The Consumer Financial Protection Bureau (CFPB) announced today that it has released an extension to its General Supervision and Examination Manual that will serve as a field guide for CFPB examiners to ensure large banks and nonbanks that make private student loans have the “appropriate processes in place to prevent harm to borrowers,” according to a press release from the bureau. The Student Lending Examination Procedures will verify that these institutions are doing the following with regard to student loans:
- Using accurate, non-discriminatory advertising or marketing
- Making appropriate disclosures regarding loan costs and terms
- Providing borrowers with accurate account information such as monthly payment requirements, charges, fees and interest rate changes
- Using adequate procedures to handle borrower inquiries and complaints.
The bureau also announced the availability of the following new consumer tools:
- Guides for students and families shopping for student loans and managing money while in college
- A comparison tool to help students and their families compare financial aid offers from multiple schools
- A new web tool to help student loan borrowers navigate their repayment options.