An official from a federal agency working with financial products and services participated in a campus roundtable discussion about strategies to reduce student loan debt Thursday.
The Consumer Financial Protection Bureau roundtable, which was hosted by the Associated Students of Madison, Wisconsin Public Interest Research Group and United Council of University of Wisconsin Students, discussed measures to decrease student debt by simplifying the loan process and improving students’ understanding of their finances.
CFPB Student Loan Ombudsman Rohit Chopra, who is the highest-ranking official with a student-centered focus in the bureau, attended the event. Other participants included students, faculty, higher education advocate Rich Williams, state Rep. Chris Taylor, D-Madison, and state Rep. Brett Hulsey, D-Madison.
During the discussion, Chopra said the student loan process needs to be more clear because lenders often use tactics to deceive students into taking out loans, such as using confusing loans contracts.
“It’s not enough just to arm people with knowledge and information about navigating all these complex products,” Chopra said. “You sometimes have to make the products simpler and easier to understand.”
The discussion also focused on changing how society approaches financial matters.
According to Chopra, many students are unwilling to seek out financial resources because they are overconfident about their money-management skills or ashamed of their financial hardships.
WISPIRG representative Emily Ten Eyck agreed, saying it is important to normalize the discussion of finances among students.
“If it’s a norm in the culture, then people will be much more open to talking about it,” Ten Eyck said.
