In 1960, USA Funds was incorporated with the purposes of fostering education and the continuation of studies, promoting attainment of higher education by those who otherwise might be unable to achieve it, and advancing the cause of aid and support to college students. And in 1961 USA Funds guaranteed its first of many student loans to come.
Throughout its more than 50-year history, USA Funds has been a pioneer in helping students and families benefit from higher education. We’ve been innovators in tapping the latest technology and processes to constantly improve the quality of the programs and products we have delivered. We have been consistently focused on providing the finest service possible to our customers and other constituents.
USA Funds’ Relationship with Sallie Mae
In 1990 – 30 years after USA Funds was established – USA Group was incorporated as a private, nonprofit holding company that served as the parent company for USA Funds and other affiliates.
In 2000, Sallie Mae acquired the assets of most of the USA Group affiliates. USA Funds, however, was not included in the transaction. USA Funds became an independent, unaffiliated guarantor of student loans.
Today, USA Funds contracts with Sallie Mae affiliates, much as it previously had contracted with USA Group affiliates, for services necessary to carry out its role as a student loan guarantor.
USA Funds is not a subsidiary of Sallie Mae. There is no corporate affiliation between the two organizations. USA Funds is governed by its own board of trustees and is managed by an experienced team of individuals who have no affiliation with Sallie Mae. The services USA Funds receives from Sallie Mae are closely monitored and directed by USA Funds employees.