Archive Links

Consumer Archive
CU System Archive
Market Archive
Products Archive
Washington Archive
150x172_CUEffect.jpg
Contacts
LISA MCCUEVICE PRESIDENT OF COMMUNICATIONS
EDITOR-IN-CHIEF
MICHELLE WILLITSManaging Editor
RON JOOSSASSISTANT EDITOR
ALEX MCVEIGHSTAFF NEWSWRITER
TOM SAKASHSTAFF NEWSWRITER

News Now

CU System
PHEAAs student-loan suspension impacts under 100 CUs
HARRISBURG, Pa. (3/3/08)--Fewer than 100 credit unions in Pennsylvania will be directly affected by the decision of the Pennsylvania Higher Education Assistance Agency (PHEAA) to temporarily suspend its student lending program. According to Bob Hinchey, senior vice president, fee services, at Pennsylvania Credit Union Association (PCUA), PHEAA's action will impact less than one-third of the more than 300 credit unions working with the agency to provide student loans for their members (Life is a Highway Feb. 29). PHEAA announced last week it was suspending its activities as a Federal Family Education Loan Program (FFELP) lender, beginning March 7. That means it will no longer issue loans from its own funds. However, it will continue to provide the federal guarantee, origination and servicing for FFELP loans--essentially providing the systems and processes for loan delivery and repayment. The agency is one of more than 400 lenders participating in the low-cost KeystoneBEST student loan program. About 500,000 students attend postsecondary school in the state with the assistance of a low-cost FFELP loan. PHEAA will continue with other student aid programs and services and will help with the transition to other lenders who are prepared to pick up additional loan volume, said PCUA. It will continue administering the Pennsylvania State Grant Program and other state-funded student aid programs. Student aid providers throughout the nation have been forced in recent weeks to suspend or curtail the lending activity because of failed auctions and persistent turmoil in the capital markets. PCUA "will be working with any impacted credit union to find an alternate solution," Hinchey said.


RSS





print
News Now LiveWire
Construction spending drops in January, according to @CommerceGov http://t.co/W9J1mDyF8X #Market #NewsNow
1 hour ago
During Nat'l Consumer Protection Week, @TheNCUA reminds #CU members of agency resources re: rights as consumers. http://t.co/aYgW1HoDmF
2 hours ago
.@TransUnion: #millennials climbing into driver's seat with loans http://t.co/S4H9OIB3Av
3 hours ago
Breaking at #NewsNow: @CUNA backed bill introduced by @RepEdRoyce @GregoryMeeks would raise MBL cap. #CUSmallBiz http://t.co/ZDAb2UMoQz
5 hours ago
Loan growth at federally insured #creditunions in 2014 climbed to highest level since 2005, @TheNCUA reported today. Watch News Now Tues.
5 hours ago