Stacy Cowley

1 month ago | nytimes.com | Stacy Cowley

For five years, more than 40 million Americans have not faced dire consequences if they failed to pay back their federal student loan debt. That ends today. As the coronavirus pandemic convulsed the economy, President Trump and Congress brought relief: They allowed borrowers to take a break from their payments. The government also froze the interest, meaning borrowers' balances did not grow. People saved hundreds or even thousands of dollars per month. The measure was popular at the time.

1 month ago | rethinking65.com | Stacy Cowley

After a five-year pause on penalizing borrowers for not making student loan payments, the federal government dropped the hammer. It instructed its loan servicers to start reporting late payers to credit bureaus at the start of the year. The result: Millions of borrowers saw their credit scores plunge in recent months, and loan servicers are warning that a record number of borrowers are at risk of defaulting by the end of the year.

1 month ago | nytimes.com | Stacy Cowley

Federal judges have again intervened to temporarily stave off mass layoffs at the Consumer Financial Protection Bureau, the watchdog agency that oversees banks and enforces a wide range of consumer protection laws. On Monday afternoon, a three-judge panel from the U.S. Court of Appeals for the District of Columbia issued a 2-to-1 ruling barring the latest attempt by Trump officials to fire nearly 1,500 workers, around 90 percent of the agency's staff. Russell T.

1 month ago | nytimes.com | Stacy Cowley

Emails and testimonials from workers at the Consumer Financial Protection Bureau document the administration's efforts to lay off 90 percent of the employees. Two weeks ago, a three-judge panel from the federal appeals court in Washington lifted a freeze on firing employees at the Consumer Financial Protection Bureau, with some conditions.

1 month ago | seattletimes.com | Stacy Cowley

After a five-year pause on penalizing borrowers for not making student loan payments, the federal government dropped the hammer. It instructed its loan servicers to start reporting late payers to credit bureaus at the start of the year. The result: Millions of borrowers saw their credit scores plunge in recent months, and loan servicers are warning that a record number of borrowers are at risk of defaulting by the end of the year.