NEW YORK (TheStreet) -- Student loan lender Sallie Mae or SLM Corp (SLM) reached a $60 million settlement with the Justice Department over allegations the company violated the rights of service members by overcharging them on interest rates, the Associated Press reports.

The government lawsuit against the company accused Sallie Mae of charging military students interest on loans above the 6% allowed by federal law and then seeking default actions against the students.

Over 60,000 members of the military are said to be eligible for restitution from the settlement.

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Shares of Sallie Mae are up 0.17% to $9.02 on Wednesday.


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