Federal Watchdog Halts Debt-Relief Firm, Student Loan Borrowers – Unlawful Fees Canceled!

Over 8,000 Borrowers to Receive $10.9M: Performance SLC Accused of Charging Illegal Fees

Performance SLC’s $9.2M in Fees Under Scrutiny: CFPB Takes Action, Company Ceases Debt-Relief Services

According to Business Insider, the CFPB recently said over 8,000 student loan borrowers will get $10.9 million. This is because Performance SLC a company charged illegal fees. The CFPB said Performance charged $9.2 million in fees and misled borrowers into paying. Performance did not admit guilt but agreed to stop offering debt relief services.

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CFPB Cracks Down on Companies Charging for Free Services, Secures $30 Million Payout for Consumers

The CFPB wants to stop companies charging for free services. In 2022 it accused 5 companies of this paying $19 million to customers. In March another company was accused of collecting fees that illegally leading to an $11 million payout. The Education Department warns borrowers about scams and says loan services should be free.

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