Statement from the Campaign for California Borrowers' Rights coalition:

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SACRAMENTO, CA – "We are incredibly disappointed that state leaders were unable to restore funding for the critically important Student Loan Empowerment Network in the final budget agreement. The Student Loan Empowerment Network, administered by the Department of Financial Protection and Innovation (DFPI), was the only state-funded program providing Californians with free student loan counseling and legal assistance from trusted experts and had a proven track record of returning real dollars back into the pockets of hard working families with student debt.

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As the Trump Administration makes unprecedented cuts to federal financial aid programs and the student loan repayment system under the One Big Beautiful Bill Act, millions of student loan borrowers are finding themselves hit with skyrocketing monthly bills and forced to navigate massive changes with nobody to turn to for help. For the nearly 4 million Californians with student debt, the Student Loan Empowerment Network served as a crucial lifeline and resource. In just a few short years, this program helped borrowers secure over $14,300 in monthly payment savings and $4.6 million in total debt relief. Now, millions of Californians struggling with student loan debt will be forced to fend for themselves.

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The Campaign for California Borrowers' Rights coalition urges DFPI leaders to explore any and all administrative resources available to preserve the Student Loan Empowerment Network for as long as possible. The Campaign thanks Assemblymember Pellerin for her support and work on this budget request and stands ready to continue working in partnership with state leaders to ensure that borrowers are not robbed of this essential resource when they need it the most.”

 

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About the Campaign for California Borrowers’ Rights

 

The Campaign for California Borrowers’ Rights is a diverse coalition of organizations representing students, workers, consumers, older individuals, communities of color, veterans, and millions of other Californians affected by the student debt crisis. The Campaign is led by NextGen California, Protect Borrowers, Student Debt Crisis Center, and Young Invincibles.

 

More information about the Campaign is available at https://www.californiaborrowers.org/.​​