National Collegiate Student Loan Trusts
On September 18, 2017, the Bureau filed a complaint and proposed consent judgment against several National Collegiate Student Loan Trusts (collectively, the “NCSLTs”). On the same day, the Bureau issued a consent order against Transworld Systems (TSI), the debt collector for several National Collegiate Student Loan Trusts. The Bureau alleges that the NCSLTs brought debt collection lawsuits for private student loan debt that the companies could not prove was owed or was too old to sue over; that they filed false and misleading affidavits or provided false and misleading testimony; and that they falsely claimed that affidavits were sworn before a notary. Soon after the Bureau’s filing, several entities moved to intervene to object to the proposed consent judgment. The judge granted the intervention motions, and on May 31, 2020, the Court denied the Bureau's motion to approve the proposed consent judgment filed with the original complaint. On December 13, 2021, the Court denied defendants' motion to dismiss the Bureau's amended complaint. On February 11, 2022, the Court certified two holdings in its opinion denying the motion to dismiss for interlocutory appeal to the Third Circuit and stayed the matter. On April 29, 2022, the Third Circuit granted the petition to appeal.