Michigan is joining 30 other states in going after student loan servicer Navient. The state claims "Navient hurt borrowers by engaging in deceptive practices".

"In 2017, Navient — one of the nation’s largest student loan servicers — was sued by Pennsylvania for engaging in various unfair and deceptive business practices in servicing student loans. These practices included steering borrowers into forbearance rather than more favorable income-based repayment plans, misleading borrowers about when they needed to file annual certifications to remain enrolled in certain repayment plans, and consistently making payment processing errors that resulted in unnecessary fees and penalties. Pennsylvania’s complaint included claims under its unfair and deceptive business practices statute, as well as under the federal Consumer Financial Protection Act (CFPA)" - Michigan Attorney General's Office

In a release, the Michigan Attorney General's office says "since 2014, the Michigan Attorney General’s Consumer Protection Division has received 57 complaints regarding Navient. The Consumer Financial Protection Bureau however, has received 1,628 student loan complaints and 330 student loan debt collection complaints from Michigan regarding Navient between 2011 and 2017."

Pennsylvania’s lawsuit, according to Michigan's release, is seeking "penalties, injunctive relief, disgorgement, and other relief by arguing that states have a substantial interest in protecting their residents from all unfair and deceptive business practices committed by businesses operating within their borders, including federal student loan servicers. While more than 92 percent of the $1.5 trillion in outstanding student loan debt is owned or guaranteed by the federal government, the day-to-day management of student loans is administered by a variety of private student loan servicing companies responsible for collecting payments, enrolling borrowers in specific repayment plans, facilitating the loan’s payoff, collecting on delinquent loans, and otherwise assisting borrowers as issues arise over the lifetime of a loan."