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College Loans
The Fortune 500 company still buys college loans from banks, bundling them into securities for sale on Wall Street. Sallie Mae now also competes with banks by making most of its federally guaranteed loans directly to students. Sallie Mae has some $52 billion in assets and more than 7,000 employees nationwide. It also makes loans for study by adults, runs loan-collection agencies and sells technical products and services to colleges and universities. In May 1999, it bought New England-based Nellie Mae, the seventh-largest holder of federally backed student loans. The 529 prepaid tuition plan became part of Section 529 of the Internal Revenue Code in 1996. Prepaid tuition plans are just what they sound like: Your investment buys a given number of tuition credits at a public college or university at today's prices. The Coverdell ESA (the old Education IRA program) is the most popular alternative to the 529 plan. While assets in a Coverdell also grow tax-free (and can also be used to pay for qualified elementary and secondary school expenses), there's a $2,000 annual contribution limit.
Whether buying or selling a vehicle, first check KBB (Kelley Blue Book), Black Book, Red Book, or the NADA Used Vehicle Guide. For complete information on all your financial needs, turn from college loans to the Loan homepage.  College Loans.
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