Massachusetts Educational Financing Authority
 | |
| Company type | Quasi-governmental |
|---|---|
| Industry | Student loans |
| Founded | 1982 |
| Headquarters | Boston, Massachusetts |
| Owner | Commonwealth of Massachusetts |
| Website | www |
The Massachusetts Educational Financing Authority (MEFA) is a self-financing, not-for-profit state-charted student loan authority created by the Commonwealth of Massachusetts in 1982.[1] The authority was created to provide fixed rate student loans and operate the Massachusetts 529 plan, U.Fund and its prepaid tuition plan U.Plan. MEFA previously participated in the Federal Family Education Loan Program and Stafford Loan program.[2] In 2018 the Commonwealth announced that starting in 2020 every child born or adopted in Massachusetts would be eligible for a $50 deposit in a MEFA U.Fund 529 plan, in a program called "SeedMA Baby".[3][4] The program was rebranded to BabySteps before launch following criticism of the name.[5][6]
Loans issued by the authority were previously serviced by Affiliated Computer Services (ACS) and are now serviced by PHEAA under its AES brand.[7] ACS was fined $2.4 million by the Massachusetts Attorney General in 2016 for mishandling repayment plans.[8] The authority was previously a member of the National Council of Higher Education Resources before ending its membership following a political dispute.[9]
References
[edit]- ^ "Audit of the Massachusetts Educational Financing Authority Overview of Audited Entity". Mass.gov. Retrieved 10 October 2024.
- ^ "MEFA: Expanding Services for Financing Higher Ed -". Campus Technology. Retrieved 10 October 2024.
- ^ MacNeill, Arianna. "What exactly is #SeedMABaby anyway?". www.boston.com. Retrieved 10 October 2024.
- ^ Napolitano, Andrew. "The First Educational Savings Program for Every Child Born in Massachusetts". www.masstreasury.org.
- ^ "Tweet of the Week: #SeedMAbaby". BostonGlobe.com. Retrieved 10 October 2024.
- ^ "From #SeedMABaby to BabySteps: State's infant college saving plan launches". www.bizjournals.com. Retrieved 10 October 2024.
- ^ "Borrower Complaints Mount Against Company That Handles Billing For MEFA Student Loans". www.cbsnews.com. 3 October 2016. Retrieved 10 October 2024.
- ^ "Company That Handles Billing For MEFA Student Loans Agrees To Pay $2.4 Million". www.cbsnews.com. 21 November 2016. Retrieved 10 October 2024.
- ^ "POLITICO Pro: Massachusetts student loan agency drops national trade group over DeVos guidance". subscriber.politicopro.com. Retrieved 10 October 2024.