Education loan servicer shuts down, grads left in default

Education loan servicer shuts down, grads left in default

Karen Morris will pay all her bills on time. Regrettably, that will not need aided within the instance of her education loan.

The previous university student recently received a page through the FTC informing her that it is freezing the assets of her education loan servicing business, Mission Hills Federal of hillcrest.

“The Federal Trade Commission ended up being closing them down because they do say it had been an educatonal loan scam,” she stated.

The FTC claims Mission Hills took much more than $23 million from college grads like Morris, then again presumably kept the cash and neglected to repay their figuratively speaking.

But that is perhaps perhaps not the worst component. Now the united states Department of Education informs her it will simply take her taxation return or garnish her wages to obtain the cash she owes.