NTHEA Borrower Savings Program

Stafford and PLUS loan borrowers whose loan(s) are first disbursed on or after July 1, 2008 may be eligible for the following benefit.

.25% Interest Rate Reduction for Auto Debit – Sign up for auto debit through our servicing agent and receive an immediate .25% interest rate reduction.*

* Applies to all Stafford and PLUS loans first disbursed on or after July 1, 2008. Borrower must be in repayment status to be eligible for the auto debit interest rate reduction. NTHEA reserves the right to change or discontinue its benefit(s) at any time without notice, but previously qualified loans will not be affected. Other terms and conditions may apply.

NOTE: Due to recent federal legislation, NTHEA altered its benefits that would have been offered for Stafford and PLUS loans first disbursed on or after 7/1/2008. NTHEA is no longer offering its Early Loan Forgiveness (ELF) Program and has reduced its Interest Rate reduction benefit for Auto Debit from .30% to .25%. If you have any questions regarding this change, please feel free to contact us at 1-800-366-4372.

Stafford and PLUS loan borrowers who had loans first disbursed or entered repayment status between July 1, 2007 through June 30, 2008 may be eligible for the following benefits.

1. Interest Reduction - After leaving school, sign up for auto debit through our servicing agent and receive an immediate .75% interest rate reduction.1

2. Principal Reduction - Make on-time payments and receive up to 6% in total principal reductions - 1% after 12 months, 2% after 24 months and an additional 3% after 36 months of on-time payments.1

3. Loan Forgiveness - Pay your combined account balance down to less than $600 and your balance will be forgiven with our Early Loan Forgiveness (ELF) Program.2

SAMPLE SAVINGS
AMOUNTS:3
Original
Loan Amount		 Approximate
Savings
$7,500 $1,634
$15,000 $2,669
$25,000 $4,050
$50,000 $7,500

1. The NTHEA savings program applies to all Stafford and PLUS loans that are first disbursed or enter repayment status on or after July 1, 2007 through June 30, 2008 (excluding consolidation loans). Borrower must be in repayment status to be eligible for the auto debit interest rate reduction. Principal reductions are calculated on the total principal amount outstanding after the 12th, 24th and 36th full scheduled qualifying payment is made. NTHEA reserves the right to change or discontinue the program at any time without notice, but previously qualified loans will not be affected. Other terms and conditions may apply.

2. The Early Loan Forgiveness (ELF) program applies to all loans with NTHEA (excluding consolidation loans whose applications are received on or after 1/1/08). The ELF program is limited to one benefit per borrower, and borrower must be in repayment to be eligible. NTHEA reserves the right to discontinue or make changes to the ELF program at any time without notice, but previously qualified loans will not be affected. Other terms and conditions may apply.

3. Savings are based on a 6.80% Stafford loan, 10-year repayment term, standard repayment plan, participation in auto debit through our servicing agent and the maximum ELF benefit. Savings are applied to the principal balance outstanding so that payment amounts will not change, but the repayment period is shortened; however, the option to lower monthly payments is available. NTHEA reserves the right to change or discontinue the program at any time without notice, but previously qualified loans will not be affected.