New Federal Actions Taken to Support Americans with Student Debt

Date: 
Friday, April 29, 2016

The White House today announced a broad initiative to improve efforts and better support the more than 40 million Americans who have federal student loans. The related components—a combined effort of the U.S. Department of Education (ED), U.S. Department of Treasury and the Consumer Financial Protection Bureau (CFPB)—include: a set of loan servicing objectives that will inform the Department's new loan servicing system; a CFPB Prototype Student Loan Payback Playbook; a new website to better inform student loan borrowers about repayment options best-suited for their unique circumstances; and a new initiative to modernize the way student loans appear on borrowers’ credit reports. The joint effort will provide more transparent information about the terms of borrowers’ loans, account features, and consumer protections. The announcement also includes a new initiative to "modernize the way student loans appear on borrowers’ credit reports and a set of loan servicing objectives that will inform ED’s goal to build a new state-of-the-art loan servicing system to further improve student loan servicing practices, promote borrowers’ successful loan repayment, and reduce borrower defaults.”

Printed from the Iowa College Student Aid Commission website on December 15, 2017 at 9:24pm.