The TuitionFlex℠program , offered through our partnership with Education Loan Source, an NLA company, allows students to finance remaining tuition and directly billed expenses over a repayment period of up to 10 years.  Better yet, the program is fully customizable so the institution can determine eligibility, financing limits, interest rates, minimum payments and repayment options.  Our servicing partners have decades of experience in higher education finance and provide complete support during the entire process. Most importanly, our programs are fully compliant with all state and federal law requirements, and do not raise any compliance issues for schools under the Higher Education Opportunity Act (HEOA) which amended the Higher Education Act in August of 2008. 

Under the TuitionFlex Program, there are two payment products: (i) TuitionEase℠ is an interest free payment program with a low cost and terms up to 12 months; and (ii) TuitionExtend℠ is a retail installment payment plan for terms greater than 12 months and up to 10 years. Later this year we will introduce TLOC℠ - a Tuition Line of Credit option - and TuitionFlexPlus℠- which provides schools an option to see thier retail Installment Contracts at a discounted rate shortly after the student initiates their tuition payment plan.

The TuitionFlex Program is also available to K-12 schools.

By implementing TuitionFlex at your institution, you can eliminate the burdens associated with Truth-in-Lending disclosure requirements, servicing and collection activities, and be assured that experts with externsive experience in the education finance industry will handle all of the necessary administrative services to support the products adopted by your school.

Benefits of the TuitionFlex program include:

• Low implementation cost for institution
• Nominal application fees charged to students
• Fixed low interest rate for the extended plan
• No interest  for plans up to 12 months
• Minimal payments during the in-school period
• Can supplement or replace high-cost private loans
• Can supplement or replace existing institutional loan programs
• Co-signer optional based on school preference
• No credit check required
• Repayment period of up to 10 years
• Canadian students who reside in U.S. eligible based on school preference without U.S. co-signer
• Future revenue stream created as graduates enter repayment
• Web-based application with e-signature available
• School does not need to be Title IV eligible and non-degree granting programs are accepted for all payment plan products

Initial set-up is fast and easy.  Schools are provided with user-friendly monthly reports and on-line account access.  Students have access to trained credit counselors, superior customer service, and there are no prepayment penalties!  Contact Sterling today at 828-335-1092 or answers@sefloans.org for more information!

 Additional compliance information we want you to consider.

 The Federal Reserve Bank has stated that any credit extended by schools may be considered a “private education loan” within the meaning of the Truth-in-Lending (TIL) Act as amended by the Higher Education Act. Tuition Payment Plans (TPP) and Institutional loan programs fall under this category.

Tuition Payment Plans with more than 4 payments require a TIL disclosure statement - even if interest is not charged!

The school has the responsibility to ensure that your current TPP provider issues a TIL statement that is fully compliant with federal regulatory requirements. Are you sure you’re “safe”?

TPPs for on-line education programs have special requirements. Are you aware of these requirements and the necessary disclosures you must provide?

Violations of the TIL Act are subject to both criminal and civil penalties.

Criminal penalties include a $5,000 fine or 1 year imprisonment for knowingly giving false or  inaccurate information or failing to provide information which the creditor  is required to disclose (Sec.112 Consumer Credit Protection Act)

Civil penalties include for individual cases, actual damages plus twice the amount of the finance charge in connection with the transaction. For class actions, the penalties can be such amount as the court may allow up to a maximum of $500,000 or 1% of the creditor’s net worth for claims arising out of the same failure to comply, plus attorney’s fees. (Sec. 130 Consumer Credit protection Act).

Many providers offer TPPs. Your institution may even offer your own program. Do you know if you or your providers are fully compliant? Sterling can offer you peace of mind with our fully compliant payment plan solutions. Come partner with us.