Nicholls State University Student Loan Code of Conduct serves as the formal guiding principles in ensuring integrity of the student loan process and ensures the ethical conduct of Nicholls State University employees in regard to student loan practices.
Nicholls State University participates in the William D. Ford Federal Direct Loan Program through the U.S. Department of Education. This program includes Direct Subsidized, Direct Unsubsidized and Direct Parent PLUS loans.
Nicholls does not maintain a preferred lender list for private student loans nor does it recommend any private lender. All decisions concerning private education loans will be made by the borrower based on his/her independent review of lender benefits and services. Our office will not refuse to certify or delay certification of any private education loan based on the borrower’s selection of a particular lender.
Nicholls State University will not enter into any revenue-sharing arrangement with any loan provider. This is defined as any arrangement between a school and a lender that results in the lender paying a fee or other benefits, including a share of the profits, to the school, its officer, employees or agents, as a result of the school recommending the lender to its students or families of those students.
Employees of the Nicholls State University Office of Financial Aid are prohibited from receiving gifts from any lender, guaranty agency or loan servicer. Exceptions related to specific types of activities or literatures include the following:
- Brochures or training material related to default aversion or financial literacy.
- Food, training or informational materials as part of training as long as the training contributes to the professional development of those individuals attending the training.
- Favorable terms and benefits to the student employed by the institution as long as those same terms are provided to all students at the institution.
- Entrance and exit counseling as long as the institution’s staff are in control and they do not promote the services of a specific lender.
- Philanthropic contributions from a lender, guaranty agency or servicer unrelated to education loans.
- State education, grants, scholarships or financial aid funds administered by or on behalf of the State.
Employees of the Office of Financial Aid shall not accept from any lender or affiliate of any lender any fee, payment or other financial benefit 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.
Assignment of Lenders
Nicholls State University will not, for any first-time borrower, assign, through award packaging or other methods, the borrower’s private loan to a particular lender. Nicholls State University will not refuse to certify, or delay certification of, any loan based on the borrower’s selection of a particular lender offering private educational loans or guaranty agency.
Prohibition on Offers of Funds
Nicholls State University will not request or accept from any lender any offer of funds to be used for private education loans including funds for an opportunity pool loan in exchange for providing concessions or promises to the lender for a specific number of loans, or inclusion on a preferred lender list.
Nicholls State 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.
Advisory Board Compensation
Employees of the Office of Financial Aid who serve on any advisory board, commission or group established by a lender, guarantor or student loan servicer are prohibited from receiving anything of value from the lender, guarantor or loan servicer for serving in this capacity, except that an employee may be reimbursed for reasonable expenses incurred while serving in this capacity.
Staff who fail to follow these guidelines will be subject to disciplinary action.