Once you listen to the name Sallie Mae, you really think about student loans. There is certainly a good reason for the; Sallie Mae possess a lengthy records, during which big date it offers provided both federal and personal scholar loans.
However, since 2014, all of Sallie Mae’s college loans is individual, along with her government finance had been sold to another servicer. This is what to learn if you have an excellent Sallie Mae loan otherwise are planning on getting you to definitely out.
What is Sallie Mae?
Sallie Mae is actually a company one to currently also provides individual college loans. However it has had a few models historically.
Inside the 1972, Congress first created the newest Education loan Deals Relationship (SLMA) because the a personal, for-profit organization. Congress offered SLMA, aren’t called “Sallie Mae,” the fresh updates out-of an authorities-paid business (GSE) to help with the business in mission to provide stability and liquidity with the student loan markets given that a facility having pupil loans.
Although not, from inside the 2004, the dwelling and you may intent behind the company started initially to changes. SLMA demolished inside the late December of this year, and SLM Agency, otherwise “Sallie Mae,” is actually formed in set as a fully individual-business providers in place of GSE reputation.
Inside the 2014, the organization undergone some other larger improvement when Sallie Mae split so you can form Navient and you will Sallie Mae. Navient are a federal student loan servicer one protects current college student mortgage account. Meanwhile, Sallie Mae will continue to promote individual college loans or other economic items to consumers. For individuals who got aside an educatonal loan having Sallie Mae earlier so you’re able to 2014, there is a https://onlinepaydayloansohio.net/ go that it was a national education loan around the newest today-defunct Government Members of the family Education loan Program (FFELP). Read more