As you can see, an Alternative Student Loan Program provides you with a great many options in providing assistance to your students. Regardless of how you choose to set up your program, BFG will be able to meet your needs, and provide you with the necessary reports and quality loan service. The following questions and answers help to describe the type of services and support that BFG provides.
Q. What information does BFG need on each student borrower? A. BFG will supply:
Loan disbursement and repayment agreements.
Installment notes and disclosure statements.
Procedures for “Schedule of Accounts Receivable”.
Credit application procedures.
Procedures for processing all forms required by the Lender.
Loan underwriting criteria.
Full training procedures for all personnel in use of these forms.
Q. What type of statement will the student receive? A. Each student receives and introductory letter explaining the Lender's role in the repayment process. The letter states the amount of indebtedness and provides repayment instruction. Payment coupons are included with this letter.
Q. What happens if the student misses a payment? A. When a payment is missed, late charges and interest, if applicable, are computed and added to the balance due, and a notice is sent requesting immediate payment. Additionally, the Lender's loan representatives call the borrower to investigate the missed payment.
Q. Who do the students contact with questions regarding their loan? A. Borrowers are given the Lender's phone number and encouraged to contact the representatives with any questions.
Q. Why should BFG manage our Alternative Student Loan Program? A. BFG's system effectively manages your Alternative Student Loan Program with daily analysis of your account. The Lender's professional loan representatives are trained, bonded and insured for your school's protection against errors and omissions, which may occur during contact with borrowers. The Lender's comprehensive billing system will deliver every collectable dollar and save your school thousands in lost revenue and overhead.
Q. How many Alternative Student Loan Programs does BFG have? A. There are over ten different programs being offered. By reading Option One and Option Two, the concept of Reserves is explained. Specific loan programs can be developed to meet the needs of schools with long and short programs.