- CBA on
- CBA Media
CBA is the public policy voice for private-market capital to fund loans supporting America’s students. Private student loans serve important purposes, primarily to provide gap funding for undergraduates who need to pay for college. In addition, for some families and graduate students, private loans can be a sensible alternative to federal loans, especially PLUS loans. Almost 97% of private student loans are being successfully repaid. That is largely due to the high level of underwriting required to receive a private loan, as well as the use of cosigners. Nearly 70% of private student loans are made by six lenders, five of which are CBA Members. Collectively, private loans account for just 8% of loans being made today. The other 92% are Direct Loans made by the U.S. Department of Education.
- May 7, 2013May 3, 2013CFPB's Remittances Rule Commendable CBA applauds the CFPB on the final rule on remittances issued this week. We are encouraged by the Bureau's willingness to work with banks to ensure customers' needs are met when sending money abroad. A full analysis of the rule may be found in our GR Update below. Regulatory Radar - What's Next? Next Wednesday, May 8, 2013, the CFPB will hold a hearing on...April 4, 2013Dear Ms. Jackson: The Consumer Bankers Association (CBA)i appreciates the opportunity to submit comments in response to the Consumer Financial Protection Bureau’s (CFPB’s or Bureau’s) request for information (RFI) from the public to determine options that would increase the availability of affordable payment plans for borrowers with existing private student loans. We understand the Bureau will...April 4, 2013March 29, 2013CFPB's "Not Verified" Data The CFPB today released their expanded consumer complaint database showing more than 90,000 complaints - with half coming from affluent and elderly zip codes. While I applaud the intent of the CFPB to inform consumers on specific types of complaints, their methodology is flawed and actually performs a disservice to consumers. The CFPB in their own press release states...March 27, 2013Dear Sirs: The Consumer Bankers Association (CBA) appreciates your past willingness to discuss how to assist private student loan borrowers experiencing difficulty repaying their loans. We believe it is important to work to address the challenges we are seeing in today’s economic environment. Private student loans only account for approximately 7 percent of today’s student loan originations,...March 18, 2013Dear Ms. Jackson: The Consumer Bankers Association (CBA)1 and the American Bankers Association (ABA)2 (collectively “the Associations”) submit this letter in response to the Consumer Financial Protection Bureau’s (Bureau) Request for Information Regarding Financial Products Marketed to Students Enrolled in Institutions of Higher Education (RFI). The Associations appreciate the opportunity to...