Richard Cordray

Feds accuse student loan giant Navient of 'systematically' cheating borrowers

Feds accuse student loan giant Navient of 'systematically' cheating borrowers

Navient Corp. was sued by a U.S. regulator over allegations that the student loan giant "systematically" cheated borrowers.

The company, formerly part of Sallie Mae, failed to properly service private and federal loans, provided incorrect information to borrowers, improperly processed payments and didn't respond to complaints, the Consumer Financial Protection Bureau said in a statement Wednesday announcing the lawsuit.

"For years, Navient failed consumers who counted on the company to help give them a fair chance to pay back their student loans," CFPB Director Richard Cordray said in the statement.

Navient said in a statement that the allegations are...

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