Senators Worried About Abuses Of Student Loan Personal Info
from the secure-like-a-sieve dept
Students who borrow money to pay for school are no strangers to junk mail and telemarketing calls from loan companies. Now, some senators are concerned that the companies are getting their marketing and contact information from a government database of borrowers to which they shouldn't have access. Borrowers' records in the database are only supposed to be accessed by companies that have their permission, or that have a financial relationship with them, but the amount of solicitations and marketing materials many students receive from a wide array of companies makes it fairly obvious that this isn't the case. This story comes amid a wider scandal in the student-loan industry, with officials from several schools accused of receiving kickbacks from loan companies, and allegations of lax oversight from a government department stacked with ex-employees from the companies they're supposed to be watching over. But the security hole is also representative of the government's lack of interest in protecting personal data. If federal and state governments can't be bothered to secure the information, it's probably unreasonable to expect them to do anything to make sure the private sector takes security seriously either.