The VSAC, otherwise known as the Vermont Student Assistance Corp, is a leading provider of student loan services for students in Vermont. While they used to be a part of the Federal student loan program, in 2016 they broke away from federal student loan servicing because it was no longer something that was feasible for them. This is because the U.S. Department of Education actually discontinued the Federal Family Education Loans program. This program was one of the main sources of income for the VSAC, and thus made it nearly impossible for them to continue federal loan servicing.
In the latter part of 2016, they actually transferred all of their service accounts to a company called Nelnet. They didn’t stop there though, as they are still very much a part of the student loan industry today. Now the VSAC offers state issued loans for students that are either from Vermont or going to school in Vermont. One such loan they offer is the Vermont Advantage Loan. This loan has been known to have a better interest rate than some of the other Federal student loans.
More About the Vermont Advantage Loan
The Vermont Advantage Loan is offered to both residents of Vermont (attending school in state or out of state), and students from other states attending school in Vermont. It is a fixed rate loan that is offered to both students and parents of students in college. The 2017-2018 rates for these loans can be as low as 5.80 percent, which is highly competitive in comparison to other loans (including federal student loans).
There are quite a few benefits that come along with the Vermont Advantage Loan. For instance, you can choose from both student and parent loans depending on your particular situation. You can also choose a low APR, which is based on the type of repayment plan you pick for your loans. There are different repayment term options available to suit your own financial needs.
Another great benefit is the fact that the origination fees associated with this loan are either very low, or sometimes even nonexistent. You will also find that the VSAC offers top notch customer service, with a local service center for your convenience. With every loan also comes access to one of their Vermont Advantage Loan Coaches. These loan coaches are available to help you every step of the way, from applying for your loans, to supporting you throughout the repayment process.
Applying for the Vermont Advantage Loan
If you think that the Vermont Advantage Loan may be right for you, get started at www.vsac.org. Here you will be able to go through their step by step application process with the help of a loan coach. To avoid any origination fees, you may want to consider using a cosigner. Those with excellent credit can take advantage of not having an origination fee. Others may face a three or five percent origination fee, depending on their creditworthiness.
When applying, make sure to have all of your information ready. Go ahead and complete the FAFSA form located at fafsa.ed.gov. Also have available your home address, driver’s license number, a couple of references, and information about your cosigner. You should also have a ball park range for your requested loan amount.
Other Services Offered by the VSAC
The Vermont Advantage Loan is not the only service offered by the Vermont Student Assistance Corp. In fact, they offer a variety of guidance services to students and graduates in the Vermont area. For instance, they can offer financial guidance, career guidance, and planning help. They are just no longer able to offer federal student loans due to a lack of funding from the federal government.
All students that were previously making payments to the VSAC will now be making their federal loan payments to Nelnet. If you are not sure who your current federal loan servicer is, check with the National Student Loan Data System for more information regarding where to remit payments and who to contact for information about your loans. Remember that it is up to you to stay on top of this.
The VSAC is also known for their Vermont Grants. Grants equal free money, so this is definitely something that students should take advantage of before they turn to student loans. After all, this is money that you won’t have to pay back down the road. Check out their link here to learn more about the grants that they have to offer and to see if you qualify.