Faruqi & Faruqi Investigates SLM Corporation for Potential Investor Claims

Investor Alert: Investigation into SLM Corporation by Faruqi & Faruqi

Faruqi & Faruqi, LLP, a prominent national law firm dedicated to securities litigation, has initiated an investigation into SLM Corporation (NASDAQ: SLM) based on potential claims related to misleading statements and undisclosed information affecting investors. The firm's focus is on individuals who acquired SLM securities between July 25, 2025, and August 14, 2025. Partners are encouraging those who have suffered financial losses during that period to reach out to discuss their legal options.

The main issues at hand stem from allegations that SLM Corporation and its executives may have violated federal securities laws. Specifically, reports indicate that the firm failed to transparently disclose a significant rise in early-stage delinquencies. This increase contradicts prior public assurances regarding the stability of the company’s loss mitigation programs and overall financial health.

Background of the Investigation
The legal action surfaces following a report issued by the investment bank TD Cowen, which highlighted a shocking 49 basis point increase in July 2025 delinquency rates—significantly exceeding expected seasonal trends. This assertion left many investors questioning the reliability of SLM Corporation's earlier claims made by its executives in late July.

As a result of these revelations and the subsequent negative market response, SLM’s stock price experienced a sharp decline, dropping by 8.09% in a single day, closing at $30.32 per share on August 15, 2025. This incident raises serious concerns regarding the transparency and accountability within SLM's operations and management.

Seeking Leadership in the Class Action
Faruqi & Faruqi has set a deadline of February 17, 2026, for potential lead plaintiffs to step forward in the federal securities class action lawsuit against SLM Corporation. The lead plaintiff is an essential figure in such cases; they represent the interests of all class members, ensuring that the litigation is conducted effectively on behalf of those affected.

Investors who wish to be considered for this role can do so through legal counsel of their choice or choose to remain as absent class members. Importantly, opting to be or not to be a lead plaintiff does not influence an individual’s ability to partake in any recovery from the lawsuit.

Next Steps for Investors
Investors who possess information regarding SLM's questionable practices, or have personally experienced losses in connection with the company's activities, are encouraged to contact Faruqi & Faruqi. This includes whistleblowers, former employees, and shareholders who can provide insights that might contribute to the investigation.

In an environment where investor rights are paramount, maintaining an open channel for communication is crucial. Faruqi & Faruqi aims to ensure that all affected individuals can share their narratives, thus piecing together a comprehensive understanding of the alleged misconduct within SLM Corporation.

To learn more about the specifics of this ongoing class action against SLM Corporation, interested parties are invited to visit the firm’s website at www.faruqilaw.com/SLM or to contact attorney Josh Wilson directly at 877-247-4292 or 212-983-9330 (ext. 1310).

As the investigation unfolds, updates will be shared via various platforms including LinkedIn, X (formerly Twitter), and Facebook. This case underscores the importance of corporate governance and the need for accountability in publicly traded companies, laying the groundwork for potential recovery for investors affected by alleged misrepresentation in financial reporting.

Faruqi & Faruqi, founded in 1995, has successfully recovered hundreds of millions of dollars for investors and operates from offices in New York, California, Pennsylvania, and Georgia. It stands as a trusted advocate for those seeking justice in the complex world of financial securities.