Education Loan Source, Inc. (ELS), a leader in education financing administration and services, is proud to announce FlexPay, the newest feature of its popular TuitionFlex financing program.
ELS’s TuitionFlex option for schools is a student tuition financing solution for small to moderate financial aid gaps, with shorter than standard repayment terms. Traditionally, these and all other student loans have been designed to be paid only once per month and on the same day each month; the school had no input in determining the repayment date. With FlexPay, the school can set the its tuition financing program to be paid in smaller increments, weekly or biweekly, and can coordinate those payments with the student’s payroll cycle. When the payment is withdrawn automatically through ACH, the school is essentially first in line to be paid before the student’s other monthly expenses.
FlexPay encourages responsible borrowing and eases the loan repayment burden for both the student and the school. According to Claire Hicks, Director of Information Technology at ELS, “The school benefits greatly because they know that the funds are available when the money is collected. In addition, students are learning from a very early stage, while still in school, that their student loan debt is real, and the obligation to repay is serious.” FlexPay allows students to match the timing of their payroll funds with their student loan payments. For the student, starting good repayment habits in smaller incremental payments more than once per month assures continued responsibility to the debt.
Ms. Hicks goes on to note, “Our servicing partner, National Education Servicing, LLC (NES), played a critical role in the successful implementation of FlexPay. Their solid understanding of student loans allows them to launch new programs in relatively short time frames.” Matt Scotty, President at NES continued, “We continue to look for ways to improve the student loan experience and meet the needs of all students. By empowering them with options to successfully manage their finances while in school and beyond, we can help minimize dropouts and student loan defaults through flexible repayment options.”
ELS’s service-oriented TuitionFlex program, which spans from origination to loan servicing, gives educational institutions agility to capitalize on new opportunities and improve enrollment while reducing overall lending risk.
Click here for more information about the TuitionFlex program.