Protect Borrowers
@protectborrowers
Protect Borrowers (fka—SBPC). We protect people from predatory lenders & fight for an economy where debt doesn’t limit opportunity. 🗞️press@protectborrowers.org
Student loan defaults are at an all-time high & still climbing. “Folks are struggling to make ends meet & cover all the rising costs... growing student loan bills are making things worse and folks are falling behind.” - Aissa Canchola Bañez, @protectborrowers.bsky.social Via @apnews.com:
Americans are going into debt just to eat... and Congress is making it worse, instead of better. New Substack from @markhuelsman.bsky.social on In Debt: https://indebt.substack.com/p/let-them-eat-credit
Trump’s OBBBA just made unprecedented cuts to the federal student loan system. @protectborrowers.bsky.social, @aft.org, NAACP, and a broad coalition just launched “One Big Bill”—a borrower story gathering campaign to document the financial harm of OBBBA on families with student debt.
“It’s a vicious cycle.” @aft.org member Ashley Reed had to use Buy Now, Pay Later loans for necessities after maxing out her credit cards to cover medical expenses for her mom. Ashley is not alone—our new @dataforprogress.org poll shows 46% of BNPL users have used BNPL for groceries.
Our Executive Director Mike Pierce on @cnbc.com's Squawk Box this morning on why BNPL lenders are racing to put a loan in every cart… and what Congress and states need to do about it.
NEW: We just released findings from the most comprehensive investigation to date on the growing Buy Now, Pay Later market. What we found is alarming. Nearly half of BNPL users have missed a payment. BNPL late fees can rival payday loans with 200% APR. And more.
Trump's Public Service Loan Forgiveness rule has been vacated. This was a simple but powerful case with serious implications for working people across the country. Full quote:
The affordability and debt crisis is real. "Over 100 million Americans have credit card debt now, many of them putting groceries and gas on their credit cards just to make it to the end of the month. Delinquencies are at the highest level since the crash of 2008."- @elizabeth-warren.bsky.social ‼️
Gig workers can't get bank loans because they have no W-2, no credit history. So a new industry of predatory cash advance lenders has moved in to fill the gap. One of them, KoinsYa, charges 2,381% APR.
President Trump promised to cap credit card interest rates at 10%. We are more than 5 months past Trump's January 20 deadline. Not a single bank has done so. Absolute 🔥🔥 from @elizabeth-warren.bsky.social
Meanwhile in Albuquerque...We had 2 great events this week w/ elected officials, legislative offices, advocates, educators, & more about the debt & affordability crisis. We need stronger protections for borrowers at the city & state level, including a NM Borrower Bill of Rights!
President Trump claims "affordability is a fake word made up by Democrats." People in America disagree. So do our wallets. H/T @elizabeth-warren.bsky.social
“…one of the biggest existential crises of this nation is personal debt. Student debt. Medical debt. Auto debt. Mortgage, home debt.” @frost.house.gov is right. 👏 The affordability crisis & debt crisis go hand-in-hand. Families are pushed into the red just to afford essentials.
Nothing shows the sad state of the CFPB better than its recent declaration that “everything is OK at BILT” without confidential supervision or public enforcement. TLDR: “This is terrible if you care about protecting consumers or preventing corruption,”- Mike Pierce, @protectborrowers.bsky.social
The companies standing between millions of student loan borrowers & default are the same ones that spent decades driving them into it. The Trump Admin pays them $1B/year anyway. With Debt Collection Lab at Princeton we mapped what 7.5M borrowers will walk into on 7/1 when they're forced off SAVE.
Congress is Congress’ing again and it’s NOT looking great for students and borrowers. Last week, House Appropriators proposed more cuts to @usedgov. That + OBBBA will make paying for college even more expensive and risky. New blog from Mark Huelsman & Aissa Canchola Bañez👇
ICYMI: We launched #AffordableNYCNow with @tcfdotorg.bsky.social, an economic agenda detailing how @mayor.nyc.gov can act NOW to make city life more affordable. We discussed w/ @juliesulabor.bsky.social @manhattanda.bsky.social & @harveyepstein.bsky.social & the TLDR is: there's a lot to do.
Alex Watts is an @aft.org nurse whose household earns $140K/yr. He works overtime & still has to use credit to get by. His story is on @nytimes.com front page today via @stacycowley.bsky.social. Our ED @millennialdebt.bsky.social is quoted on this debt crisis: "What happens when the music stops?"
Every day that IDR applications go unprocessed deprives student loan borrowers of critical time toward relief and financial stability. 👀 Aissa Canchola-Bañez on @c-span.bsky.social !
STUDENT LOAN BORROWERS: WE HAVE A NEW TOOL FOR YOU!!!!!!!!! If you’re having issues with your federal student loans or servicer, your members of Congress can help. Request casework help from your elected officials ⤷http://protectborrowers.org/caseworktool
Justice for working families saddled with debt for decades. Justice for borrowers cheated out of their dreams.
The gender pay gap + student debt = a double burden for women. Student debt justice is gender justice.
No family should face food or housing insecurity because of unaffordable student loan payments.
The Trump Admin pulled down all Income-Driven Repayment and Direct loan consolidation applications. This wasn’t what the 8th circuit court demanded—@POTUS CHOSE the most harmful option to borrowers that raises monthly costs on working families. More here protectborrowers.org...
Higher education was once a reliable path to enter the middle class. Now with high tuition and student loan payments, it has become a barrier instead.
Predatory student loan servicing companies harm borrowers and families trying to keep their families afloat.
Older borrowers struggling with student debt for decades should not be forgotten and left behind.
Student debt cancellation is critical for millions of hardworking, struggling families.