Many Americans are struggling under huge monthly student-debt bills. But they are a sizeable minority, not the norm. That’s the conclusion of research from the Federal Reserve Bank of Cleveland. The typical borrower between ages 20 and 30 pays $203 a month toward student debt. Three-quarters of rrowers pay no more than $400 a month, the study shows. Read More

The CFPB’s latest Supervisory Highlights report supervising the student loan servicing market has therefore been a priority for the Supervision program. The CFPB continues to examine entities servicing both federal and private student loans, primarily assessing whether entities have engaged in unfair, deceptive, or abusive acts or practices prohibited by the Dodd-Frank Act UDAAP. Read more…

The CFPB’s growing reliance on its vague Unfair, Deceptive and Abusive Acts or Practices authority continues to cause concern in the credit and collection industry as the CFPB considers proposed rules for debt collection. Read More

Politico has reported that Rohit Chopra, the CFPB’s former student loan ombudsman, has joined the Education Department in a senior leadership position focused on protecting student borrowers.  Politico also reported that in his new position Mr. Chopra will look at how to judge the financial solvency of colleges, examine state level consumer protections for borrowers, seek ways to make data more publicly available, and work on improving loan protections for military members. Rohit Chopra will work as a senior adviser at Ed focusing in part on protections for student borrowers. Read More