New Rules Protect Students from Predatory Behavior
By Sophia Har
President Obama signed by executive order a "Student Aid Bill of Rights." These reforms are meant to protect the average college student who graduates with $29,400 in student debt. The initiative includes new rules requiring third-party lenders to inform students of alternative repayment options and a new website where students can file complaints against lenders.
"These actions to protect students are a welcome step," said Eric LeCompte, executive director of the religious debt relief organization Jubilee USA Network. "Student debt in the United States surpasses $1 trillion."
Jubilee USA Network, founded by mainline Christian Churches and Jewish Synagogues, won over $130 billion in debt relief for poor economies since the late 1990s. The organization over the last 3 years has led successful campaigns with over 100 churches and synagogues to keep federal loan interest rates manageable.
"These new rules push back the predatory groups who seek to take advantage of our students," noted LeCompte. "The future of generations depends on responsible lending and borrowing."
Sophia Har is the Communications Director at Jubilee USA Network. Jubilee USA Network is an alliance of more than 75 US organizations and 400 faith communities working with 50 Jubilee global partners. Jubilee's mission is to build an economy that serves, protects and promotes the participation of the most vulnerable. www.jubileeusa.org