kax 3 Posted March 19, 2013 Report Share Posted March 19, 2013 The commission for collecting on overdue student loans has dropped from 16% of the entire loan amount to 11%, a move that is expected to reduce the incentive for collection agencies to push large payments instead of more affordable plans such as the Income Based and Income Contingent plans. From Bloomberg: http://www.bloomberg.com/news/2013-03-19/obama-cuts-student-debt-collector-commissions-to-aid-borrowers.html Link to post Share on other sites
admin 902 Posted March 19, 2013 Report Share Posted March 19, 2013 So what exactly does this mean? Link to post Share on other sites
nascar 961 Posted March 19, 2013 Report Share Posted March 19, 2013 Not sure because statutory maximum is 25%. Link to post Share on other sites
kax 3 Posted March 25, 2013 Author Report Share Posted March 25, 2013 So what exactly does this mean? It's supposed to mean that collectors will not be incentivized to push for big payments, and instead inform debtors of other, more affordable options to repay their loans. However, only time will tell if that happens. Link to post Share on other sites
