Well, it’s about time!?
Who is punishing Navient, f/k/a Sallie Mae?
According to Shahien Nasiripour within the Huffington Post, Wall Street is!
Those guys get the many fun.
Navient shares fell 6 % to $10.27 as an influential progressive group urged states to break into down on the student loan servicing industry. Navient’s latest book value, an estimate of how much shareholders could fetch if the company were liquidated, was $10.73 per share, suggesting that investors now believe the provider is worth less than the value of its assets.
Why is this fact happening?? Are they reading my blogs?
Lots of reasons, most of which We have blogged about.
The Consumer Protection Finance Bureau (CPFB) noticed Navient was screwing up servicing of loans, including to servicemen and some women.? To their detriment, of course.
Navient, which processes more student loan payments than any firm in the united states, has been under investigation for a minimum of two years by several federal and state authorities for allegedly overcharging borrowers and otherwise mistreating them violating the law. The Department of Justice accused the company in 2014 of intentionally cheating active-duty troops for their student loans for?nearly ten years.
Hey, Wall Street likes providers that make money.? And it is starting to sink in the the 1.3 trillion dollars of student loan debt is NOT all going to be repaid.
State governments will be asked to regulate student loan debt servicers.
“The coed debt crisis requires immediate relief,”?Anne Johnson and Maggie Thompson wrote during the Generation Progress report. “Cleansing the student loan servicing industry,” the course notes said, “will ultimately provide substantial relief to borrowers.”
Connecticut recently enacted most of the reforms Generation Progress is pushing.
“Our national conversation on education loans should reflect deeply and vigilantly upon the residential mortgage servicing practices that exacerbated the depth on the mortgage crisis or, at the minimum, delayed our economic recovery,” Bruce Adams, general counsel at Connecticut’s banking regulator, said in a July letter to the federal consumer bureau.
Hey, referencing mortgage servicing, I\’m sure someone did that recently.