their loan-servicing company. It turns out that this may be more by design than you may have suspected. Lawsuits against one of the largest servicers of federal student loans, Navient, have garnered headlines in recent weeks. Following the Consumer Financial Protection Bureau’s groundbreaking lawsuit against the company in 2017, four additional states have followed suit, including California, in an effort to enforce state consumer laws and protect student-loan borrowers from unscrupulous business practices.

The above excerpt was originally published in The Nation. Click here to view the full article.

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Authors

Natalia Abrams

Senya Merchant

Program Manager, Higher Ed, Not Debt and Generation Progress