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In announcing the lawsuits, Madigan also announced a new helpline within her office to assist borrowers who hold student loans.
The process can be summarized in three steps.
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The Bureau believes that, with respect to covered loans, the lender act or practice of attempting to withdraw payment from a consumer's account after two consecutive attempts have failed, unless the lender obtains the consumer's new and specific authorization to make further withdrawals, may take unreasonable advantage of consumers' lack of understanding and inability to protect their interests, as discussed above, and is therefore abusive.