Two nonprofit education-loan guarantors to affiliate
USA Funds, NELA to partner for enhanced loan services, higher-education access
INDIANAPOLIS — USA Funds®, the nation's leading education-loan guarantor, and Northwest Education Loan Association® (NELA), a regional education-loan guarantor based in Seattle, have announced their intent to partner to enhance education-loan services and higher-education access in the Northwest.
The affiliation of the two nonprofit guarantors will strengthen services to postsecondary institutions, students and parents in the region by combining NELA's expertise in serving customers in the Northwest with the significant resources of USA Funds, including USA Funds' products and services.
As a result of the affiliation and a transaction involving the acquisition by Sallie Mae® of the loan portfolios of Student Loan Finance Association, Education Assistance Foundation (EAF), a Seattle-based nonprofit corporation, will become one of the largest philanthropic organizations in the Northwest dedicated to increasing higher-education access. In addition, USA Funds will provide $3 million in scholarships for postsecondary education during the next five years to residents of Alaska, California, Idaho, Oregon and Washington state.
"This affiliation advances USA Funds' nonprofit mission by strengthening education-finance services and providing new resources to help residents of the region prepare for, pursue and pay for higher education," said Carl C. Dalstrom, USA Funds president and CEO. "USA Funds is delighted to partner with NELA, an organization with an outstanding track record of exceptional service."
"The combination of USA Funds' products and services and NELA's expertise in meeting the unique education-loan needs of customers in the Northwest enhances the value we can deliver to our customers and other postsecondary institutions in the region," said Tony Bright, president and CEO of NELA.
When the transaction is finalized, NELA will become an affiliate of USA Funds. NELA will continue to guarantee new education loans, delivering the attentive education-loan services that its customers in the Northwest have come to expect.