Loan Program Participation Change
M&T Bank and HSBC have recently announced that they will no longer be participating in the Federal Stafford Student Loan/Parent Loan programs. Students (or parents) who have borrowed from one of these banks in the past will be required to choose a new lender for their future Federal Student/Parent Loan borrowing needs.
M&T Bank’s decision to no longer participate in the Federal Stafford Student Loan/Parent Loan programs will take effect on April 1, 2008; HSBC’s decision will take effect May 31, 2008. Both banks are expecting to send a letter to their student and parent borrowers with more details.