Media Center

NCLC in the News

Select media clips. Journalists interested in speaking with an expert at the National Consumer Law Center should contact Jan Kruse (This email address is being protected from spambots. You need JavaScript enabled to view it. or 617.542,8010).

Press Releases

FCC Proposes to Protect Student Loan Borrowers and Other Consumers from a Tidal Wave of Robocalls and Texts from Collectors of Federal Debts

FOR IMMEDIATE RELEASE: MAY 10, 2016 ||  CONTACTS: National Consumer Law Center: Margot Saunders, This email address is being protected from spambots. You need JavaScript enabled to view it. or 202.452.6252, ext.104; Jan Kruse, This email address is being protected from spambots. You need JavaScript enabled to view it. or 617.542.8010 || Consumers Union: Michael McCauley, This email address is being protected from spambots. You need JavaScript enabled to view it., 415-431-6747 x7606

(WASHINGTON) On May 6, 2016, the Federal Communications Commission (FCC) issued a Notice of Proposed Rulemaking (NPRM)to implement a provision allowing robocalls and texts to be made to a cell phone without the consumer’s consent “to collect a debt owed to or guaranteed by the United States.” This statutory exception to the Telephone Consumer Protection Act was proposed by the Obama Administration and jammed through Congress as part of the Bipartisan Budget Act of 2015(Section 301, signed 10/2/15). The exemption would permit these robocalls and texts by debt collectors of federal debt—primarily student loan borrowers that are delinquent on federal student loans, as well as taxpayers pursued by private collectors—subject to the regulations implemented by the FCC.

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Report: HUD’s Sales of FHA-Defaulted Mortgage Loans Benefit the Big Mortgage Servicers and Hedge Funds While Homeowners Lose

FOR IMMEDIATE RELEASE: MAY 10, 2016 | Contacts: Jan Kruse (This email address is being protected from spambots. You need JavaScript enabled to view it.) or Geoff Walsh (This email address is being protected from spambots. You need JavaScript enabled to view it.), 617-542-8010

National Consumer Law Center Documents the Negative Impact on Homeowners and Recommends Improvements to Preserve Homeownership and Stable Communities

Full report, charts and tables (including the 10 largest buyers of DASP note sales), and web only materials are available at: http://bit.ly/1WTd5sW

(BOSTON) The U.S. Department of Housing and Urban Development’s (HUD’s) program for selling defaulted Federal Housing Administration (FHA) loans is the largest auctioning off of government-insured home mortgage loans in the nation’s history, yet the big winners are the large mortgage servicers who flout HUD rules while homeowners often unnecessarily lose their homes.

To date, under the Distressed Asset Stability Program (DASP), HUD has sold over 105,000 FHA-insured home loans valued at $17 billion, primarily to private equity companies and hedge funds that bought the loans at big discounts.

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Forced Arbitration: CFPB Issues Proposed Rules to Restore Consumers' Legal Rights

For Immediate Release:  May 5, 2016  Contacts: Lauren Saunders (This email address is being protected from spambots. You need JavaScript enabled to view it., 202.595.7845) or Jan Kruse (This email address is being protected from spambots. You need JavaScript enabled to view it., 617.542.8010)

NCLC Advocates Applaud CFPB Proposal to Curtail Bank, Payday Lender, Scammer Get-Out-of-Jail-Free Cards
Proposed Rule Would Give Consumers Access to Court for  Group Claims

(WASHINGTON) Advocates at the National Consumer Law Center (NCLC) applauded the Consumer Financial Protection Bureau’s (CFPB) proposal today to restore consumers’ right to join together and have access to the courts when financial service providers break the law.

“Forced arbitration is a get-out-of-jail-free card that lets banks, payday lenders, and debt relief scammers avoid accountability when they violate the law,” said Lauren Saunders, associate director of the National Consumer Law Center. “Forced arbitration and class action bans force consumers into a biased, secretive, and lawless forum, preventing either a court or an arbitrator from ordering a lawbreaker to repay all of its victims.”

