Student loan giant Navient (NAVI) promised to revamp a loan forgiveness program designed for public servants after settling a 2018 class action lawsuit from student loan borrowers.
The preliminary settlement — still subject to final approval by the court — requires Navient to “enhance its internal resources, maintain regular training and monitoring for call center representatives, update forms that are sent to borrowers and update its website.”
Part of the settlement involves Navient providing $1.75 million to a nonprofit organization that will provide education and student loan counseling to public service workers. The 10 plaintiffs, all student borrowers, will receive $15,000 each.
“This exceptional agreement is a big step forward that will help millions of borrowers get the relief they need—and were promised by the federal government—by enhancing the resources available to them through their loan servicer,” Randi Weingarten, president of the the American Federation of Teachers, which backed the