WASHINGTON — Do companies that service student loans make more money when they provide less service?

The federal government’s consumer watchdog wants to see what changes can be made to help the 40 million people with student loan debt save money and avoid default.

The Consumer Financial Protection Bureau is opening a public inquiry today into student loan servicing practices it says can make paying back loans “stressful or harmful.”

Private and federal student loan debt totals more than $1.2 trillion. Loans are often not serviced by lenders but by a company that processes monthly payments, assists borrowers with repayment options if they lose their jobs, and performs other tasks. Such service companies — among them are Navient, Nelnet and American Education Services — typically get a flat monthly fee per account.

“Student loan servicers often make more money when they spend as little time as possible on each account, and they typically get paid more when a borrower is in repayment longer,” Richard Cordray, the director of the agency, says in remarks prepared for delivery at a hearing today in Milwaukee. “So we are evaluating whether the typical methods of servicer compensation can jeopardize the interests of borrowers.”

Richard Hunt, the president and CEO of the Consumer Bankers Association, says his organization is looking forward to learning more about the effort. He says its member banks are “100 percent committed to student success and are regularly working to ensure their borrowers are aware of all options available to them.”