Student and parent borrowers of the Stafford loan, PLUS Loan and /or Grad PLUS Loan may choose any lending institution that participates in the Federal Family Education Loan program (FFELP). The basic terms of the loans (origination and default/guarantor fees, interest rates and deferment options) are set by the federal government. Student borrowers of the private loans may choose any lender in the private education loan market. The basic terms of the private loans, such as origination/repayment fees and interest rates are determined by the lender based on the borrower’s credit history and market rates (Prime or LIBOR). USN provides students with Lender Lists. Lenders are selected for our lender list based solely on what is determined to be in the best interest of our students. The USN Financial Aid Office requests information from the FFELP and Alternative Loan program participating lenders. We evaluate their responses and the following factors were considered in the selection process of lenders to be included on our Lender Lists:    OpenClose

• Rates and Borrower Incentives – Our lenders offer zero origination fees on Stafford loans (this could change due to federal regulation), interest rate reductions for borrowers who sign up for auto debit and principal and additional rate reductions for making consecutive on-time payments.
• Customer Service – Our lenders have dedicated customer service representatives who can assist borrowers with online application and to make an informed decision, provide user friendly custom websites with information and applications on loan programs available 24/7. Borrowers can apply online and e-sign the promissory note for faster service. If the borrower prefers to manually sign the promissory note, he/she can download it from the lender’s website or ask the lender to mail it to her/him.
• Ease of Process and Technology – Our lenders work with USN to process and receive loan funds using Electronic Fund Transfer (EFT). EFT disbursements are applied to the student’s account upon receipt. Other lenders may send manual checks which student must come to the Bursar’s office to endorse, which causes a delay in processing. Our borrowers have the convenience to electronically sign promissory notes, download deferment and forbearance forms, track loan history, make payments and update personal information.