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NEWSLETTER, HIGHER ED FACULTY

Biden’s Pick to Lead Consumer Protection Agency Is an Aggressive Advocate for Student Borrowers

January 21, 2021 / PSU-AAUP

The Chronicle of Higher Education

by Vimal Patel

January 20, 2021


President Biden has named a strong advocate for student-loan borrowers to lead the Consumer Financial Protection Bureau, a peace offering to the energized left flank of his party, and also a sign that the incoming administration wants aggressive oversight of student-loan servicers.

Rohit Chopra, a member of the Federal Trade Commission, previously served as the bureau’s student- loan ombudman, where he was an ally of Sen. Elizabeth Warren, Democrat of Massachusetts, a key figure in the creation of the consumer-rights agency. Debtor advocates lauded the move, calling Chopra a “trailblazer” who cracked down on predatory for-profit colleges and rooted out abusive practices in servicing student loans.

“Rohit’s nomination means that the strongest advocate for student-loan borrowers in our current history will be leading the bureau,” said Natalia Abrams, executive director of Student Debt Crisis, an advocacy group.

The choice comes at a time when such advocates are hopeful on two fronts: the prospect of mass debt cancellation (Biden has indicated he’s open to forgiving $10,000 in student-loan debt, and progressives will push him hard for more) and increased scrutiny of predatory lending practices after four years of diminished enforcement.

Read the full article at The Chronicle of Higher Ed

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