Recent changes to the system that tracks recovery performance in the Department of Education’s (ED) private student loan debt collection contract may have resulted in either overpayments or underpayments to the 23 collection agencies on the contract, according to a report from ED’s Office of the Inspector General.
In her first standalone bill introduced in the U.S. Senate, Elizabeth Warren (D-Mass.) offered a bill Wednesday that would slash the interest charged to federal student loan borrowers to the same rate paid by financial institutions.
The bill is a preemptive solution to a student loan interest rate hike expected in July.
Account Control Technology, Inc. (ACT), a national leader in delivering debt management and recovery solutions, is pleased to announce it has formally established the Account Control Technology Foundation (ACT Foundation). The non-profit, charitable Foundation was set up at the behest of ACT’s founders, Dale and Debbie Van Dellen, to support education, build financial literacy, fund vital charities and provide community support.
Performant Financial Corporation (NASDAQ: PFMT) Tuesday filed a registration statement with the Securities and Exchange Commission with respect to a proposed secondary public offering of 6,500,000 shares of common stock on behalf of certain selling stockholders.
The issue of students and student loan debt will probably be perennial: education costs are increasing; student loans and private loans are almost the norm.
Delta Management Associates, Inc. (Delta), a premier provider of tailored recovery solutions to the debt management community, is pleased to announce the promotion of Christopher Riordan to President.
Cutting commissions to the collection agencies who collect on these unpaid debts isn’t the same thing as helping students not fail financially. Collectors are an easy “villain” to point to; however, the issue isn’t really the collectors or the commission. It’s poor financial literacy on the part of students and parents who bite off more debt than they can chew.
Account Control Technology, Inc. (ACT), a national leader in delivering debt management and recovery solutions, is pleased to announce that Brian Shively has joined the company as director of operations for the firm’s call center in San Angelo, Texas
A new contract between the U.S. Department of Education and the 22 private debt collection agencies it employs to recover past due payments features a shift in the commission structure paid to the collectors that will result in a lower overall rate, according to Bloomberg.
The new contract terms target ED’s student loan rehabilitation program.
The Consumer Financial Protection Bureau (CFPB) proposed a rule last week that would allow it to federally supervise certain nonbank student loan servicers for the first time. The rule would bring new oversight to a rapidly growing market that has seen a rise in borrower delinquency in recent years.