The lawsuit was filed in June 2020 by nine borrowers whose loans were serviced by Navient. They allege the company disproportionately applied payments to interest rather than principal, incorrectly capitalized interest and steered payments to lower interest rate loans.
Besides, can Navient garnish your wages?
Navient can garnish your wages for private student loans you defaulted on, but only after they file a lawsuit and get a judgment. For federal student loans, Navient typically won’t be the entity sending a wage garnishment order to your work.
Beside above, is Navient going out of business?
Navient is leaving the business while under fire from the Consumer Financial Protection Bureau, which sued it in 2017, claiming that the company had made it difficult for borrowers to repay their loans. … But Navient was already set to end its federal loan services at the end of the year.
Is there a class action lawsuit against AIU?
Lawsuit settlement has enforced American Intercontinental University to stop collecting loans it has offered to its students. … According to a class-action lawsuit against American Intercontinental University, AIU has to provide several metrics to its potential students who are going to enroll in its classes.
If you never pay your student loans, your credit score will drop, you’ll have a harder time taking out future credit and you may even be sued by your lenders.
Plus, you may be eligible to receive Navient student loan forgiveness once you reach the end of your repayment schedule. Depending on the plan that you choose, you’ll be eligible for forgiveness in 20 to 25 years.