For years, parents have assisted their children in shouldering the increasingly high cost of college: co-signing private student loans, taking part in federal loan programs, and saving for years to contribute. Private student loan lenders have been offering parent loans as an alternative for several years. And now the country’s largest lender plans to enter the fray with its own version. [More]
Show me someone who supports robocalls, and I’ll show you someone that has very few friends. Which is why it’s baffling that the Senate has yet to act on a bill introduced last fall that would close a loophole allowing the government to make debt-collection robocalls. But you know who does support robocalls? The student loan companies that are currently trying to convince Congress that these invasive annoyances are really for our benefit. [More]
In the short time since Navient – the nation’s largest student loan servicing company – spun off from Sallie Mae, the company has come under scrutiny for it allegedly unfair practices of overcharging and imposing excessive fees on consumers’ loans. While those practices resulted in a $97 million settlement with the Depts. of Education and Justice, and the Federal Deposit Insurance Corp, they could soon lead to a lawsuit from the Consumer Financial Protection Bureau. [More]
Taking advantage of members of the military isn’t looked upon lightly by federal regulators. This idea was driven home today by the Depts. of Education and Justice, and the Federal Deposit Insurance Corp., who jointly announced a sizable settlement against student loan servicers Sallie Mae and Navient for overcharging and imposing excessive fees to military members.
After going through all of your nominations, then having y’all rank the contenders and eliminate the chaff from the wheat, we’re proud to present the first round match-ups for this year’s Worst Company in America tournament! [More]
After sorting through a mountain of nomination e-mails, we’ve whittled down the field of competitors for this year’s Worst Company In America tournament to 40 bad businesses. Here’s your chance to have your say on how these players will square off in the bracket, and which bubble teams will get left out in the cold. [More]
On the surface, this e-mail that reader S. received from Sallie Mae doesn’t seem like a bad idea. It’s offering a new credit card, which maybe you were going to get anyway. You can use the card’s cash-back rewards to save for a loved one’s college education, or to pay off your own student loans. Yet it doesn’t sit right with S. [More]
Sallie Mae is the country’s largest originator and servicer of student loans and a regular contender in our Worst Company in America tournament. They’re about to become two much-hated companies, spinning off their loan servicing, loan management, and collections as a new company called Navient. [More]
Last week, 32 terrible titans of industry stepped on to the blood-stained mat of WCIA Death-and-Dismemberment Arena, but only 16 remain in this bestial battle royale to take home the treasured Golden Poo. [More]
Student Loan debt in the U.S. recently crossed the $1 trillion mark, with a good chunk of that owed to the U.S. government. In an attempt to streamline the whole process, a soon-to-be-introduced bill would replace the current system of debt collection with automatic payroll deductions tied to the borrower’s income. [More]
The recently released annual report by the Consumer Financial Protection Bureau’s Student Loan Ombudsman looks at the variety and nature of complaints filed with the CFPB’s student loan complaint portal since it launched earlier this year. Not surprisingly to many people with these loans, Sallie Mae’s name comes up in almost half the complaints. [More]
Reader Vanessa is paying her student loans on time. Really, she is. The problem is that she can’t manage the full amount herself right now, so the payment comes in two parts: one from her, and one from her mom. This is too difficult for our friend Sallie to understand, and they keep sending delinquency notices to Vanessa even though the monthly bill gets paid in full. No matter how many times she contcats the company about the problem, no one can figure out how to make it stop.
If you retain one piece of information from reading this site, let it be this one: never co-sign anyone’s student loans. Not your spouse’s student loans. Not your best friend’s student loans. Not your nephew’s student loans. Not even your own child’s student loans. It is the worst possible kind of debt to assume on behalf of someone else. The balances can be huge, the debt can’t be discharged in bankruptcy, and there’s nothing to repossess. That’s what anonymous parents M and D have learned, the very hard way.
Sure, online-only banking is easy and convenient, but there are strange things that happen while the world gets used to this different way of banking. For example: JB received a call from Sallie Mae Bank that they couldn’t send him the balance of his matured certificate of deposit because they don’t have the capability to send checks to customers. Let me again emphasize that they are a bank.