Nineteen state attorney generals, including Pennsylvania's, signed a letter expressing concerns and asking for reforms toward federal student loan services.
PENNSYLVANIA, USA — Over 40 million federal student loan borrowers are set to repay this month after a 3.5-year pause on payments because of the COVID-19 pandemic.to the U.S. Department of Education and said they want to express their"serious concerns about the challenges of this process and impending harm to federal loan borrowers in our states."
They also said in the letter that the problem arose when many loan servicers opted out of the business entirely during the COVID-19 pandemic. This left a majority of borrowers with new servicers who are not prepared for the volume of new accounts, the letter said.
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