Student Loan Company Agrees To $1.2 Million Lawsuit Settlement

By: The Associated Press Email
By: The Associated Press Email

Lincoln-based student loan company Nelnet has agreed to pay $1.2 million to settle a class-action lawsuit that accused it of illegally recording collections calls.

The federal lawsuit, filed in California, accused Nelnet Servicing LLC of calling lead plaintiff Than Zaw about a relative's student loan debt. Zaw said that call and others were recorded without the receiver's permission, a violation of California privacy laws.

Nelnet did not admit any wrongdoing as part of the settlement. In a statement, the company said it believes the claims in the lawsuit were questionable, but is happy to "put this matter behind us for an immaterial amount to avoid the costs and distractions of ongoing litigation."


Comments are posted from viewers like you and do not always reflect the views of this station.
powered by Disqus
WOWT NBC Omaha 3501 Farnam Street Omaha, NE 68131 (402) 346-6666 sixonline@wowt.com
Copyright © 2002-2014 - Designed by Gray Digital Media - Powered by Clickability 270610351 - wowt.com/a?a=270610351
Gray Television, Inc.