The Consumer Financial Protection Bureau is cracking down on a company that finances an alternative type of student-loans over findings of misleading borrowers and evading federal consumer law.
"The ISA industry has tried to evade oversight by claiming that its products are not loans," CFPB Acting Director Dave Uejio said in a statement."But regardless of the name on the label, these products are credit and have to comply with federal consumer protections. The ISA industry cannot pretend that core consumer protection laws do not apply to their products."
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