What the midterm results mean for your finances 

Personal Finance

With a majority-blue House, proposals to repeal the popular public service loan forgiveness program will likely go nowhere, Kantrowitz said.

That program allows certain public servants to have their student debt cancelled after 10 years. “Democrats are strong proponents [of the program],” Kantrowitz said.

On that note, Democrats are likely to demand explanations from the U.S. Department of Education as to why so few borrowers have qualified for the relief, he said.

“They will also be critical of student loan servicing,” Kantrowitz said. One of the largest student loan servicers, Navient, is being sued by five states and the Consumer Financial Protection Bureau for misleading borrowers. (Navient disputes all allegations.)

However, any attempts by the Democrats to regulate lenders will likely collapse in the Republican-dominated Senate.

“The student loan companies continue to need aggressive oversight,” said Jack Gillis, executive director of the Consumer Federation of America. “But with a stronger pro-business, pro-Trump Senate, the concept of bipartisanship seems a distant hope.”

More from Personal Finance
How much the Mega Millions winner will get to save and spend
Are your finances better, worse or the same under President Trump?
Happy 100th birthday! Now, here’s why you may pay surprise taxes

Source link

Products You May Like

Articles You May Like

Amazon, Shopify leave no room for this retailer
6 slowdown stocks that ‘have been anointed by Wall Street’
Disney, Charter talks could affect price of cable in the streaming era
This perk can help you build wealth — or load you with taxes and risk
Morgan Stanley loves these stocks into earnings, while others on Wall Street do not

Leave a Reply

Your email address will not be published. Required fields are marked *