History

For fourteen years after President Lyndon Johnson signed into law the Higher Education Act of 1965, Texas students had very little access to the guaranteed student loans provided by the law. Liquidity was scarce for the loans, and lenders were reluctant to make them without it. This void was the impetus for the formation of NTHEA. By providing a secondary market for the loans, we have assured lenders of a constant supply of funds for making new loans.

Our program is funded primarily through the issuance of tax exempt bonds, with the first issue being sold in June 1979. Since inception in 1978, our assets have steadily grown from $10 million to over $1 billion today.

Through our secondary market program, we have purchased thousands of loans and assisted thousands of students in achieving their goals of obtaining a higher education.