NELNET : Nelnet is based on United States conglomerate that deals in the repayment and administration of student loans and other education financial services i.e., it helps in getting loans to the students. Its headquarter is in Lincoln, Nebraska. Nelnet was founded as UNIPAC Loan Services Corporation, which owns 50 subsidiaries that collect student loans. This company provides a range of products through its subsidiaries which include, customer service for student’s loan borrowers, technology related to student loan customer service, outsourcing services for guaranty agencies, tuition payment plans, education planning, enrollment-related services and higher education planning tools.
Nelnet holds over $25billion in student loans as of 2007, it is roughly one-third of all federally subsidized student loans which is currently held by students in the United States. Nelnet was founded as the UNIPAC in 1978 and renamed in 1996as Nelnet. Nelnet owns over 50 subsidiaries that administer and collect student loans throughout the United States and Canada. It collects it in different ways, such as in Tuition, infiNET, LoanSTAR, and TriCura Canada, Inc.
Nelnet has different kinds of classifications and solutions, which help students for better service. Below are few Solutions and Services:
NELNET DIVERSIFIED SOLUTION (NDS)
The Nelnet Diversified Solutions provides customer service for Nelnet student loan borrowers, outsourcing services for guaranty agencies and technology related to student loan customer service. The main NDS lines of business are Proxy, it is one of the mail NDS lines of business. A business process outsourcing company which is based in Lincoln, Nebraska and Aurora, Colorado. ND Solutions companies also have CampusGuard, Firstmark Services, GrantPro and Nelnet Loan Servicing. It has all these kinds of services available in Solutions.
NELNET ENROLLMENT SERVICES (NES)
The Nelnet Enrollment Services provides enrollment-related services, education planning and also services that give students, school, and parents access to online higher education planning tools for their better and secure future. Through this Nelnet Enrollment Services, students can search for colleges and graduate schools, learn about admissions, find scholarships, prepare for tests, and lot more. In NES, colleges and universities recruit the students with marketing strategies and enabling them to reach their enrollment goals. Enrollment includes Peterson’s publishing and Interactive, EssayEdge, and Government Services. This EssayEdge and Government Services are in the Enrollment service criteria which is one of the solution processes for the students out there in the United States which helps them bring up their respective status with their ability to achieve their goals. They must fully utilize this service to upgrade themselves in future.
NELNET BUSINESS SOLUTIONS (NBS)
This Nelnet business solution gives tuition payment plans for the students, donor services, and financial aid services to families with students attending private and faith-based K-12 schools. It not only gives to the particular situations of the students and families but also to colleges and universities in which those students get into.
Nelnet has Fact management and other subsidiaries also included for students attaining loans.
In Nelnet, FACTS Management had bought RenWeb which was in June 2014. RenWeb is the type of FACT Management which provides online school management program and mostly used over 4000 schools in private school market.
FACT Management of not only the fact for loans and services but it has other subsidiaries such as ResumeEdge, which includes ResumeBuilder. ResumeBuilder is one which offers tools, resources and professional writing of resume. Total Well-Being provides services that motivate organization’s employees to achieve health & wellness goals.
The total Well-Being Strive tracks nutrition and fitness while it provides challenges to adopting a lifestyle of wellness and it is an online fitness and wellness tracker created in-house at Nelnet and launched in early 2014. The ability to be tailored to customer’s needs, the Total Well-Being Strive tracks nutrition and fitness while providing challenges to encourage employees to adopt a lifestyle of wellness.
Here there is an HES, which is one of the solutions of Nelnet. Health Education Solution is an expert online certification course which provides in the health education field. It offers advanced cardiac life support(ACLS) and pediatric advanced life support(PALS) training and certification which is done according to the latest American Heart Association guidelines. Nelnet provides various offers related to health and other life supporting and other advanced support. Nelnet also has other companies startups which include Hudl, Nebraska Global, EyeVerify, Travefy, and MindMixer.
Nelnet has been a very important source which helps many students but it was not the smooth journey. There have been man controversies which have lead Nelnet in certain tuff situations. The below are the contrivers which speak about the Nelnet journey in different phases. It was in February 2007, New York Attorney General Andrew Cuomo launched an investigation into alleged deceptive lending practices by student loan providers, including The College Board, EduCap, Nelnet, Citibank, and Sallie Mae. The New York Times reported in August 2007 that Jon Bruning, Nebraska Attorney General, allowed Nelnet to be forgiven the $1 million settlement the company reached with Bruning in April 2007. Nelnet was accused of industry-wide kickbacks, improper inducements, and gifts from student loan providers to colleges and universities. Nelnet agreed to provide $1 million to the state support of a national financial aid awareness campaign. Bruning decided in August 2007 to forgive Nelnet it’s $1 million obligations after the company announced that it had reached a separate $2 million settlement with New York State Attorney general Andrew Cuomo.
The contribution from Nelnet is just not the only part also other contributions include such as Union Bank and also Trust Company to Jon burning. The other campaign election has Nebraska Attorney General. Nelnet has also made financial contribution to United States congressional contribution from Nelnet and Union Bank & Trust Company of $16,100 to Jon burning, Nebraska Attorney General, for his senate election campaign.
A Department of Education audit of United States revealed that from 1993 to 2007, Nelnet had utilized a loophole in federal tax legislation that allowed the company to receive a higher interest rate on specified loans, generating $278 million from taxpayers. The chronicle of the other Higher education disputed the findings of the audit through a letter written to the United States Department of Education letting them know of this loophole, and ultimately, U.S. Department of Education ruled that Nelnet would keep the $277 million. The largest student lender in the country is also listed in it.
The suit was filed by a former Department of Education researcher named Dr. Jon Oberg. Nelnet and other lenders were accused of defrauding taxpayers of billion of dollars in student loan subsidies. The largest student lender in the country, Sallie Mae, is also listed as mentioned above is a defendant in the case.
NELNET CHARITABLE GIVING:
Nelnet is one of the organizations that gives time and /or money to include Teammates, the Learn to Dream Scholarship, United Way of America, and Junior Achievement. Nelnet was formed in the year 2004. Since it has awarded more than $15 million in charitable funds to not only religion but also national charities which have played very important role in various charitable organizations. It helped many students to reach their goals. The students from various religion and also various nations. It is one of the best organizations for the students to fulfill their dreams.
STUDENTS, LEADERS CLASH OVER LOAN SUBSIDIES OF NELNET
Nelnet has been very strong and helpful meanwhile but during its phase, things went wrongs for certain students loans. As it was awarded more than $10 million in charitable funds to not only religion but also various countries. The student loan industry is about to go up against its own customers. Students loan were designed originally to encourage in the various program. Lenders and students advocacy groups are preparing to fight each other on Capitol Hill over how much the government subsidizes school loans. Heeding the battle cry, students are marching to Capitol Hill attempting to plead their causes personally. Using their long-established relationship with lawmakers to makers to make their case more privately. Students loan subsidies were designed originally to encourage lenders and guarantors to participate in the program. Student groups such as the United States Student Association and the Student Aid Alliance want to see the subsidies reduced, arguing that those federal dollars would be better spent on increasing Pell Grants to $5,100 from $4,050, the maximum amount established five years ago.