Recommended Lender Selection Philosophy

     The recommended lender list, created by higher education institutions, resulted from the need to address concerns of standardization, simplification, efficiency and cost reduction in the student loan process. The concept was to select lenders who could respond to these concerns in a manner that complimented the established loan processes of an institution. As the implementation of technology proliferates within institutions, the need to create a benchmark or standard has emerged into the lender lists of the current day.

     At St. Petersburg College, the lender list remains a viable manner in which to utilize the strengths of the student loan lenders to the maximum benefit of the students and the college’s loan processes. The recommended lender selection philosophy at SPC is vital to the college’s goal, as well as that of the Student Financial Services office of providing quality service and access for students and parents. As a result, the recommended lender selection philosophy developed by SPC includes two main areas of concern, service and processing.

      The level of quality service provided by a lender or loan servicer establishes the tone for the student’s borrowing experience. Service encompasses not only the period when the loan is processed, but also the period during which the loan is repaid by the student. Quality service and responsiveness to student and institutional concerns during the origination of a loan is a good indicator as to the service the student will experience in repayment. Likewise, poor service or lack of responsiveness to the student or the institution resulting in delays or confusion is usually evidence of frustrations the student will encounter during the life of the loan.

     The college also has a responsibility to ensure the origination and delivery of loan funds is prompt, seamless and unencumbered for the student. To this end, lender efforts must compliment the established loan process of the institution, rather than the reverse. Additionally, every institution is unique and a lender must be flexible in its approach to the student loan process and willing to explore new avenues of technology to enhance service to students.

     St. Petersburg College developed a list of qualifications for a lender to be considered for inclusion on SPC’s Recommended Lender List. The list represents the elements that the college deems important to the effective origination and delivery of student loan proceeds to students and parents. The list is not all-inclusive and is intended to lay the groundwork for discussion and provide an outline of the expectations the college has for recommended lenders.

     The recommended lender status is determined by a committee comprised of members from the Financial Assistance Services office and reviewed and approved by the  Associate VP of Financial and Business Services, General Council of the College and Senior VP for Administration. 

Preferred Lender Qualifications

Service:

Processing: