LANSING, Mich. (5/6/08)--Credit Union Student Choice, a collaborative credit union service organization (CUSO), is now offering a new student loan product to help defray the costs of college. The product, Credit Union Student Choice, aims to fill the gap between federal student aid and rising tuition, fees and other student-related expenses. Credit unions founding the project are:
* Affinity Plus FCU, St. Paul, Minn.; * Digital FCU, Marlborough, Mass.; * NASA FCU, Bowie, Md.; * NuUnion CU, Lansing, Mich.; * San Antonio (Texas) FCU; * Star One CU, Sunnyvale, Calif.; and * Wright-Patt CU, Fairborn, Ohio.
Affinity Plus, NuUnion and Wright-Patt have gone live with the solution. “Many families have been forced to seek higher cost loans to pay for education,” said Teresa Mayer, NuUnion vice president of lending. She noted that the product has no origination fees, flexible repayment terms, lower interest rates and deferment of principle and interest while students are enrolled. Students enrolled at least half-time in a degree-granting program are eligible. Approved students can borrow from $1,000 up to the total cost of attendance, less other financial aid. The maximum borrowing amount is $75,000. About 1,700 colleges and universities participate in the program. Business partners for the CUSO include PSCU Financial Services, Digital Dialogue, Credit Union Direct Lending and CU*Answers.