From Forbes (5/11/21):
A bill proposed by House Democrats would dramatically reform laws regulating debt collectors, and would provide new relief to private student loan borrowers.
The legislation, called the Comprehensive Debt Collection Improvement Act, would provide recourse for consumers and debtors hounded by debt collection agencies.
Rep. Madeleine Dean (D-PA), a cosponsor of the bill, had been previously advocating for private student loan disability discharges for both borrowers and cosigners, and was able to include her separately-filed bill addressing this issue in the new comprehensive legislation.
“A constituent brought this issue to our attention… her daughter had become totally disabled and she was left with the remaining balance of her private student loans as the cosigner, ” she said in a statement last month. “The lending company said they would forgive the loan for the borrower, but not for the cosigner.” Dean said reform was necessary to “ensure student loan borrowers are protected in the case of these terrible circumstances.”
