Private Education Parent Loans

Help Your Student Pay for College with a Parent Loan

If you’re a parent, family member or other creditworthy individual interested in paying for a student’s higher education expenses, a Greater Texas/Aggieland Parent Loan through our partner Higher Education Servicing Corporation (HESC) may be the answer you’ve been looking for! 

With competitive fixed interest rates, a variety of repayment terms and options and valuable borrower benefits, this Parent Loan is a great, low-cost loan option to help a student achieve their higher education dreams without breaking the bank.

Learn more about the Parent Loan program features, benefits and repayment options below.

 

Parent Loan Program Features

  • Repayment of the loan is the sole responsibility of the borrower; the student holds no responsibility to the loan
  • Competitive Fixed APRs ranging from 2.96% (with Auto Pay Discount5) to 7.60% APR2
  • Borrow from $1,000 to $65,000 annually. Loans can even be used for past due balances.Loans are certified by the school and may not exceed full cost of education minus other financial aid.
  • Maximum aggregate loan limit is $150,000, inclusive of all student loan debt
  • Satisfactory Academic Progress (SAP) not required
  • No application or origination fees
  • Complete your loan application online in as little as 15 minutes – initial credit decisions are typically made within minutes1

 

Benefits

  • .25% interest rate reduction for auto-debit payments5
  • Death Forgiveness for student beneficiary4
  • Discharge for Total and Permanent Disability6

 

Repayment

  • Choose from three repayment options: Immediate, Interest-Only or Fully Deferred Repayment5
  • Choice of 5, 10 or 15 - year repayment term

 

Eligibility

  • The student beneficiary must be enrolled at least half time in a degree-granting program (as certified by the school) at an approved school
  • The borrower must be a permanent resident of Texas
  • The borrower must be at least eighteen years old at the time of the loan application
  • The borrower must meet certain income requirements and must submit verification of current income
  • The borrower must be United States citizen/national or lawful permanent resident alien of the United States


What You'll Need to Apply

  • Bio/Demo Information
  • Employment History
  • Financial Information
  • Student Beneficiary’s Bio/Demo Information
  • Student Beneficiary’s School Information
  • Reference

 

Start Your Application Today

Completing the online loan application is easy and takes as little as 15 minutes!  We make the process so easy, you can invite a cosigner with a few simple clicks, mix and match loan options, and compare loan scenarios to find the best loan for you.

Greater Texas Apply Now       Aggieland Apply Now

 

And don't worry, if you don't have all of the necessary information to complete your application, we'll save it (securely) for you.

 

Disclosure

The Greater Texas Credit Union Private Student and Parent Loans and Aggieland Credit Union Private Student and Parent Loans are funded and serviced by Higher Education Servicing Corporation (HESC), a non-profit Texas corporation.  If you choose to submit a loan application, you will be contracting directly with HESC and not Greater Texas Credit Union or Aggieland Credit Union.  HESC will determine if you qualify for the loan, including the amount and terms that may be offered to you.  HESC will be your lender and servicer, subject to the terms and conditions of your student loan contract with HESC.


Important Notice

We highly recommend students apply for and utilize all federal student aid programs through the Free Application for Federal Student Aid (FAFSA) at www.fafsa.gov prior to applying for any private education loan.


HESC Customer Service:
M-F, 8am to 5pm CT
1-877-817-9158
info@hescloans.com


Frequently Asked Questions

Loan Information and Details

  • The minimum loan amount is $1,000 and the maximum you can borrow is determined by the school you are attending, but is limited to the lesser of your cost of attendance less other aid or $65,000.
  • No, there are no origination or disbursement fees.
  • The initial credit review considers all of the information you and your cosigner (if applicable) provide during the application process, and the information obtained from your credit report. If you pass the credit review, we will need to receive your income verification, school certification, and Applicant Self-Certification Form before final loan approval.

Credit History and Information

  • The credit check serves two main purposes. First, it is used to verify the identity of all people signing the application. Second, it's used for qualification purposes and helps us offer you the best pricing we can based on your credit history.
  • Students can apply with a cosigner to help meet creditworthiness guidelines and increase their chances of passing the initial credit review. If a student does not have credit history, we recommend applying with a cosigner who does.

Application Details and Instructions

Personal and Financial Information

  • U.S. Citizen - A person who was born in the United States, including the lower 48 states, Alaska, Hawaii, Puerto Rico, Guam, and the U.S. Virgin Islands; or who became a citizen through naturalization; or who was born outside the United States to U.S. Citizen parents under qualifying circumstances (derivative citizenship) and who has not renounced U.S. citizenship.

    Permanent Resident - Any person not a citizen of the United States who is residing in the U.S. under legally recognized and lawfully recorded permanent residence as an immigrant. Also known as "Permanent Resident Alien," "Lawful Permanent Resident," "Resident Alien Permit Holder," and "Green Card Holder."

