| |
| 1. Does the lender offer
money-saving options for your loan? |
| Standard charges are a 1%
Federal default fee and a 3% origination fee. |
| |
| College Foundation
saves you money by not charging you the federal default fee. |
| |
| 2. Will your lender make
repaying the loan easier by reducing your interest rate? |
| Some lenders will offer lower
rates. |
| |
| College
Foundation offers a 0.25% interest rate reduction for payments by
automatic draft. See details of the NC Advantage for loans
first disbursed on or after October 1, 2008 and for those first
disbursed between July 1, 2006 - September 30, 2008. If you have
previous loans before July 1, 2006, call us toll free at
866-866-CFNC to review benefits in effect for those loans. |
| |
| 3. Does the lender ever sell
its loans? |
| Some lenders sell loans to
secondary markets, meaning that you will make payments to a new
"owner" of your loan. Sometimes loans are sold to more than one
secondary market, which could leave you with payments each month to
more than one loan "owner." Sending separate payments to multiple
loan owners can be expensive and confusing. |
| |
| College
Foundation has never sold or transferred loans and has a long-term
commitment to our borrowers which makes it much easier to get your
questions answered. |
| |
| 4. Who services your loan? |
| Does your lender contract out
servicing (keeping up with your changes of address, your loan
status, sending you bills, receiving your payments, processing your
deferment requests, answering questions, etc.) to a third party
contractor, or does it service the loans itself? If your loans are
serviced by multiple contractors in several states, confusion and
potential errors may result. |
| |
| CFI services all
the loans we hold, from the time the loans are made until the time
they are paid in full. Our staff is right here in North Carolina,
ready to provide excellent customer service. |
| |
| 5. Is borrowing from one lender
preferable? |
| You should generally borrow
all PLUS Loans from the same lender to keep your loans in one
location and for consistent information and service. |
| |
| |
| If you choose to
borrow from CFI, our lender code is 807037. Follow the directions
from your school on how to complete the loan process. CFI offers
online or paper applications. |
| |
|
Click here to learn how to save money on your PLUS loan. |
*Some colleges participate directly in the Federal Direct
Loan Program. In these cases, there is no choice of using College
Foundation, Inc., a Federal Family Education Loan Lender. Follow the
instructions of these colleges to get the loan. |
