|
|
 | | | |
- close
- close
- close
- close
This excerpt taken from the SLM 10-K filed Mar 2, 2009. Products
and Services
Student
Loan Default Aversion Services
We provide default aversion services for five guarantors,
including the nation’s largest, USA Funds. These services
are designed to prevent a default once a borrower’s loan
has been placed in delinquency status.
Defaulted
Student Loan Portfolio Management Services
Our APG business segment manages the defaulted student loan
portfolios for six guarantors under long-term contracts.
APG’s largest customer, USA Funds, represents approximately
17 percent of defaulted student loan portfolios in the
market. Our portfolio management services include selecting
collection agencies and determining account placements to those
agencies, processing loan consolidations and loan
rehabilitations, and managing federal and state offset programs.
Contingency
Collection Services
Our APG business segment is also engaged in the collection of
defaulted student loans on behalf of various clients including
guarantors, federal and state agencies, and schools. We earn
fees that are contingent on the amounts collected. We provide
collection services for ED and now have approximately
10 percent of the total market for such services. We have
relationships with approximately 900 colleges and universities
to provide collection services for delinquent student loans and
other receivables from various campus-based programs. We also
collected other debt for credit card issuers, federal and state
agencies, and retail clients.
These excerpts taken from the SLM 10-K filed Feb 29, 2008. Products
and Services
Student
Loan Default Aversion Services
We provide default aversion services for five guarantors,
including the nation’s largest, USA Funds. These services
are designed to prevent a default once a borrower’s loan
has been placed in delinquency status.
Defaulted
Student Loan Portfolio Management Services
Our APG business segment manages the defaulted student loan
portfolios for six guarantors under long-term contracts.
APG’s largest customer, USA Funds, represents approximately
17 percent of defaulted student loan portfolios in the
market. Our portfolio management services include selecting
collection agencies and determining account placements to those
agencies, processing loan consolidations and loan
rehabilitations, and managing federal and state offset programs.
Contingency
Collection Services
Our APG business segment is also engaged in the collection of
defaulted student loans and other debt on behalf of various
clients including guarantors, federal agencies, schools, credit
card issuers, utilities, and other retail clients. We earn fees
that are contingent on the amounts collected. We provide
collection services for ED and now have approximately
11 percent of the total market for such services. We have
relationships with more than 900 colleges and universities to
provide collection services for delinquent student loans and
other receivables from various campus-based programs.
Collection
of Purchased Receivables
In our APG business, we also purchase delinquent and defaulted
receivables from credit originators and other holders of
receivables at a significant discount from the face value of the
debt instruments. In addition, we purchase sub-performing and
non-performing mortgage receivables at a discount usually
calculated as a percentage of the underlying collateral. We use
a combination of internal collectors and outside collection
agencies to collect on these portfolios, seeking to attain the
highest cost/benefit for our overall collection strategy. We
recognize revenue primarily using the effective yield method,
though we use the cost recovery
method when appropriate, in certain circumstances. A major
success factor in the purchased receivables business is the
ability to effectively price the portfolios. We conduct both
quantitative and qualitative analysis to appropriately price
each portfolio to yield a return consistent with our APG
financial targets.
Products and Services Student Loan Default Aversion Services We provide default aversion services for five guarantors, including the nation’s largest, USA Funds. These services are designed to prevent a default once a borrower’s loan has been placed in delinquency status. Defaulted Student Loan Portfolio Management Services Our APG business segment manages the defaulted student loan portfolios for six guarantors under long-term contracts. APG’s largest customer, USA Funds, represents approximately 17 percent of defaulted student loan portfolios in the market. Our portfolio management services include selecting collection agencies and determining account placements to those agencies, processing loan consolidations and loan rehabilitations, and managing federal and state offset programs. Contingency Collection Services Our APG business segment is also engaged in the collection of defaulted student loans and other debt on behalf of various clients including guarantors, federal agencies, schools, credit card issuers, utilities, and other retail clients. We earn fees that are contingent on the amounts collected. We provide collection services for ED and now have approximately 11 percent of the total market for such services. We have relationships with more than 900 colleges and universities to provide collection services for delinquent student loans and other receivables from various campus-based programs. Collection of Purchased Receivables In our APG business, we also purchase delinquent and defaulted receivables from credit originators and other holders of receivables at a significant discount from the face value of the debt instruments. In addition, we purchase sub-performing and non-performing mortgage receivables at a discount usually calculated as a percentage of the underlying collateral. We use a combination of internal collectors and outside collection agencies to collect on these portfolios, seeking to attain the highest cost/benefit for our overall collection strategy. We recognize revenue primarily using the effective yield method, though we use the cost recovery
method when appropriate, in certain circumstances. A major success factor in the purchased receivables business is the ability to effectively price the portfolios. We conduct both quantitative and qualitative analysis to appropriately price each portfolio to yield a return consistent with our APG financial targets. | EXCERPTS ON THIS PAGE:
|
| |||||||
