MAJOR SMACKDOWN OF NAVIENT FOR TAKING ADVANTAGE OF STUDENT LOAN BORROWERS FOR YEARS!!!

all right budy welcome back to Ox talks I really appreciate you tuning in to the show today and watching the video please like and share the video uh and please subscribe to the channel if you're not subscribed we are growing the community I appreciate each and every one of you today's uh story I'm going to cover about naviant a student loan servicer is extremely important information so would you please do me a favor and make sure anybody possibly affected by this gets this information watches this video uh because this is I think it's potentially far-reaching and it's a long time in the coming as far as I'm concerned okay but again I appreciate you guys watching CNBC uh broke this story this morning early about naviant uh being banned and fined uh for their unlawful uh and predatory practices having to do with student loan borrowers but I I wanted to dig a little deeper than just the CNBC story and so I pulled up a much more detailed um let's say um information from the Consumer Financial Protection Bureau the CF uh PB cfpb consumer uh Financial Protection Bureau and this is September 12th 2024 okay dated today says cfpb bans Navi from federal student loan servicing and orders the company to pay $120 million for wide ranging student lending failures this is a pretty extensive article I'm going to go through it take my time because I think it's very very important whether it affects you directly uh it might affect uh a grandchild of yours or a son or a daughter or a niece and nephew who has you know student loans that' been serviced through navient a naviant has been servicing I read 12 I think it's in this article 12 million student loan accounts says out of Washington DC today the the cfpb filed a proposed order against the student loan service or naviant for its years of failures and law breaking if entered by the court the proposed order would permanently ban the company from servicing Federal Direct Loans and would forbid the company from directly servicing or acquiring most loans under the federal family education loan program these banss would largely remove naviant it says from a market where among other illegal actions steered numerous student loan borrowers into costly repayment options naviant also illegally deprived student borrowers of opportunities to enroll in more affordable income-driven repayment plans and force them to pay much more than they should have under the terms of the order naviant would have to pay 20 million a $20 million penalty and provide $100 million in redress for harmed borrowers you might say well that's really not that much money but you know it's it's not that it's it's the fact that they're going to hopefully be curtailed in the future from continuing with their abuses and if you stick around watch the video which I ask you to please do you'll see there's been years of repeated abuses they've had their hands SLA they've paid fines and they and they just didn't ever take uh long-term corrective action so hope this will put an end to it you know people um a lot of people are forced to go take out student loans if they want to get through school I took out student loans I believe navian even serviced loans from me many many many years ago uh for my Law School uh because my family couldn't afford to pay for the tuition so I wanted to go to law school and so I had to go borrow which turned out to be a pretty healthy sum of money it took me many many years to pay that back but I recall all the the whole deferments you know and the forbearances you know when you first come out of school you're not making any money and you're hit with all these obligation so I understand uh the pressure uh that you know students uh you know of all ages that have had to take out loans to they want to better themselves through higher education and uh look at I'm not a proponent for loan forgiveness I repaid my loans it's an obligation when you uh when you have an obligation you honor it okay um but that's not what this is about this is about really like almost like predatory you know practices let me continue for years navian top Executives profited handsomely by exploiting students and and taxpayers and cfpb director uh Rohit Chopra says quote by Banning the notorious student loan giant from federal student loan servicing and ensuring the wind down wind down of these operations the cfp will finally put an end to years of abuse he says I applauded the cfpb for obtaining concrete relief for borrowers and deterring similar failures in the future said us under Secretary of Education James I think it's caval cfpb's investigation of navate kicked off a series of efforts by state and federal agencies to examine forbearance steering and other breakdowns in the income driven repayment program those efforts have resulted in more than $50 billion in debt relief it says for more than 1 million borrowers who were wrongly steered into forbearance as well as those who had payments miscounted and a lot of these people are younger there you know they're still young they're in their 20s and 30s when they you know when they come out and they have these loans and to not be given or to be given inaccurate information uh in order to further line the pockets of the executives of this company is is uh is is is atrocious all right so I'll continue naviant is headquartered in hend excuse me Hearn Don Virginia and was formerly known as Sally May at the time of cfpb's lawsuit in 2017 naviant was the largest student loan servicer in the United States it serviced student loans of more than 12 million borrowers including more than six million accounts under its contract with the Department of Education altogether it service more than 300 billion in federal and private student loans