Code of Conduct for Educational Loans
McDaniel College has always been committed to the highest standards of professional conduct and ethical behavior. We recognize that ensuring the integrity of the student financial aid process is critical to providing fair and affordable access to higher education. With the Reauthorization of the Higher Education Act of 1965, Congress has required that all colleges post a Code of Conduct relating to financial aid, private lending, and student choice. Accordingly, the staff in the Financial Aid Office herein confirms that we adhere to the following sound practices.
I. College employees do not receive any personal benefits from Lending Institutions
No member of the Financial Aid Office staff will accept anything of more than nominal value on his or her behalf or on behalf of another person or entity from any Lending Institution. For example, cash, stocks, gifts, entertainment, expense-paid trips, etc. will never be accepted from a Lending Institution. Likewise, an individual will never accept payment or reimbursement from a Lending Institution for lodging, meals, or travel to conferences or training seminars.
II. The College does not provide any advantage to a Lending Institution
The staff in the Financial Aid Office does not accept anything of value from any Lending Institution in exchange for any advantage or consideration provided to the Lending Institution related to its student loan activities, including but not limited to revenue-sharing, printing costs, or below-cost computer hardware or software. Likewise, the College does not allow any Lending Institution to staff the Office of Financial Aid.
III. The College makes appropriate use of any Preferred Lender Lists
The selection of Lending Institutions for inclusion on the private/alternative loans Preferred Lender List is based solely on the best interests of college students and their parents without regard to the financial interests of the College. We abide by the following:
Students and their parents are free to select the Lending Institution of their choice for private/alternative loans and will suffer no penalty imposed by the College from using a Lending Institution that is not a “Preferred Lender.”
Students and their parents are not required to use any of the College private/alternative loan “Preferred Lenders” and may borrow through any lender or guarantor they choose.
The College does not assign a borrower’s loan to a particular lender and will certify all loans based on a borrower’s selection of a lender.
IV. College employees do not serve on lender advisory boards for remuneration
No officer, trustee, or employee of the College who makes financial aid decisions for the College or who is employed in, supervises, or otherwise has responsibility or authority over the Financial Aid Office will receive any remuneration for serving as a member or participant on a student loan advisory board of a Lending Institution, or receive any reimbursement of expenses for such service.