Tuesday, October 12, 2010

Student Loan Xpress Class Action Settlement Update

Former SSH Students with loans from Student Loan Xpress have been waiting a long time for Judge Merryday to approve or reject the proposed class action settlement. During this time, a lot of work was being done behind the scenes to try to improve the proposed settlement for the students and to address two concerns that were raised by Judge Merryday. These efforts have now born fruit, and a revised, improved, proposed settlement agreement has been filed with the Court.

Under the terms of the original proposed settlement agreement, 10% of the debt forgiveness level was unconditional immediately upon final approval of the settlement with the remaining 90% being forgiven upon full payment by the student of the remaining amount. Under the new, revised settlement agreement, the unconditional debt forgiveness portion of the settlement has been increased from 10% to 50%. This benefits each and every class member and is of special benefit to class members that may not be able to complete all of the payments called for in the settlement agreement.