  • Your permanent address is the location that you consider to be your primary place of residence (like your parents' or guardian's address). Your mailing address is wherever you want to receive all of your loan documents.
  • We use your Social Security number to verify your identity and to check your credit history.
  • We need a personal reference as an additional means of contacting you during the servicing of your loan. If we are not able to reach the student or cosigner on the loan we will contact your personal reference.
  • Your reference can be anyone over the age of 18, as long as he or she is not living at the same address as you. If you are applying with a cosigner, you cannot use him or her as your reference, nor can your reference live at the same address as your cosigner. Lastly, you and your cosigner cannot use the same reference.
  • Primary sources of income typically reflect employment earnings, but may also come from other sources such as retirement or rental income.
    Higher Education Servicing Corporation administers its loan programs under the authority provided to it in Chapter 53B of the Texas Education Code, which limits our program to serve only Texas residents.

Loan Repayment

  • No, you can pay your loan off early regardless of your repayment terms without any penalty. You will only be charged the amount of interest that has accrued on the loan until the day the loan is paid off.
  • Making payments of any type during the in-school period can significantly reduce the total cost of your loan. If you select a repayment type that requires an in-school payment, all payments must be made on time during the in-school period.


Disclaimers

Program Disclosures

1) The initial credit review is based on review of all the information the borrower provides during the application process and the information obtained from their credit report. If the borrower passes the initial credit review, they will need to provide acceptable documentation such as income verification and Applicant Self-Certification Form and we will need the certification from the student beneficiary's school before the final loan approval.


2) The current fixed interest rates range from 3.21% to 8.26% in effect as of 06/27/2022. The fixed interest rate and Annual Percentage Rate (APR) may be higher depending upon (1) the student’s and cosigner’s (if applicable) credit histories (2) the repayment option and loan term selected, and (3) the requested loan amount and other information provided on the online loan application. If approved, applicants will be notified of the rate qualified for within the stated range. APRs range from 2.96% (with Auto Pay Discount 5) to 7.60%. Lowest rates are only available for the most creditworthy applicants. The APR reflects the estimated total cost of the loan, including upfront fees, accruing interest and the effect of capitalized interest. The APR examples (lowest and highest) assume a $10,000 loan disbursed over two transactions. The lowest current APR, based on a 5-year repayment term (60 months), an immediate repayment plan, monthly principal and interest payments of $179.49, has a 2.96% interest rate which includes a 0.25% interest rate reduction for payments via auto pay 5. The highest current APR, based on a 15-year repayment term (180 months), a deferred repayment plan with a deferment period of 60 months upon initial disbursement, a six-month grace period before repayment begins, monthly principal and interest payments of $139.82, has a 8.26% interest rate. The fixed interest rate assigned to a loan will never change except as required by law or if you request and qualify for the ACH reduction benefit. Repayment terms and options available may vary depending upon the amount borrowed.


3) Program loans may be used to cover educational expenses for academic periods that end up to 90 days prior to the application date.


4) If the student beneficiary should die while enrolled at least half-time at an eligible institution, and the Loan is not in default, the Borrower will be released from the Loan and the Servicer shall write down any outstanding principal and accrued interest balance on the Loan to a zero balance if the Servicer receives acceptable proof of death and proof of enrollment at an eligible institution at the time of the student beneficiary’s death. If the student beneficiary dies and the Loan does not qualify to be written down to zero, the Servicer will inactivate the student beneficiary record on the Loan and continue servicing the Loan in accordance with the Credit Agreement as the Borrower is still obligated to the debt. If the Borrower dies, the Loan will become a charge off Loan. The Servicer may attempt to file a claim against the Borrower’s estate for any unpaid debt under this Credit Agreement. Any payments received from the Borrower’s estate, less collection costs, will be applied to all applicable Loan(s). If the Borrower is released from obligations under this section, no refund will be paid for prior payments made on the Loan.


5) An interest rate reduction of 0.25% is available for borrowers who make monthly electronic funds transfer (EFT) payments of principal and interest from a savings or checking account. To qualify, the borrower needs to arrange with the loan servicer to automatically deduct monthly principal and interest payments from a bank account. The automatic payment benefit may be discontinued and be lost for the remaining repayment period in the event any three payments are returned for insufficient funds over the life of the loan. This benefit is not available for interest payments made during the deferment period for the Interest Only Repayment option. This benefit may be terminated during deferment and forbearance periods, but can be re-established if borrower reapplies at the end of the deferment or forbearance period.


6) In the event a Borrower becomes Totally and Permanently Disabled, the Borrower, or his/her representative, may contact the Servicer by phone or mail to request information regarding the Lender’s Total and Permanent Disability (TPD) discharge. Any Loan that has not previously become a charged off Loan or that is not currently in default may be discharged due to the Borrower’s Total and Permanent Disability, as defined by the Lender’s TPD Terms and Application. The definition of TPD, the application form for a TPD discharge, the required supporting documentation, and other terms, limitations, conditions and requirements for a TPD discharge (“TPD Terms”) can be obtained by contacting the Lender or Servicer by phone or mail. The Servicer must receive a completed TPD Application within the timeframe stated within the application that complies with the requirements set forth by the Lender for a Loan to be discharged. If the Borrower meets the TPD requirements set forth by the Lender, the Servicer shall write off any outstanding principal and accrued interest balance on the Loan to a zero balance. For additional information regarding TPD or to request an application, contact the Loan Servicer.