Indebted to the Industry: Student Loan Servicers Have Taken Seats at the Policy Table They Were Never Meant to Occupy
The companies that collect payments from America's 43 million student loan borrowers have quietly embedded their executives and lobbyists inside the Education Department's policymaking apparatus. The result is a federal default and repayment regime that consistently favors servicer revenue over borrower relief — and a regulatory environment that the industry has effectively written for itself.