300,000 student-loan borrowers got their debt wiped out — but their credit is still taking a hit, a new lawsuit says

AI SUMMARY

# Investing Summary A lawsuit against the Department of Education alleges that approximately 300,000 student-loan borrowers who received debt forgiveness are experiencing credit score damage due to improper credit bureau reporting of their forgiven balances. This legal challenge could have significant implications for credit reporting practices across the student loan industry and potentially affect consumer finance companies and credit reporting agencies that rely on accurate debt documentation.