TG Eliminates Guarantee Fee

Texas Guaranteed Student Loan Corporation (TG) will eliminate all guarantee fees until further notice for Federal Stafford and PLUS (Parent) loans guaranteed on or after July 19, 1999. The guarantee fee waiver lowers the cost to TG borrowers participating in the Federal Family Education Loan Program (FFELP).

On May 10, 1999, TG waived its guarantee fee for graduate, professional, and four-year undergraduate students. The guarantee fee was reduced to one-half percent for students at two-year postsecondary schools and remained at one percent for proprietary school students. This most recent action by TG now brings the guarantee fee to zero for all TG borrowers.

"We are interested in maintaining and enhancing the level of service and satisfaction to the schools and students we serve. Our personal approach of actively listening and responding to the needs of the schools with which we partner has provided TG with the privilege of serving over 80 percent of the Texas student loan market. Our decision to waive the guarantee fee was done in part to ensure that TG protects its ability to continue to serve the families and students of Texas. We have guaranteed loans since 1981 in Texas and are determined to provide the quality personal service that student loan borrowers and business partners have come to expect and trust us to deliver," said Milt Wright, TG President and CEO.

Questions
Questions about TG's guarantee fee waiver should be addressed to Vickie Tanner, Assistant Vice President of TG Customer Services at (800) 252-9743, ext. 4526.