Fynanz Inc., a financial technology company that developscustomized private student lending solutions and powers thecuStudentLoans.org private student loan marketplace, has marked amilestone, partnering with its 80th credit union to power itsstudent lending platform.

Sandia Laboratory FCU has partnered with Fynanz Inc. to be theprovider of a turnkey private student lending solution for its61,000 members. The program is tailored to the product and creditrequirements of the Albuquerque-based CU.

“The private student lending solution for Sandia LaboratoryFederal Credit Union is a custom program,” said Vince Passione,Fynanz CEO/founder. “The team at Sandia is currently working withour sales and implementation organization on defining the programparameters. This customer solution will allow the credit union todevelop a specific program that is suitable for their members,which will include pricing-both rate and index, credit criteria,payment options while in school, as well as a number of borrowerbenefits once the student graduates. “

Robert Chavez, executive vice president/chief operating officerof the $1.5 billion CU is pleased to be able to offer new studentlending options for its members.

“The Fynanz programs offer more competitive interest rates and awider variety of features than we're able to provide internally,”Chavez said. “We think this partnership will be a win-win situationboth for members and for the credit union.”

Before partnering with Fynanz, Sandia Laboratory FCU had aprivate student lending program that enabled students to borrow upto $40,000 for college expenses, Passione said.

Fynanz is now the exclusive student lending solution for 16customized credit union programs, along with 64 credit unionpartners that are part of the cuStudentLoans.org marketplacethrough the EdAccess private student loan offering, which poolscredit union funds to share loan risk and increase marketreach.

Perhaps what makes Fynanz's student lending program unique, andwhat has led to the company now having 80 CU lending partners, isthat it offers its credit union partners a simple andcost-effective way to give their members private student loans,Passione said.

“Our unique technology platform provides an underwritingsolution that utilizes classic credit criteria along with thestudent's academic performance and class standing,” Passione said.“In addition, Fynanz was one of the first servicers to initiate anin-school payment program that allows the borrower to start payingdown some of the interest while in school and begins building goodrepayment habits early for these students.”

When Fynanz works with credit unions as their exclusive studentlending solution, it works very closely with the CU partners onprogram development, rollout and implementation, Passione said.

“The relationship is very collaborative where the credit unionsoffer suggestions regarding program enhancements and productchanges,” he said. “Our marketing programs are very extensive andwe do spend quite a bit of time with our partners in development ofboth borrower- and school-marketing initiatives.”

With Fynanz's CU partners that are part of thecuStudentLoans.org marketplace through the EdAccess private studentloan offering, the program is a little different.

“This program is a cooperative program that has brought togetherover 60 credit unions across the county who are offering the sameEdAccess Private Student Loan,” Passione explained. “The program'sunderwriting and pricing is exactly the same and is managed by thestudent-lending CUSO. This CUSO is made up of credit unionexecutives who have experience in private student lending andoffering their expertise to their peers in order to gain broadawareness for credit unions with existing and new members who aresearching for a private student loan. To date the program hasbrought over 3,000 new members to these participating creditunions.”

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