All Content from Business Insider | Millions of student-loan borrowers risk being driven into a 'shadow' market of costly private lenders, a new report says by Ayelet Sheffey
President Donald Trump's federal student-loan repayment changes could drive borrowers toward risky private lending products.John Taggart/Bloomberg via Getty Images
A new report said Trump's student-loan repayment changes could lead borrowers to riskier, subprime private loans.Traditional prime lenders would deny 40% of Americans due to low credit, the report saysFederal borrowers are expected to turn to private lending due to new borrowing caps on advanced degrees.Risky lending products could expand as federal student-loan repayment changes begin to roll out, a new report says.
On Tuesday, advocacy group Protect Borrowers and left-leaning think-tank The Century Foundation released a report on how the private student-loan industry will shift once President Donald Trump's federal repayment overhaul is implemented.
A shifting student-loan repayment landscapeRead the original article on Business Insider
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