From the Web: Pennsylvania Attorney General Seeks to Halt ‘Rollback of Critical Student Loan Protections’
10/3/2017 8:00 AM
Several state attorneys general are working to stop U.S. Department of Education (DOE) Secretary Betsy DeVos’s efforts they say will affect student loan protections, the Centre Daily Times reports.
Pennsylvania Attorney General Josh Shapiro and attorneys general from 18 other states submitted a letter to DeVos citing issues with the DOE’s termination of two Memoranda of Understanding (MOUs) with the Consumer Financial Protection Bureau, according to the article.
In September, DeVos terminated the MOUs related to federal student loan oversight and sharing of information, citing that the bureau has “violated the intent” of those agreements, ACA International previously reported.
In response, Shapiro is asking DeVos to halt a “systematic rollback of critical student loan protections for student borrowers,” according to the Centre Daily Times.
“With a rising number of students burdened by college loan debt or in default, this is exactly the wrong time for the Department of Education to abandon its responsibility to protect students from deceptive practices by for-profit schools and federal loan servicers,” Shapiro said.
CFPB Director Richard Cordray responded to the DOE’s termination of the in a letter stating the two organizations could work together. A group of Congressional Democrats in the U.S. Senate and House also sent a letter to DeVos requesting she reinstate agreements on federal student loan oversight and sharing of information with the CFPB The Hill reports.
Follow ACA on Twitter @ACAIntl and @acacollector or Facebook for news and event updates. ACA’s LinkedIn Group includes news updates, member discussions, event promotions, jobs and more. Visit the group page and request to join today. Subscribe to ACA Daily, Collector magazine and update your email subscription preferences by visiting the publications page. ACA members can get email notifications when each new digital issue of Collector magazine is available by logging in here; members and nonmembers can also purchase a print subscription. Nonmembers can create a guest profile on ACA’s website to subscribe to available publications.