We strive to provide the most comprehensive list of loans from various lenders, including nonprofit organizations like NHHELCO
, to help parents and students make the best choice for their unique financial situation.
All bonds under the NHHEFA indenture are 35-day tax-exempt auction-rate securities that pay interest semi-annually beginning June 1, 2004 and the taxable NHHELCO Series 2004 A-1 and A-2 pay interest monthly, after every auction commencing May 19, 2004 and May 26, 2004, respectively.
Under a loan agreement, the NHHEFA pledges the proceeds of its tax-exempt issuance to NHHELCO who has, in turn, issued a collateral bond to the NHHEFA as security for the loan.
Since its incorporation on February 24, 1983, NHHELCO has been providing low cost financial assistance to eligible students or parents.
We would like to thank Mark Connelly and the staff at the Secures Bureau for their hard work," NHHELCO President and CEO Rene A.
Drouin opposed that decision, saying that previous attempts at direct lending failed, but he declined to estimate its financial impact on NHHELCO.
This is not the first Securities Regulation Bureau action against UBS concerning auction rate securities, a way for institutions like NHHELCO to borraw money from investors that promised higher returns than the traditional fixed rate bond, making it easier for institutions to borrow money.
Payne did say that NHHELCO is committed to return to the market.
The decision to suspend the alternative loans, said Tori Berube, NHHELCO's vice president of product marketing, "is unfortunate, but NHHELCO is faced with the reality of having to focus its resources on the federal loan programs, which provide critical access to a college education.
At this point, student loans still average about 6 percent, but because a recent auction of student loan bonds flailed to attract suitable bids, NHHELCO and others participating in the bond issue will be forced to pay 18 percent to their bondholders.
Because of that, NHHELCO decided to quit--at least for the time being--the alternative student loan business.
In addition, Graduate/Professional PLUS borrowers who select NHHELCO
as their lender are eligible for several borrower benefits, including a 1 percent principal reduction after the first 12 months of on-time payments and a 0.