Some student loan borrowers are eligible for $2K payments — here’s

Some student loan borrowers are eligible for $2K payments — here’s

Some student loan borrowers are eligible to get payments of as much as $2,000 from a $120 million settlement the Consumer Financial Protection Bureau reached with a major loan supplier.

In 2024, the CFPB finalized a settlement with Navient after accusing the Virginia-based loan servicer of pushing student loan borrowers to enroll in expensive fee plans – steering them away from more inexpensive choices.

Navient – which beforehand declined the claims – agreed to pay $120 million, including a $20 million penalty and $100 million in reduction for harmed borrowers.

In 2024, the CFPB finalized a settlement with Navient. REUTERS

Navient didn’t instantly reply to The Post’s request for remark.

Here’s all the pieces you must know about the payments.

Who is eligible?

In 2017, when the lawsuit was initially filed, Navient managed more than 6 million student loan accounts under its contract with the Department of Education, according to the CFPB.

Student loan borrowers who had been harmed by Navient’s illegal steerage are eligible for payments, the authorities company said in a press release.

Consumers don’t must submit something to obtain their payments.

The bureau warned that scammers may attempt to impersonate authorities staff to attempt to steal cash or personal data from borrowers, however that the CFPB will never require shoppers to pay cash or ship extra data to obtain settlement payments.

Some student loan borrowers are eligible to get payments as much as $2,000 from a $120 million settlement. Prostock-studio – inventory.adobe.com

When will you obtain payments?

Settlement payments to victims began Feb. 13 and are ongoing, according to the CFPB.

Consumers have reported receiving checks starting from $100 to as a lot as $2,000 in posts on social media websites such as Reddit.

What to do when you have not obtained a fee

Consumers who haven’t yet obtained a fee however consider they could be eligible ought to contact Rust Consulting, which the CFPB has contracted to manage payments associated to the case.

The consulting service will be reached through e-mail at navient_info@rustcfpbconsumerprotection.org, or shoppers can name the toll-free quantity 1-800-711-8418.

CFPB has been largely shut down since last February, with a case on the destiny of its staff playing out in courtroom.

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