The Department of Education has published a notice in the Federal Register inviting comments on its plans to create a new Web site by July 1, 2016 for students and borrowers to file complaints about federal student loans. The creation of the new complaint system was mandated by a Presidential Memorandum titled the “Student Aid Bill of Rights,” issued in March 2015. Comments in response to the ED’s notice must be filed on or before February 8, 2016.
The ED’s notice states that the new Web site “will give students and borrowers a simple and straightforward way to file complaints and provide feedback about federal student loan lenders, servicers, collection agencies, and institutions of higher education. Students and borrowers will be able to ensure that their complaints will be directed to the right party for timely resolution, and the [ED] will be able to more quickly respond to issues and strengthen its efforts to protect the integrity of the student financial aid programs.” (In addition to mandating the sharing of complaint system data with “other enforcement agencies that are responsible for oversight of Federal student loan lenders, loan servicers, private collection agencies, and institutions of higher education,” the Presidential Memorandum requires the ED to begin publishing an annual complaint report by October 1, 2017.)
While the CFPB also takes online student loan complaints, the CFPB’s complaint system is intended for complaints about private student loans.