More wiggle room for student-loan debt?
As more borrowers fall behind on their private student loans, a U.S. consumer watchdog is pushing to make those payments more affordable.
The Consumer Financial Protection Bureau last week said it’s seeking proposals on ways to make debt repayments more manageable for borrowers of private student loans — especially those who encounter financial hardships. In a call with reporters on Thursday, Rohit Chopra, the CFPB’s student-loan ombudsman, said private student-loan borrowers face bigger challenges than those with federal loans because they typically don’t have flexible repayment options, such as “income-based repayment,” where borrowers make payments based on their income rather than the amount they owe, and “extended repayment,” which lowers the monthly payment by lengthening the loan’s duration.
The student loan financing system has survived up to now. Can this greed infested whorehouse of corruption last much longer?