During the period covered in the cfpb's lawsuit the company was led by CEO Jack Randi r o ndi Randi orchestrated the launch of naviant out of Sally May Since the launch of naviant the company's performance has lagged others in the industry last year navian board of directors replaced Randi and began to transition the company away from its sorted history well it sound it was a little bit too late right cfpb sued navigate for failing uh borrowers at every stage of repayment the lawsuit alleges that naviant steered borrowers who may have qualified for income driven repayment plans into forbearance instead you know what's happening during forbearance is all that interest continues to pile on this practice was cheaper and simpler for naviant but detrimental to the borrowers by steering struggling borrowers into forbearance where interest continues to acre and capitalize navi's illegal actions led numerous numerous borrowers to pay additional interest charges and then here we go about the history says navian is a repeat offender with a long history of regulatory violations after a referral from the cfpb in 2014 the Department of Justice and the Federal Deposit Insurance Corporation ordered naviant and its predecessor Sally May to pay almost a 100 million for illegally or overcharging nearly 78,000 service members in 2021 the department of ation ordered navian to return more than 22 million in overcharges in 2022 39 States 39 State Attorneys General announced a $ 1.85 billion settlement with naviant for originating predatory student loans in addition to its forbearance steering practices so it had it looks like Navi it had its hands in a whole lot of cookie jars here right and who was benefiting from that 2021 navian contract with the Department of Education to service direct student loans finally ended and then it says they announced in early 2024 that they intended to transfer the servicing of its remaining loans to another serer okay so it says that this order uh would ensure that navian can never harm federal student loan borrowers at scale by getting back into the business of directly servicing federal student loans or growing its uh Federal family educ ation Loan program um loan portfolio all right and then it details uh the you know what they did but we just covered it briefly it's a whole page explaining it further let me to give you the headings misleading borrowers about income driven repayment plans number one number two botching Payment Processing number two number three harming the credit of disabled borrowers including severely injured veterans let me read this one naviant tarnished the credit reports and borrowers who had received a discharge on their federal student loans due to a total and permanent disability next deceiving borrowers about naviant requirements for co-signer release we did a video on co-signers my first episode of stay out of court has about 30 or so thousand views you guys haven't seen that go check it out let me read you the section here about the co-signer release navat made representations to private loan borrowers that if they paid down their loans in a certain way they could apply for their co-signer to be released but navat did not honor those representations for some borrowers meaning the co-signers of those loans stayed on the hook for the obligation misleading borrowers about and lastly misleading borrowers about improving credit scores and the consequences of federal student loan Rehabilitation said for federal student loan borrowers whose loans went into default naviant debt collection armed promis credit reporting relief to borrowers if they completed a rehabilitation program naviant failed to deliver on all of the promised relief so uh guys pretty unbelievable looks like pretty broad sweeping uh Smackdown of naviant uh which will be a $100 million uh redress to Consumers will be required to provide $100 million in redress for affected consumers and pay a $20 million penalty let me just briefly cover if you guys potenti are able to get some relief let me read this to you so you don't get taken advantage of and please share this with family L ones anybody who has naviant loans or had naviant loans being serviced or or loans being serviced by naviant over the past you know many many years says borrower relief the cfpb will mail checks to Consumers who are eligible to obtain redress under the settlement consumers do not need to do anything to obtain redress and should be aware of scammers that may try to use cfpb employees names and imagery to try to steal money or private information the cfpb will never require consumers to pay money to obtain redress nor will they ask for additional information before consumers can cash a red a redress check that we've issued on the cfpb's web page consumers can obtain general information about the redress check so guys um let me shut this monitor off guys uh do not there's going to be a whole another scam pop up here where people say oh they're going to jump in and create another another fraud try to reach out to potential uh naviant um customers and say look we'll help you process this this redress check just give us some information or give us your bank account guys don't do it there'll be another layer of scammers that try to capitalize on this go to the cfpb okay cfp is in Paul B is in boy a we s it and and read up on it for yourself and don't get taken advantage of but um look at I'm not shedding any tears uh for naviant uh today from reading this and it's actually encouraging that um a government uh arm actually accomplished something so uh hats off on that one thanks for watching a little bit long today but I thought it was very very important to take my time and explain this to you please share it please subscribe to the channel appreciate all of you talk to you soon bye