Education loan servicer shuts down, grads left in standard

Karen Morris will pay all her bills on time. Unfortuitously, that could n’t have aided when you look at the full instance of her education loan.

The former university student recently received a page through the FTC informing her that it is freezing the assets of her education loan servicing business, Mission Hills Federal of north park.

“The Federal Trade Commission had been closing them down because they state it had been a education loan scam,” she stated.

The FTC claims Mission Hills took much more than $23 million from university grads like Morris, then again allegedly kept the amount of money and neglected to repay their figuratively speaking.

But that is maybe not the worst part. Now the united states Department of Education informs her it shall just take her taxation return or garnish her wages to acquire the cash she owes. Continue reading →