Loan servicers “preyed upon” student borrowers, but lawmakers hope to change that

Ashley Harrington, senior policy counsel for the Center for Responsible Lending, stated during the hearing on Tuesday that “student loan borrowers deserve and need the same protections that all consumers are entitled to in this country.”

“Working on front-end and back-end affordability is the solution to the student debt crisis,” claims Harrington. She went on to say that all borrowers would receive high-quality service and robust servicing protections as part of this back-end affordability.

Of course, there are other parties involved in the student debt dilemma than loan servicers. Stall wages and quickly increasing tuition are additional factors.

According to Minhaj, “college is objectively more expensive, and people aren’t making more money.” He examined the 60 members of the House Financial Services Committee and found that, on average, they had graduated 33 years prior and paid $11,690 in tuition adjusted for inflation per year. Minhaj calculated that those identical schools now cost close to twenty-five thousand dollars a year. According to him, that is a 110% gain during a time when salaries have only increased by 16%.

He claims, “We’ve built a paywall for the middle class, and more paywalls are something Americans don’t deserve.”

But according to Waters on Tuesday, those matters are probably the responsibility of the Education Department and the Education and Labor Committee. However, she stated that she thinks the