The Consumer Financial Protection Bureau recently took action against the National Collegiate Student Loan Trusts and their debt collector, Transworld Systems, Inc., ordering them to pay more than $20 million for filing thousands of illegal student loan debt collection lawsuits.
The bureau filed a complaint in Delaware District Court alleging that the companies, on behalf of multiple trusts, filed thousands of collections lawsuits that violated consumer protection laws prohibiting unfair, deceptive or abusive acts or practices.
Learn more about what issues led the bureau to pursue action against the two companies and how much monetary restitution they have been ordered to pay.