Tell the Senate to protect private loan borrowers!
Preliminary results of our IBR survey showed that about a third of respondents have private student loans. While IBR and PSLF provide relief to some people with federal student loans, private loan borrowers have very few options. That's one of the reasons the Project on Student Debt is so concerned about these loans.
The Senate is about to take up important legislation that is intended to protect consumers from unfair and deceptive financial products and services. Please tell your senators that we need a consumer financial protection agency with independence and authority over all private student loans. This issue is moving quickly and your support can make a real difference.
When the House of Representatives passed its version of this legislation last year, it included two important amendments that we supported -- one to give a new consumer protection agency oversight over all private student loans, including those made by schools to their own students, and another that required that prospective borrowers be told of any untapped federal grants and loans before taking out a private loan. Many thanks to all of you who wrote to your members of Congress about this issue!
Now, the financial industry is lobbying hard against this legislation in the Senate, and consumers need to keep speaking out. The proposals being discussed right now in the Senate do not include the two amendments on private student loans that were in the House-passed version of this legislation.