Quantcast
Government Schools

Student Loan Settlement Brings Relief to 6,000 Borrowers

Attorney General William Tong. Photo credit: Ronni Newton (we-ha.com file photo)

Consumer Protection Commissioner Michelle Seagull said the settlement will help many who are struggling to pay off loans.

By Hugh McQuaid, CTNewsJunkie.com 

Thousands of Connecticut student loan borrowers will receive some restitution under a multistate settlement with Navient, a loan servicer accused of predatory lending practices, Attorney General William Tong announced Thursday.

Tong, along with attorneys general in 38 other states, reached a $1.85 billion settlement with the loan-servicing company addressing allegations that it directed struggling borrowers into high-priced forbearances rather than cheaper plans since 2009.

Here in Connecticut, $19 million will be directed to helping more than 1,300 borrowers, another $1.3 million will fund restitution to 4,875 borrowers, and $141,000 will be deposited in the state’s General Fund.

In a press release, Tong called the settlement a “massive victory for borrowers.”

Click here to read the rest of the article at CTNewsJunkie.com.

Like what you see here? Click here to subscribe to We-Ha’s newsletter so you’ll always be in the know about what’s happening in West Hartford! Click the blue button below to become a supporter of We-Ha.com and our efforts to continue producing quality journalism.

Print Friendly, PDF & Email

About the author

We-Ha

We-Ha.com is the place to go for the latest information about West Hartford – a town that "has it all"! We-Ha.com is part of and proud of our community, and we bring a hyperlocal focus to news and features about the people, schools, businesses, real estate, sports, restaurants, charitable events, arts, and more. Contact us at: [email protected] or [email protected]

Leave a Comment

Translate »