Washington Post reporting on a $330 million loan forgiveness settlement by the Consumer Financial Protection Bureau with the defunct ITT Technical Institute.
A judgment order entered Tuesday puts to rest a 2014 lawsuit accusing the defunct for-profit chain of steering students into predatory loans. PEAKS Trust, a private loan program run by ITT Tech and affiliated with Deutsche Bank entities, has agreed to forgo the collection of the outstanding education debt from ITT Tech students. It will also ask credit-reporting agencies to delete references to those loans from the credit reports of affected borrowers.
Note the date: Barack Obama was president then. The CFPB was created to protect consumers from predatory lenders. Lenders hate it. The Trump administration set about wrecking it.
And wouldn’t you know it? Arkansas Attorney General Leslie Rutledge was johnette-on-the-spot today with news that Arkansas was among the 48 states that will share in the class action settlement. Her news release makes it sound like SHE ALONE won the settlement, worth more than $1 million in loan forgiveness to 128 Arkansans.
But let us go to the Google machine for Leslie Rutledge’s long participation in the attack on the CFPB.
There was the time when she and other Republicans moved to neuter the ability of the CFPB to go after short-term loans (the payday lenders).
There was the time she defended the neutered CFPB for ending an Obama rule allowing going after loan sharks.
There was the time she praised Mick Mulvaney for his wrecking of the CFPB, as described in the New York Times link up higher.
There was the time she bragged about making it harder to go after payday lenders.
There was the time, early in her tenure, when she objected to CFPB rules to protect small borrowers.
I could go on, including when she joined hands with Republican Rep. French HIll, the millionaire bankers’ friend, to sing kumbaya over the neutered CFPB, safely in Trump hands.
But enough. I guess we should be glad she didn’t switch sides and try to defend ITT.
The consumers’ friend? The lenders’ friend? We report. You decide.