In ‘Major Win for Progressives,’ Former CFPB Chief Richard Cordray Tapped to Oversee Federal figuratively speaking

” This shows that the management prepared to just just take bold action and be a real partner to deal with the pupil financial obligation crisis,” stated Randi Weingarten regarding the United states Federation of Teachers.

Richard Cordray, the previous manager for the customer Finance Protection Bureau, happens to be tapped because of the Biden management to oversee federal student education loans. (Picture: Kirk Irwin/Getty Graphics)

Advocacy groups and progressives in Congress on Tuesday applauded the Biden management’s visit of Richard Cordray to oversee student that is federal and school funding, expressing hope that the previous mind regarding the Consumer Financial Protection Bureau will enable the White House to provide much-needed relief towards the nation’s 45 million pupil borrowers.

Education Secretary Miguel Cardona announced Monday that Cordray will serve as chief running officer of Federal scholar Aid, overseeing education loan servicing businesses plus the legislation of universities that get federal pupil help.

Sen. Elizabeth Warren (D-Mass.), an ally of Cordray whom formed the buyer Financial Protection Bureau (CFPB), had been those types of whom applauded the visit.

“I’m extremely happy he will be student that is protecting and bringing much-needed accountability to your federal education loan system,” Warren said of Cordray.

.@RichCordray ended up being a@CFPB that is fearless whom forced big banking institutions to come back $12 billion to individuals they cheated. I’m extremely glad he’ll be protecting student borrowers and bringing much-needed accountability into the student loan program that is federal.

At CFPB, Cordray demonstrated a consignment to public solution by trying to rein when you look at the payday financing industry, cutting loan providers’ income by two-thirds, in line with the agency. Read more