VSAC newsline

… where you can find background information about VSAC, our press releases, annual reports, FAQs, research reports, and schedule of board meetings. The site also includes links to articles of interest about VSAC or higher education topics.

Fast facts about recent news involving VSAC:

Visit our Facebook page at vsac.org/Stories to view inspirational videos of four young adults who appear in TV ads that we began running earlier this year. You can also read about these four, plus two others who were interviewed, to find out how they surmounted obstacles to reach their education goals.

Student loan debt has been in the news a great deal lately. U.S. Rep. Peter Welch of Vermont succeeded in getting Congress to stop a planned July 1 hike in the interest rate on new subsidized Stafford loans. As a result, the rate remains at 3.4 percent instead of rising to 6.8 percent. However, the lower rate is effective for only one more year, so this issue is bound to resurface next summer.

VSAC had been writing about the interest rate issue for some time, and collaborated with Rep. Welch to get the message out that federal education loan rates for both students and parents should be kept as low as possible. Visit our News and Views section to read loan-related and other op-eds by VSAC CEO Don Vickers that ran in Vermont newspapers during the 2011-12 academic year.

Although VSAC is no longer able to make new federal education loans (due to changes in federal law), we provide a limited amount of private student loans to supplement federal borrowing and still have funds available for the 2012-13 academic year. These loans are credit-based and require a cosigner. Interest rates are fixed and depend on the repayment option chosen: 6.6 percent for immediate payment of principal and interest while enrolled, 7 percent for interest-only payments while enrolled, and 7.9 percent for deferred repayment. For more information, visit vsac.org/vermontadvantageloan.

Also on the loan front, VSAC is busy preparing to become a servicer of federal direct loans starting in November of 2012. We are implementing changes to our computer systems, facility security, and staff training in order to ensure that we meet stringent requirements imposed on federal contractors. We are thrilled to have this opportunity to demonstrate the kind of exceptional customer service that many Vermont businesses and organizations are known for.

Visit the News & Views section of this site for more news about VSAC.