Sallie Mae Acquires Loan CollectionFirm

September 20, 2004, 1:00 a.m. EDT 1 Min Read

RESTON, Va. - (09/20/04) -- Student loan giant SLM Corp., betterknown as Sallie Mae, said Friday it has agreed to acquire amajority stake in Arrow Financial Services LLC. The Niles,Ill.-based company purchases charged-off debt, conduct collectionsand offers third-party receivables services to consumer creditcompanies. The company employs 1,400 people at five facilitiesnationwide and will retain its current management. Terms of thedeal were not disclosed. Under the agreement, SLM has an option toacquire the rest of Arrow Financial over the next threeyears.

For reprint and licensing requests for this article, click here.

MORE FROM AMERICAN BANKER

Federal Reserve

Fed points to market froth as leading stability risk

In its latest financial stability report, the Federal Reserve found that asset valuations continue to be elevated and leverage levels remain high, especially among nonbanks like hedge funds and insurance firms.

By Maria Volkova

3h ago
Stablecoin

Fed's Miran: Stablecoin uptake bolsters case for rate cuts

Federal Reserve Board Gov. Stephen Miran said the growth of stablecoins and cryptocurrencies will likely impact monetary policy and could lead to lower interest rates.

By Kate Berry

3h ago
Commercial banking

Santander launches portal for U.S. businesses going global

The Spanish bank says it can connect small and medium-size U.S. businesses with local market experts on its newly launched digital platform Navigator Global.

By Melinda Huspen

4h ago
PNC Financial Services Group

PNC boosts branch investment to $2B, plays down more M&A

The Pittsburgh-based bank said Friday that it will focus on building 300 branches in high-growth markets by 2030. It also minimized the prospects for another acquisition on the heels of its recent deal for Colorado-based FirstBank.

By Catherine Leffert

4h ago
Buy now pay later

Affirm 'firing on all cylinders' with earnings beat

Consumers' and merchants' penchant for 0% loans are boosting the buy now/pay later lender in its first fiscal quarter ended Sept. 30, as gross merchandise volume hit a record.

By Joey Pizzolato

4h ago
Industry News

Activist investor drops recent proxy battle threats

HoldCo Asset Management drops its pursuit of proxy battles with Columbia Banking System and First Interstate; Cape Cod's Mutual Bancorp prepares to acquire Bluestone Bank; Servbank HoldCo announces plans to acquire IF Bancorp; and more in this week's banking news roundup.

By Editorial Staff

5h ago