One of biggest drags on young people (and some of us parents) is student loans….
Peddled as easy money for going to college, then become ball and chains after those student’s graduate….
The loan companies have been successful in getting the government to back the loans, while them pump up the interest and fee’s to make a killing….
Some student’s and parents end up paying almost all of their paychecks to pay back the loans, which quickly ballon up in money owed….
Education Sec. DeVos seems to be firmly in bed with these loan collectors and is doing their bidding?
The Education Department will propose a policy blocking states from overseeing student loan collectors, Politico reported Monday.
Education Secretary Betsy DeVos is expected to announce that only the federal government has oversight over the companies collecting federal student loans, shielding them from state regulators and lawmakers.
The “notice of interpretation” would protect the collectors from recent state scrutiny, including major companies like Navient and Nelnet. The Education Department currently hires nine collection companies to collect loans, according to Politico.
Collections of federal loans “implicate uniquely federal interests,” a draft of the policy obtained by Politico reads.
More than a dozen states have passed or are debating legislation that would create tougher rules against student loan companies. Student loan companies have lobbied the government to shield them from the states’ actions in recent months.
This isn’t the first action the Trump administration has taken in support of the student loan industry. The Justice Department said in a court filing earlier this year that states can’t take legal action against the companies because the federal government preempts them…..