Navient Sued Over Failure to Help Borrowers
Student loan servicing company Navient is being sued by the Consumer Financial Protection Bureau over claims of failing to assist borrowers during the repayment period. Bureau Director Richard Cordray alleges that Navient makes it difficult for borrowers to pay back loans by incorrectly applying or allocating payments. Cordray believes the company often fails to fix errors unless a borrower is vigilant to have the problem resolved. In response to the lawsuit, Navient claims the allegations are unfounded and questions the timing of the lawsuit, as it was filed on the eve of a new presidential administration.