The Mercer University participates in the
William D. Ford Federal Direct Loan Program which include the Direct
Subsidized and Direct Unsubsidized Student Loans, the Direct Graduate
PLUS Loans, and the Direct Parent PLUS Loans. To a lesser extent,
private loans are also processed for students on an as needed basis. To
comply with the 2008 Higher Education Opportunity Act (enacted August
14, 2008) Mercer University adopts the following Student Loan Code of
Conduct to serve as the formal guiding principles in insuring the
integrity of the student aid process and ethical conduct of Mercer
University employees in regard to student loan practices.
1. Revenue Sharing
The term “revenue-sharing arrangement”
means an arrangement between an institution and a lender which – (i) a
lender provides or issues a loan that is made, insured, or guaranteed to
students under the Higher Education Act attending the institution or to
the families of such students; and (ii) the institution recommends the
lender or the loan products of the lender and in exchange, the lender
pays a fee or provides other material benefits, including revenue or
profit sharing, to the institution, an officer or employee of the
institution. Mercer University and its employees will not enter into any
type of revenue-sharing arrangement with any lender, guarantor or
servicer. Mercer University provides students a historical lender list
(3 (years) from which to select a lender for a private student loan. All
loans are processed without regard to lender or mode of transmission
(i.e., electronic or paper). Mercer University will neither recommend a
private loan lender nor accept material benefits including revenue or
profit sharing to the institution, an officer, or an employee of the
institution or an agent.
2. Gifts
Employees of the Offices of Student
Financial Aid and the Bursar’s Office and Student Accounts are
prohibited from soliciting or accepting any gift from a lender,
guarantor, or servicer of education loans.
- Gifts include any gratuity, favor,
discount, entertainment, hospitality, loan or other item. This
includes a gift of services, transportation, lodging, or meals,
whether provided in kind, by purchase of a ticket, payment in
advance, or reimbursement after the expense has incurred.
- Gifts to family members of a Mercer
University employee are considered to be a gift to the employee if
the gift is given with the knowledge and acquiescence of the
employee and there is reason to believe the gift was given because
of the official position of that employee.
3. Contracting Arrangements
Employees of the Offices of Student
Financial Aid and the Bursar’s Office and Student Accounts shall not
accept from any lender or affiliate of any lender any fee, payment, or
other financial benefit (including opportunity to purchase stock) as
compensation for any consulting arrangement or other contract to provide
services to a lender or on behalf of a lender relating to education
loans.
4. Preferred Lender Status
Mercer University participates in the
William D. Ford Federal Direct Loan Program which provides student and
parent loans through the U.S. Department of Education. Lenders in the
private student loan industry will not be given a preferred status.
5. Interaction with Borrowers
Mercer University will not assign a
borrower’s private student loan to a particular lender; all decisions
will be made by the borrower in his/her independent review of borrower
benefits and lender services. Further, Mercer University will not refuse
to certify, or delay certification of, any loan based on the borrower’s
selection of a particular lender or guaranty agency.
6. Opportunity Pool Loan
Mercer University will not request or
accept from any lender any offer of funds to be used for private
education loans (defined in section 140 of the Truth in Lending Act)
including funds for an opportunity pool loan in exchange for Mercer
University providing concessions or promises regarding providing the
lender with a specified number of loans made, insured or guaranteed; a
specified loan volume of such loans; or a preferred lender arrangement
for such loans.
7. Staffing Assistance
Mercer University will not request or
accept from any lender, guarantor, or servicer of student loans any
assistance with call center staffing or financial aid office staffing.
8. Advisory Board Compensation
Employees of the Offices of Student
Financial Aid and the Bursar’s Office and Student Accounts who serve on
an advisory board, commission, or group established by a lender,
guarantor, or group of lenders or guarantors, are prohibited from
receiving anything of value from the lender, guarantor, or group of
lenders or guarantors, except that the employee may be reimbursed for
reasonable expenses incurred in serving on such advisory board,
commission, or group.
