Pomerantz Law Firm Files Class Action Against SLM Corporation Amid Rising Delinquency Concerns
On February 12, 2026, news broke that Pomerantz LLP has taken legal action by filing a class action lawsuit against SLM Corporation, commonly recognized as Sallie Mae. This lawsuit is a significant one, targeting not only the corporation but also several of its key officials. The case was lodged in the United States District Court for the District of New Jersey, under the docket number 25-cv-18834. It encompasses a broad range of investors, specifically those who bought or acquired SLM securities between July 25 and August 14, 2025. The lawsuit’s primary objective is to hold the defendants accountable for their alleged violations of federal securities laws during this critical period.
The class action aims to recover damages reflecting the losses sustained due to what the firm describes as violations related to Sections 10(b) and 20(a) of the Securities Exchange Act of 1934, as well as Rule 10b-5. This is particularly relevant as many investors were assured that any rising delinquency rates were merely due to normal seasonal variations and minor adjustments in the company’s loan offerings.
Investors seeking to join this class action must act quickly; they have until February 17, 2026, to file a request for Court appointment as Lead Plaintiff. Relevant information regarding the lawsuit can be obtained via Pomerantz's official website, with legal representatives available for inquiries.
SLM Corporation specializes in the origination and servicing of private education loans (PELs), particularly aimed at students and their families. The company’s claims of providing high-quality PELs are under scrutiny as concerns mount regarding its delinquency rates, which are critical indicators of its operational health. The nature of these loans means that many are in repayment status, either through interest-only or full principal and interest payments, which raises the stakes for the company's ability to manage these accounts effectively.
A crucial aspect of the ongoing litigation revolves around the misleading information reportedly provided by SLM’s executives. For instance, during a conference call held with investors on July 24, 2025, Peter M. Graham, SLM’s Executive Vice President and CFO, suggested that the delinquency trends were normal and did not indicate any underlying problem. Such statements from top management gave many investors a false sense of security regarding the company’s financial stability. Furthermore, these assertions specifically downplayed the alarming rise in early-stage delinquencies that subsequently went documented.
The tipping point came on August 14, 2025, when TD Cowen, a well-respected investment bank, released a report indicating a substantial increase in delinquency rates that contradicted the company's prior claims. This report highlighted a significant spike in early-stage delinquencies, further igniting concerns among investors and analysts.
In the wake of this disclosure, SLM’s stock took a notable hit, plummeting by $2.67 per share—or approximately 8.09%—to close at $30.32 on August 15, 2025. Such a dramatic fall is indicative of the investor community's lost trust in the company’s assurances and overall business oversight.
Pomerantz LLP brings a strong legacy to this case, having established itself as a leading firm in the realm of corporate, securities, and antitrust class litigation. Since its founding more than 85 years ago by Abraham L. Pomerantz, the firm has been a forerunner in advocating for victims of securities fraud and corporate misconduct. They have successfully recovered billions for the affected parties, making them a formidable player in this field.
For any investors who bought SLM securities during the specified period, this lawsuit represents an opportunity to seek restitution for their losses, underscoring the importance of vigilant corporate regulatory practices and transparency in the financial sector. The ramifications of this case could set significant precedents in how companies manage and report their financial health, particularly in sensitive areas such as education financing, where borrowers' futures are at stake.
The class action aims to recover damages reflecting the losses sustained due to what the firm describes as violations related to Sections 10(b) and 20(a) of the Securities Exchange Act of 1934, as well as Rule 10b-5. This is particularly relevant as many investors were assured that any rising delinquency rates were merely due to normal seasonal variations and minor adjustments in the company’s loan offerings.
Investors seeking to join this class action must act quickly; they have until February 17, 2026, to file a request for Court appointment as Lead Plaintiff. Relevant information regarding the lawsuit can be obtained via Pomerantz's official website, with legal representatives available for inquiries.
SLM Corporation specializes in the origination and servicing of private education loans (PELs), particularly aimed at students and their families. The company’s claims of providing high-quality PELs are under scrutiny as concerns mount regarding its delinquency rates, which are critical indicators of its operational health. The nature of these loans means that many are in repayment status, either through interest-only or full principal and interest payments, which raises the stakes for the company's ability to manage these accounts effectively.
A crucial aspect of the ongoing litigation revolves around the misleading information reportedly provided by SLM’s executives. For instance, during a conference call held with investors on July 24, 2025, Peter M. Graham, SLM’s Executive Vice President and CFO, suggested that the delinquency trends were normal and did not indicate any underlying problem. Such statements from top management gave many investors a false sense of security regarding the company’s financial stability. Furthermore, these assertions specifically downplayed the alarming rise in early-stage delinquencies that subsequently went documented.
The tipping point came on August 14, 2025, when TD Cowen, a well-respected investment bank, released a report indicating a substantial increase in delinquency rates that contradicted the company's prior claims. This report highlighted a significant spike in early-stage delinquencies, further igniting concerns among investors and analysts.
In the wake of this disclosure, SLM’s stock took a notable hit, plummeting by $2.67 per share—or approximately 8.09%—to close at $30.32 on August 15, 2025. Such a dramatic fall is indicative of the investor community's lost trust in the company’s assurances and overall business oversight.
Pomerantz LLP brings a strong legacy to this case, having established itself as a leading firm in the realm of corporate, securities, and antitrust class litigation. Since its founding more than 85 years ago by Abraham L. Pomerantz, the firm has been a forerunner in advocating for victims of securities fraud and corporate misconduct. They have successfully recovered billions for the affected parties, making them a formidable player in this field.
For any investors who bought SLM securities during the specified period, this lawsuit represents an opportunity to seek restitution for their losses, underscoring the importance of vigilant corporate regulatory practices and transparency in the financial sector. The ramifications of this case could set significant precedents in how companies manage and report their financial health, particularly in sensitive areas such as education financing, where borrowers' futures are at stake.
Topics Financial Services & Investing）
【About Using Articles】
You can freely use the title and article content by linking to the page where the article is posted.
※ Images cannot be used.
【About Links】
Links are free to use.