CFPB to 'Deprioritize' Cases Against Predatory Student Loan, Medical Debt and Digital Payment App Practices

The Consumer Financial Protection Bureau has been instructed to pull back on protecting consumers from predatory practices from student loan lenders, medical debt collectors and digital payment apps. Bloomberg/Getty Images The Consumer Financial Protection Bureau will no longer prioritize protecting consumers with medical debt, student loans or digital payment and peer-to-peer lending platforms, according to an internal memo reported by The Wall Street Journal. Instead, the bureau has been instructed to shift its focus back to banks and cases of fraud. "The Bureau will focus on actual fraud against consumers, where there are identifiable victims with material and measurable consumer damages as opposed to matters based on the Bureau's perception that consumers made 'wrong' choices," the memo reportedly says. The CFPB did not immediately respond to a request for comment. Under the Biden administration, the consumer watchdog had unleashed a number of rulings against student loan prov ... Read full article.