Policy & Procedure: Constructing a Partial Listing of Lenders
It is the policy of the Office of Student Financial Aid at Missouri State University to follow the guidelines recommended by the National Association of Student Financial Aid Administrators (NASFAA) in developing a partial listing of lenders that offer alternative, or private, education loans. These loans are offered by private lenders to assist with educational expenses that may not be covered by other financial aid. It is our goal to provide students with the best options from which to choose a potential lender for their alternative loan. It is important that a student carefully review educational expenses before deciding the need to borrow from any source.
All lenders on our Partial Lending List will be reviewed and monitored continuously throughout the year in order to maintain current benefit information as well as determine if any removals or additions are necessary. Requests for Information (RFIs) will be employed every other year. The number of lenders on the list is subject to change depending on any necessary revisions. Changes in technical support, lack of adequate client service, or low loan volume may result in removal from the list.
Lenders are reviewed comparatively but not limited to the following criteria:
- Customer service combining a student-centered mission with customer-centered business practices
- School-focused support processes
- Benefits available to borrowers at the time of repayment
- Default rates-national, state, and institutional
- Policy on the sale or sharing of borrower information with other parties
- Demonstrated security of borrower information
- Web-based application and services
- Proactive customer communication, including easy access to a borrower’s current and cumulative borrowing and estimated repayment information
- Timely and responsive processing with excellent problem-resolution service
- Knowledgeable customer service representatives
- Provide a seamless continuum in processing payments, handling inquiries, and maintaining careful records