At his annual New York State Budget unveiling earlier this week, Governor Andrew Cuomo announced that he is establishing a new Student Protection Unit within the State’s Department of Financial Services. Senator Joe Robach was on-hand for the budget address, and applauds the Governor’s action of supporting education by protecting students.
“A college education is so important in today’s society and business world. With a college degree, you can obtain a good paying job and set yourself up for a bright career and future,” said Robach. “If we’re going to continue to encourage young people to attend college, we need to do all we can to help protect them from any undue burden that could come about from high fees on student loans.”
As a strong supporter of higher education and continuing education, Joe Robach is pleased that Governor Cuomo has created task force to investigate student debt relief companies, many of which are charging borrowers a fee for services that they could receive for free from the U.S. Department of Education. Some companies may also offer debt relief services for private student loans, charging inappropriate fees and misrepresenting their ability to obtain the results they say they can achieve.
To date, the Student Protection Unit issued subpoenas for thirteen student debt relief companies for documents ranging from advertisements, contracts and fee schedules. The Student Protection Unit has issued a consumer alert on the Department of Financial Service’s website at www.dfs.ny.gov. You may also file a complaint about a student debt relief company or other potential abuses by contacting the Department of Financial Services Consumer Hotline at (212) 480-6400 or (800) 342-3736.
“If we truly want our young residents to continue their education in college, we must do everything we can to encourage that and protect them from future financial ramifications,” said Joe Robach in support of encouraging continued education and the creation of the Student Protection Unit.