This page is part of our public exclusion list — a transparency tool that shows which companies we screen out and why. It is not investment advice, and it is not an accusation. But it is subject to change as our understanding of the facts evolves.
Navient, formerly the student loan servicing arm of Sallie Mae, systematically steered federal student loan borrowers into costly forbearance programs instead of more affordable income-driven repayment plans, causing balances to grow through capitalized interest. In January 2022, 39 state attorneys general reached a $1.85 billion settlement with Navient, canceling $1.7 billion in subprime private loan balances for over 65,000 borrowers and providing $95 million in restitution to 350,000 federal borrowers harmed by forbearance steering. The CFPB subsequently banned Navient from federal student loan servicing entirely in September 2024 and ordered $120 million in additional penalties, finding the company failed borrowers at every stage of repayment. The DOJ also resolved separate allegations of improper loan accounting and payment processing for $97 million in 2017.
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A digest of changes to our exclusion list — new additions, removals, and the evidence behind them. We review the list continuously as new evidence surfaces.
Companies appear on our exclusion list based on our investment judgment — not because they've done anything illegal. This is a difference of values and opinion, not an accusation of wrongdoing. Exclusion does not constitute a recommendation against investing in any company, and absence from the list does not constitute a recommendation to invest.
This information is provided for educational and transparency purposes only and should not be relied upon as investment advice. Data is drawn from independent watchdogs, NGOs, government registries, and Ethical Capital's ongoing research — see Research Sources for the full list.
Ethical Capital LLC is a state-registered investment adviser in Utah (CRD #316032). Registration does not imply a certain level of skill or training.