Payments are on the way for thousands of student-loan borrowers who paid a company accused of illegal behavior.
On Thursday, the Consumer Financial Protection Bureau announced that 8,571 student-loan borrowers who were charged by Performance SLC — a California-based debt-relief business — would receive a collective $10.9 million in payments.
In 2020, the CFPB first filed a complaint against Performance over accusations that the company charged borrowers about $9.2 million in "illegal upfront fees," according to the press release. The complaint also claimed that the company violated the Consumer Financial Protection Act of 2010 by using misleading tactics to get borrowers to sign up for debt-relief services the Education Department offered for free.
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