usc 12 § 5535
Private Education Loan Ombudsman (BANKS AND BANKING (12 U.S.C.))
Operative Text
The Secretary, in consultation with the Director, shall designate a Private Education Loan Ombudsman (in this section referred to as the “Ombudsman”) within the Bureau, to provide timely assistance to borrowers of private education loans. The Secretary and the Director shall disseminate information about the availability and functions of the Ombudsman to borrowers and potential borrowers, as well as institutions of higher education, lenders, guaranty agencies, loan servicers, and other participants in private education student loan programs. The Ombudsman designated under this subsection shall— in accordance with regulations of the Director, receive, review, and attempt to resolve informally complaints from borrowers of loans described in subsection (a), including, as appropriate, attempts to resolve such complaints in collaboration with the Department of Education and with institutions of higher education, lenders, guaranty agencies, loan servicers, and other participants in private education loan programs; not later than 90 days after the designated transfer date, establish a memorandum of understanding with the student loan ombudsman established under , to ensure coordination in providing assistance to and serving borrowers seeking to resolve complaints related to their private education or Federal student loans; compile and analyze data on borrower complaints regarding private education loans; and make appropriate recommendations to the Director, the Secretary, the Secretary of Education, the Committee on Banking, Housing, and Urban Affairs and the Committee on Health, Education, Labor, and Pensions of the Senate and the Committee on Financial Services and the Committee on Education and Labor of the House of Representatives. The Ombudsman shall prepare an annual report that describes the activities, and evaluates the effectiveness of the Ombudsman during the preceding year. The report required by paragraph (1) shall be submitted on the same date annually to the Secretary, the Secretary of Education, the Committee on Banking, Housing, and Urban Affairs and the Committee on Health, Education, Labor, and Pensions of the Senate and the Committee on Financial Services and the Committee on Education and Labor of the House of Representatives. For purposes of this section, the terms “private education loan” and “institution of higher education” have the same meanings as in .
Under 12 U.S.C. § 5535, a Private Education Loan Ombudsman is established within the Consumer Financial Protection Bureau to assist borrowers who have complaints about their private education loans. The Ombudsman is charged with receiving and informally attempting to resolve those complaints, coordinating with the Department of Education, and compiling data on borrower issues. Each year, the Ombudsman must submit a report evaluating its own effectiveness to Congress and relevant federal officials, and recommendations may be forwarded to policymakers based on complaint trends.
Plain English — not legal advice.
Although 12 U.S.C. § 5535 is primarily directed at private education lending rather than residential tenancy, lenders, loan servicers, and other participants in private education loan programs covered by this provision are expected to be aware that a federal Ombudsman exists and may be involved in reviewing borrower complaints. Operators in those programs generally maintain clear communication channels and responsive complaint-handling processes, since unresolved borrower complaints may be escalated to the Ombudsman for informal resolution. Staying informed about the Ombudsman's published findings and annual reports can help program participants understand systemic issues flagged at the federal level.
General guidance for property managers — not legal advice for your specific situation. Consult an attorney for advice on your case.
If you are a borrower of a private education loan, 12 U.S.C. § 5535 establishes a Private Education Loan Ombudsman within the CFPB whose role includes receiving and attempting to informally resolve complaints on your behalf. Borrowers experiencing unresolved issues with lenders or servicers can reach out to the Ombudsman as one avenue for seeking assistance, and the Ombudsman may coordinate with the Department of Education or other program participants in working toward a resolution. Tenant-rights organizations focused on consumer finance, as well as the CFPB's own complaint portal, can help borrowers understand what options are generally available under this provision.
General guidance for tenants — not legal advice for your specific situation. Consult a tenant-rights organization or attorney for advice on your case.
Generated September 13, 2026 — auto-generated, not yet human-reviewed. See /transparency for methodology.
Effective Timeline
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