Navient Shares Plummet as PA Attorney General Files Lawsuit Alleging Deceptive Practices

Navient (NAVI) shares fell to their lowest level in more than a year after the Pennsylvania Attorney General filed a lawsuit accusing the company of “deceptive practices and predatory conduct” by extending student loans to college students with high default rates.

According to a statement issued by the Pennsylvania AG’s office cited by CNBC,”Navient’s deceptive practices and predatory conduct harmed student borrowers and put their own profits ahead of the interests of millions of families across our country who are struggling to repay student loans.”

Navient responded to the lawsuit saying the allegations are “completely unfounded” and that the company “complied with the rules that govern the student loan program as set by Congress and the U.S. Department of Education.”

By Bucky Rini