6 million student-loan borrowers are 'far better off' after yet another major company announced it will shut down its services, Elizabeth Warren says
Navient, one of the biggest student-loan servicers in the US, has "spent decades misleading, cheating, and abusing" borrowers, Warren told Insider.news.yahoo.com
February's student-loan payment restart will run into a 'psychological hurdle' as many borrowers thought their debt would be forgiven, Biden official says
"The stakes are extremely high" for borrowers who have gotten used to not making any payments on student debt, FSA Director Richard Cordray said.news.yahoo.com
Education Department waives loan interests for over 47,000 service members
The Office of Federal Student Aid within the Department of Education has retroactively waived interest on loans held by over 47,000 service members, the latest in a series of steps the Biden administration has taken toward widespread forgiveness of student loans.news.yahoo.com
Biden consumer watchdog pick signals more aggressive stance
(AP Photo/Susan Walsh)CHARLOTTE, N.C. – President Joe Biden's nominee to run the federal consumer watchdog agency indicated Tuesday that if confirmed he would restore more aggressive enforcement actions against companies and banks that largely faded during the Trump administration. On his first day in office, Biden asked President Donald Trump's CFPB director, Kathy Kraninger, to resign. Part of the law that overhauled the entire financial industry, the CFPB was given the mission to be an aggressive regulator and a watchdog for American consumers. He left the bureau in in the final days of the Obama administration to work for an outside consumer advocacy group. In 2018, President Donald Trump nominated Chopra to the FTC to fill the Democratic seat on the regulator.
In Ohio, open Senate seat sparks debate on gender, diversity
An open Senate seat in Ohio has set off a round of jockeying among ambitious Democrats and a spirited debate over who is best poised to lead a party comeback in a one-time battleground that has been trending Republican. While Acton and Ryan are believed to be the furthest along in their deliberations, several politicians who are Black are also eyeing the seat. The group is working to recruit a Black candidate for the Senate seat, he said. AdStill, Ryan got a boost Saturday when Hillary Clinton, the party’s 2016 presidential nominee, declared on Twitter that she was “all in” for a Ryan Senate candidacy. For some Ohio Democrats the cautionary tale is 2018, when a group of female gubernatorial candidates all ceded their ambitions to former Obama administration consumer chief Richard Cordray, who lost the race.
Covid, payday loans, student debt — here are the issues Biden's consumer bureau may tackle
The headquarters of the Consumer Financial Protection Bureau in Washington, D.C. JHVEPhoto | iStock Editorial | Getty ImagesThe Consumer Financial Protection Bureau is expected to become a more aggressive consumer watchdog under the Biden administration and while the coronavirus pandemic hurls financial challenges at millions of Americans. Rohit Chopra, President Joe Biden's nominee to head the Consumer Financial Protection Bureau. Student loansUnder Biden, the consumer bureau is expected to exercise greater enforcement of the rules on student loan servicing. Advocates have criticized student loan servicers for misleading borrowers and steering them into more expensive repayment plans. The consumer bureau will likely also take a harder stance against for-profit schools that have been known to prey on vulnerable students and make unrealistic promises.cnbc.com
Here's who Biden would likely pick as the top financial watchdog for consumers
Tom Brenner | ReutersConsumers are likely to get a new financial watchdog if Joe Biden wins the presidential election next month. The Consumer Financial Protection Bureau has languished during the Trump administration, making it likely that Biden, if elected, would make leadership changes, according to consumer advocates. The agency protects consumers from financial abuse and predatory practices in common financial services like credit cards, mortgages and loans. Sarah Silbiger/Bloomberg via Getty ImagesPorter is a former law student of Sen. Elizabeth Warren, D-Mass., who was integral to the CFPB's formation. Levitin, also a former Warren student, has written extensively on consumer financial protection issues.cnbc.com
Trump may let workers take Social Security benefits early in exchange for reduced payments later. Retirement advocate calls it 'harebrained idea.'
Tom Brenner | ReutersPresident Donald Trump is reportedly considering another way to get more money to struggling Americans by letting them take an advance on their Social Security benefits. The Trump administration is said to be considering prepaying Social Security retirement benefits to workers before they are eligible, according to The Washington Post. That might be a good thing One proposal the White House is reportedly considering calls for letting Americans take up to $5,000 from Social Security now in exchange for delaying their benefits in the future. The $5,000 would be structured as a loan with a government-set interest rate that would reimburse the Social Security trust fund with interest. Individuals who opt into the program would pay that money back when they start collecting Social Security benefits.cnbc.com
Consumer advocate Richard Cordray fears rise of 'vehement' debt collectors amid pandemic
CNBC: Given the broad temporary relief measures within the CARES Act, where are consumers are most likely to get burned? I'm concerned that some of them aren't getting the relief that's being promised. Take some of the different pieces under the CARES Act. People aren't getting through and aren't able to get the relief that's promised. The temporary relief that was given suggests Congress is more open to a more lasting solution to this problem.cnbc.com
Your lender might let you miss a few mortgage payments. Three questions you should ask first
EmirMemedovskiHomeowners whose finances have been battered by coronavirus might want to think again before postponing their mortgage payments. Congress has offered some relief to mortgage borrowers who are experiencing financial strain from the coronavirus pandemic, which has left a flood of layoffs in its wake. States have also rolled out their own relief measures for borrowers whose mortgages aren't backed by the federal government. Document every interaction you have with your mortgage servicer and start with these three questions before you sign up for forbearance. Gary Burchell | Getty ImagesWill the missed mortgage payments be folded into future payments?cnbc.com
Obama: 'People don't know what's true' with YouTube and social media
President Barack Obama said on Thursday that technology has brought about greater inequality and made the public more divided, despite its potential. "Part of what happens is that people don't know what's true and what's not, and what to believe and what not to believe," Obama said. People who watch Fox News live in a different reality than those who read The New York Times, Obama said. Today's culture, accelerated by technology and social media, leads to the pursuit of the wrong things, Obama said. WATCH: President Obama warns against information bias on the internetcnbc.com