A vast majority of complaints received by the CFPB relating to private student loans involve issues with repayment and servicing of loans.

CFPB: Private Student Loan Companies Provide Few Options For Borrower, Driving Them To Default

By now we all know that for many consumers taking out private student loans is the only option when it comes to financing their higher education. We also know that many of those same borrowers will ultimately end up defaulting on their debt. A new report from the Consumer Financial Protection Bureau suggests that it’s not borrowers’ lack of willingness to repay that lands them further in debt, but a lack of resources provided by lenders that drives consumers to default. [More]

The number of students defaulting on some federal loans within three years of beginning repayment has decreased.

650,000 Student Loan Borrowers Who Began Repayment In 2011 Have Defaulted On Federal Loans

Maybe more consumer are realizing the long-lasting negative effects that can come from not repaying their student loans. Or maybe not. we don’t really know why, but we do know that the number of borrowers defaulting on some federal student loans is decreasing. [More]

(Quartz)

The Debt Ceiling Crisis Is So Much More Fun With Choose Your Own Adventure Scenarios

We’ve all heard about magic trillion-dollar coins and other fantastical scenarios to save the U.S. government from finally smacking its head against the debt ceiling, but trying to really understand the whole thing and what we’re in for if something can’t be figured out is kind of intimidating. Which is why we’re really glad someone came up with a “choose your own adventure” type to see exactly what we could be getting into. [More]

Credit Unions Ask Customers To Leave

Credit Unions Ask Customers To Leave

Credit unions might be attractive alternatives to big commercial banks, but they’re not crisis-proof. OregonLive says about a fifth of the nation’s credit unions are having financial troubles right now. To get in better financial health, they’re introducing fees for services that have long been free, and even asking members to move their deposits to other institutions. [More]

Citi Promises No Foreclosures Or Evictions For One Month

Citi Promises No Foreclosures Or Evictions For One Month

About 4,000 borrowers who were either scheduled to have foreclosure sales or who were going to receive foreclosure notices will be left alone until January 17th, according to CNN. [More]

HSBC Says Subprime Meltdown Spreading Into Credit Cards, Other Loans

HSBC Says Subprime Meltdown Spreading Into Credit Cards, Other Loans

HSBC warned today that the subprime meltdown is spreading into credit cards and other types of consumer loans, says the NYT. The bank announced that it will be taking a larger write down than it forecast, due to the spreading delinquencies.