COLUMBUS, Ohio – Corporate One FCU said Friday it is partnering with Sallie Mae to offer the Smart Option Student Loan program to its nearly 800 member credit unions.
The Sallie Mae Smart Option Student Loan program is a financial institution referral program that allows credit unions to earn fee income when their members receive a loan funded by Sallie Mae.
With the Smart Option Student Loan, students pay interest while in school, graduate with less debt, and pay off their loans faster, compared to other longer-term private loan alternatives in which no payments are made until after graduation.
All loans through the program are underwritten, funded and serviced by Sallie Mae. Participating credit unions bear no risk as they serve as a referral point, primarily via a unique link on each participating credit union’s Web site. Credit unions are rewarded a percentage of the principal amount for each loan granted (as well as a percentage of any subsequent loans to said member). Sallie Mae provides comprehensive support and marketing materials as well, including co-branded loan applications, online Web advertisements, or “tiles,” lobby posters, email campaigns and statement stuffers.
