Student-Loan Servicer Is Ordered to Pay Back $16 Million to Borrowers

By Andy Thomason. The Consumer Financial Protection Bureau has ordered a private student-loan servicer to refund nearly $16 million to borrowers after the federal agency found evidence of illegal practices. According to a consent order filed by the bureau, Discover Bank overstated in billing statements the minimum amount borrowers had to pay, engaged in illegal collecting practices, and did not provide necessary tax information to borrowers. More...