CHICAGO (CBS) — More than 400,000 student loan borrowers will get some debt relief from servicing company Navient, according to a $1.7 billion settlement.
The deal settles a lawsuit brought by several state attorney generals, including Illinois Attorney General Kwame Raoul.
The lawsuit accuses Navient of giving predatory loans to students they knew were likely to default.
About 350,000 borrowers will get about $260.
Navient also has to cancel remaining balances of private loans to about 66,000 students, totaling those $1.7 billion.