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NCLC Sues Nationstar Mortgage for conducting unnecessary reverse mortgage inspections, May 4, 2016

FOR IMMEDIATE RELEASE: May 4, 2016 || Contacts: LCE: JoAnn Mangione, Communications Manager, LCE (This email address is being protected from spambots. You need JavaScript enabled to view it., 202.434.2074) or NCLC: Jan Kruse, (This email address is being protected from spambots. You need JavaScript enabled to view it., 617.542.8010)

CLASS ACTION SUIT CHARGES REVERSE MORTGAGE LENDER CONDUCTED UNNECESSARY AND UNREASONABLE PROPERTY INSPECTIONS

95-Year-Old Plaintiff Brings Complaint on Behalf of Herself and Other Seniors

(Washington, D.C.) Legal Counsel for the Elderly (LCE), an affiliate of AARP; National Consumer Law Center (NCLC®) and Tycko & Zavareei LLP (T&Z), filed a class action lawsuit Tuesday in the United States District Court for the District of Columbia, charging that Nationstar Mortgage LLP d/b/a Champion Mortgage and Compu-Link Corporation d/b/a Celink, conspired to order and charge unnecessary and unreasonable property inspections and fees.

Plaintiff Retha Floyd, a 95-year-old homeowner in the District of Columbia, who has a Home Equity Conversion (HECM), or reverse mortgage, loan with Nationstar Mortgage LLC, d/b/a Champion Mortgage Company (Champion). When Ms. Floyd fell behind on her real property taxes and insurance payments, totaling less than $2,000, Champion sued to foreclose on her home of 50 years. LCE was able to negotiate a repayment plan, and the lawsuit was dismissed.

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NCLC Advocates Applaud Department of Education Implementation of Its New Matching Program for Disabled Student Loan Borrowers, April 12, 2016

OR IMMEDIATE RELEASE: April 12, 2016 Contact: Persis Yu This email address is being protected from spambots. You need JavaScript enabled to view it., 617-542-8010

(BOSTON) Advocates at the National Consumer Law Center (NCLC) applauded the U.S. Department of Education’s implementation of a new matching program to help identify and provide outreach to borrowers who receive federal disability benefits and qualify for loan cancellation based upon a total and permanent disability.

As part of the March 2015 Presidential Student Aid Bill of Rights Memorandum, President Obama required the Secretary of Education and the Director of the Office of Management and Budget, in consultation with the Commissioner of Social Security, to develop a plan to identify federal student loan borrowers who receive Social Security Disability Insurance (SSDI) and determine which beneficiaries qualify for a total and permanent disability discharge of their student loans. Today, the Department of Education announced that it will begin contacting borrowers identified by this match to inform them of the loan cancellation process.

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Advocates Applaud FCC Vote to Modernize Lifeline to Bring Affordable Broadband Internet to Low-Income Households

FOR IMMEDIATE RELEASE: MARCH 31, 2016  ||  Contact: Jan Kruse, This email address is being protected from spambots. You need JavaScript enabled to view it. or 617-542-8010

(WASHINGTON) Today, the Federal Communications Commission (FCC) took a major step forward for millions of low-income households by modernizing the Lifeline program to include affordable broadband Internet service. “The FCC’s long-awaited vote to modernize the Lifeline program recognizes that access to the Internet today is a necessity, not a luxury, and the FCC’s action will benefit the 40 million Lifeline-eligible households who need affordable, quality 21st century communications,” said National Consumer Law Center attorney Olivia Wein.
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NCLC and ACLU File Lawsuit against U.S. Department of Education Over Failure to Disclose Debt Collection Practice Data

Concerns That Practices May Disproportionately Harm Borrowers of Color

Links to Complaint and Exhibits (see Exhibit 1 for initial FOIA request) are available at the end of this press release
FOR IMMEDIATE RELEASE: MARCH 30, 2016; Contacts

BOSTON — The National Consumer Law Center (NCLC), American Civil Liberties Union, and ACLU of Massachusetts filed a lawsuit today against the U.S. Department of Education seeking details about the agency’s debt collection policies and their potential impact on borrowers of color.

NCLC and the ACLU filed the Freedom of Information Act (FOIA) lawsuit in U.S. District Court in Boston charging the agency failed to fully disclose critical information related to the Education Department’s oversight of the private companies collecting on federal student loans. 

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