Colleges have a responsibility to protect the best financial interests of students

Colleges have a responsibility to protect the best financial interests of students

Student look to their colleges as a trusted source of information when deciding how to pay for tuition, housing, books, and other important needs. Currently, students are facing additional financial challenges due to the onset of the COVID-19 pandemic, rising interest rates, and inflation. ์นด์ง€๋…ธ์‚ฌ์ดํŠธ

Every year, millions of students turn to their colleges after receiving federal financial aid and can receive information about financial banking products, debit cards, and checking accounts.
Higher education institutions can help students navigate the complex process of paying bills and promote good financial habits while providing information about these products. They also have a responsibility to ensure that certain products offered to their students are in the best financial interest of those students. Higher education institutions and other service providers work together to provide federal student aid and offer accounting products. Under the Ministry of Education’s financial regulation, institutions are required to disclose the terms of these partnerships and ensure that students are not overpaid.

Today, the Consumer Financial Protection Bureau (CFPB)

A report was issued detailing the findings on the college’s banking arrangements related to debit and prepaid cards. The office found that many companies do not show that they are performing their duties under the Ministry’s order, do not disclose information about these contracts properly, direct students to go for expensive products, and do not do it – it It is not a proper job to ensure that. These accounts are offered in the best financial interest of students. The Department is concerned that not all agencies are fulfilling their responsibilities under the Department’s financial regulations. That’s why today we released a Dear Colleague letter reminding companies of their regulatory obligations when it comes to maintaining their contracts with financial institutions. In addition, the Department:
Improve the process companies use to report on their financial management to the Department by integrating reports with the Partner Link system and adding new data fields to track information to comply with departmental regulations.
Bring in other users for the supervision of a third party user to review these settings. Continue to review contracts with financial institutions as part of the systematic review process. Companies that fail to meet their obligations rely on programmatic research. The Department will look to the CFPB for information on emerging financial market trends and ongoing market prices that may indicate good practices for student financial institutions. ์˜จ๋ผ์ธ์นด์ง€๋…ธ์‚ฌ์ดํŠธ

Student Loan Debt Relief Doโ€™s and Donโ€™ts


Tell anyone who contacted you about the promise of debt forgiveness or loan forgiveness. You don’t need to pay anyone to get a debt settlement. The app will be free and easy to use when it opens in October.

Show your FSA ID or account information or password to anyone who contacts you. The Department of Education and the federal student loan servicer will not call or email you asking for this information.

You have already provided personal or financial information to an unknown caller. If in doubt, hang up and call your student loan officer right away. You can find contact information for a federal student loan servicer at

Refinance federal student loans unless you know the risks. If you refinance your federal student loans and qualify for debt relief and personal loans, you’ll miss out on important benefits like one-time repayments and flexible repayment plans for federal loans.


Create an FSA ID at You won’t need it to apply for debt assistance, but having an FSA ID can give you access to accurate information about your loan and ensure FSA can contact you directly. , helps protect you from scammers trying to contact you. Log in to your current account at and keep your contact information up to date.

Make sure your financial manager has your most up-to-date contact information. If you don’t know who your repairman is. ๋ฐ”์นด๋ผ์‚ฌ์ดํŠธ

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