Xerox pays $2.4 million to settle student loan issues

Nov 29, 2016
Originally published on November 28, 2016 5:42 pm

Xerox has agreed to pay $2.4 million to settle allegations by authorities in Massachusetts that the company violated debt collection laws in that state.

The Massachusetts Attorney General says the company was accused of failing to properly process student applications for federal repayment plans on student loans and engaged in harassing debt collection practices.

Xerox got into the student loan business when it acquired ACS in 2010.

Xerox released a statement which says its education services division worked closely with the Massachusetts Attorney General in the settlement.

The company says it cooperated fully, although it did not admit liability, and Xerox says it has enhanced its loan servicing practices in light of that state’s debt collection regulations.