Friday, November 03, 2017

Cleaver discusses problems with student loan debt

(From Fifth District Congressman Emanuel Cleaver)

It was a small request to ask but it could have enormous results. This week, amidst the talk of indictments and tax plans, I called for the Government Accountability Office (GAO) to investigate an area that affects nearly 44 million Americans. It is the reason why so many people are inundated with evening phone calls from collectors. Why working families and young people -just starting out - are troubled with their daily finances. Why some people think twice about going to college. I’m talking about student loans.

When hundreds of people showed up at my town hall this past summer, the one thing they stressed was their frustration with the rising costs of student loan debt, and the continued lack of transparency with the implementation, collection, and servicing of student loans.

This week, Congressman Sanford Bishop of Georgia and I called on the GAO to investigate the Department of Education’s student loan services and industry practices. We wanted to know if things were being handled differently since the GAO had previously looked into the Department of Education’s management of the student loan program. Their earlier report from 2016 found that there was need for improvement. There was a lack of set hours for providing effective customer service and weaknesses in the management of the Direct Loan Program.

This is one of the reasons why so many people who were struggling with their student loans could not get the help they were seeking. We asked that the GAO conduct an update on their report and further evaluate if the Department of Education has made any changes as to how it deals with student loan borrowers.

I understand this is not the hottest topic in the news right now but it is an important one because it touches so many lives. I will continue to make sure that those of us who are counting every dollar are able to experience some relief.

1 comment:

Anonymous said...

No one here cares. Lets talk about guns.