New York Attorney General Opens Inquiry Into Student Loan Collection<br />The Times’s news story is “deeply concerning” he said,<br />but it is “unfortunately consistent with the increasingly cynical and freewheeling culture we’ve seen take hold across the student loan industry.”<br />He added, “We will conduct a full investigation and will hold the perpetrators of any fraud against our students accountable.”<br />A search of state court records indicates that National Collegiate’s trusts have filed at least 600 lawsuits in New York in recent years.<br />By STACY COWLEYJULY 19, 2017<br />The New York attorney general, Eric T. Schneiderman, has opened an investigation into the collection practices of the National Collegiate<br />Student Loan Trusts, one of the nation’s largest owners of private student loan debt, according to Mr. Schneiderman’s office.<br />The attorney general’s office sent subpoenas on Wednesday asking for information on every<br />collection lawsuit filed by National Collegiate’s trusts against New York residents.<br />The 800,000 private student loans that National Collegiate owns, totaling more than $12 billion, were originated<br />a decade or more ago by other lenders, then packaged into securities and sold to investors.<br />National Collegiate’s trusts have aggressively pursued in court borrowers who fall behind on their student loan payments.
