Bureau Publishes Consumer Advisory and Sample Letters to Help Borrowers Release Co-Signer
WASHINGTON, D.C.—(ENEWSPF)—April 22, 2014. Today the Consumer Financial Protection Bureau (CFPB) Student Loan Ombudsman released a report highlighting complaints of “auto-defaults” in private student lending. Borrowers report that some lenders demand immediate full repayment upon the death or bankruptcy of their loan co-signer, even when the loan is current and being paid on time. Borrowers also describe facing bureaucratic barriers to releasing co-signers…
