Obama Administration, Cfpb, Jason Delisle discussed on Fresh Air

Automatic TRANSCRIPT

The companies that manage them and that's even though federal loans account for the lion's share of student debt during the Obama administration the CFPB and it's private loan ombudsman argued that they were with in the law to oversee federal loan servicers to now the trump administration is saying no you're not to then sat front man says that's just not grounded in fact and it's just a very convenient way to not do do the work that they are required to do under the law the CFPB seems to be saying this ombudsmen will no longer look out for the lion's share of borrowers I reached out to them for clarification they did not respond Jason delisle at eighty I says federal student loans and servicers will still be policed the department of education as Congress there's the IG at the department of education there's the government accountability office insect earlier this year the end department's inspector general the IG did review the department's oversight of federal student loan servicers and the I. G. was not impressed investigators worried the department was not holding these companies accountable the department for its part disagreed the while at eighty I am front man the former student loan ombudsman do agree on one thing the Lyle says the old CFPB did raise some important red flags and that this new private loan watchdog should not completely ignore federal loans I wouldn't go all the way I think it would be a mistake to completely move away from that roll into Lyle's not alone after cheering the new appointment even the consumer bankers association said in a statement it is clear the federal student loan program is not working and Mr Cameron should also focus on implementing needed improvements.

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