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AIGC administers a Bureau of Indian Education contract to provide financial assistance in the form of loans to eligible American Indian and Alaska Natives seeking graduate and professional degrees in Science, Technology, Engineering and Mathematics (STEM).
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Under section 1031(c) of the Dodd-Frank Act, an act or practice is unfair if it causes or is likely to cause substantial injury to consumers which is not reasonably avoidably by consumers and such injury is not outweighed by countervailing benefits to consumers or to competition.
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But as discussed in connection with the Bureau's preliminary abusiveness finding regarding short-term covered loans, the Bureau does not believe that such a generalized understanding suffices to establish that consumers understand the material costs and risks of these loans.
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