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CFPB flags redisclosure by loan servicers harms repayment
The Consumer Financial Protection Bureau warns that some student loan servicers reduce monthly payments after extra or lump-sum payments, extend loan terms, and raise total interest. With 43 million borrowers, millions could be affected. Borrowers report notices of automatic payment cuts without consent and limited tools to restore higher payments.
MENTIONED IN THIS ARTICLE
Washington, D.C
Consumer Financial Protection Bureau
Mike Pierce
CFPB
U.S. Department of Education
Lynnette Khalfani Cox
Banks
Cox
Mountainside
N.J
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