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Higher Education Servicing Corporation administers its Texas Extra Credit Education Loan program under the authority provided to it in Chapter 53B of the Texas Education Code, which limits our program to serve only Texas residents.

The lender for the Texas Extra Credit Education Loan program is Higher Education Servicing Corporation, a Texas-based, nonprofit organization established in 1978 to ensure Texas students and families have access to low-cost education loans in order to achieve a higher education. Higher Education Servicing Corporation may sell its loans to its sister organization North Texas Higher Education Authority, Inc. Loans sold to North Texas Higher Education Authority, Inc. will continue to be serviced by Higher Education Servicing Corporation.

The minimum loan amount is $1,000 and the maximum you can borrow is determined by the school you are attending, but is limited to your cost of attendance less other aid.

No, there are no application, origination or disbursement fees.

The Texas Extra Credit Education Loan program is only available for Title IV eligible institutions that offer a Bachelor’s degree or higher.

Yes, you can borrow funds to cover the cost of housing and meal plans; however, your school must certify your loan application indicating you are eligible to receive the loan amount requested.

Higher Education Servicing Corporation reviews interest rates on a quarterly basis to determine if changes are needed; however, they hold the right to review/update interest rates at any time.

All funds are sent directly to your school. Once your tuition and fees (and any other amount you may owe the school) are satisfied, any excess funds will be disbursed to you by the school.

The credit check serves two main purposes. First, it is used to verify the identity of all people signing the application. Second, it's used for qualification purposes and helps in determining the interest rate to be offered based on your credit history.

The initial credit review considers all of the information you and your cosigner (if applicable) provide during the application process and the information obtained from your credit report. If you pass the credit review, you or your cosigner (if applicable) must provide documentation verifying your income. Additional information such as proof of identity may also be requested. The student borrower must also submit an Applicant Self-Certification Form and the loan must be certified by the student’s school before final loan approval.

Students can apply with a credit-worthy cosigner to help meet the credit criteria and increase their chances of being approved for a loan. If a student does not have credit history, they must apply with a cosigner who does.

A cosigner is not required if you meet the income and credit criteria. A cosigner’s income, FICO score and credit history may help you qualify for a Texas Extra Credit Education Loan. The cosigner may be released after the first 24 consecutive on-time payments of principal and interest are made on the loan.⁶

We suggest you exhaust all Federal Aid, grants and scholarships before applying for this loan. However, completion of the FAFSA is not a requirement to receive a Texas Extra Credit Graduate Loan.

The loan application must be completed online to be accepted for review. If you are unable to sign your application electronically, it can be faxed or mailed to HESC or uploaded through your online account with HESC.

The approval process can take from 1 or 2 business days depending on how quickly you’re able to submit all required documentation. Once the loan has been approved and you have signed the loan application, HESC will send your school a request to certify the loan. It normally takes schools anywhere from 8 to 12 business days to complete the certification depending on the time of the year.

We recommend that you begin the application process at least 30 days before the semester begins – this should allow for ample time to complete the application and submit any required documentation.

U.S. Citizen - A person who was born in the United States, including the lower 48 states, Alaska, Hawaii, Puerto Rico, Guam and the U.S. Virgin Islands; or who became a citizen through naturalization; or who was born outside the United States to U.S. Citizen parents under qualifying circumstances (derivative citizenship) and who has not renounced U.S. citizenship.

Permanent Resident - Any person who is not a citizen of the United States and who is residing in the U.S. under legally recognized and lawfully recorded permanent residence as an immigrant. Also known as "Permanent Resident Alien," "Lawful Permanent Resident," "Resident Alien Permit Holder" and "Green Card Holder."

Your permanent address is the location that you consider your primary place of residence (like your parent's or guardian's address). Your mailing address is wherever you want to receive all of your loan documents.

Your Social Security number is used to verify your identity and to check your credit history.

A personal reference is needed as an additional means of contacting you during the servicing of your loan. If HESC is not able to reach the student or cosigner on the loan, they will contact your personal reference.

Your reference can be anyone over the age of 18, as long as he or she is not living at the same address as you. If you are applying with a cosigner, you cannot use the cosigner as your reference, nor can your reference live at the same address as your cosigner. Lastly, you and your cosigner cannot use the same reference.

Primary sources of income typically reflect employment earnings, but may also come from other sources such as retirement or rental income.

No, you can pay your loan off early regardless of your repayment terms without any penalty. You will only be charged the amount of interest that has accrued on the loan until the day the loan is paid off.

Making payments of any type during the in-school period can significantly reduce the total cost of your loan. If you select a repayment option that requires an in-school payment, all payments must be made on time during the in-school period.

In general, interest will capitalize at the end of the grace period following an initial deferment or following any subsequent deferment period, if any, or forbearance unless otherwise noted in the Credit Agreement. For Borrowers that have elected the Immediate Repayment option, interest that accrues between the first disbursement and the final disbursement will be capitalized the day after the final disbursement. For Borrowers who have elected the Interest Only or Full Deferment Repayment Option, interest that is accrued and unpaid will be capitalized as of the last day of the grace period. Interest is also capitalized upon default. In all cases, capitalized interest is thereafter considered part of the principal, and interest will accrue on the new principal balance. Complete interest capitalization rules are contained in the Credit Agreement.