CFPB wades deeper into student loans

The Consumer Financial Protection Bureau is taking a larger role in overseeing Sallie Mae and other student loan servicers.

The CFPB says that most student loans aren’t serviced by banks, and that it wants to ensure that those nonbanks follow consumer laws, The Associated Press reports. The agency already has an oversight role with banks that service loans.

{mosads}Consumers generally don’t have much say in who services their loan, as opposed to their actual lender. Student loan debt is currently around $1.2 trillion, the CFPB estimates.

Under the new rule taking effect in March, the CFPB will have oversight power over a nonbank that services more than 1 million student loan accounts.