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Missouri student loan servicer penalized by feds

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The U.S. Department of Education is penalizing the Missouri Higher Education Loan Authority.

MOHELA failed to send billing statements on time to 2.5 million borrowers earlier this month, CNN reports.

The Department of Education is withholding $7.2 million from the October payment for MOHELA. It also has directed the Missouri student loan servicer to put all impacted borrowers in forbearance until the issue is resolved.

Read more from CNN.

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