CSU, Chico Code of Conduct for LoansAs an institution that participates in various Title IV loan programs, CSU, Chico is required by regulations to develop, publish, administer, and enforce a code of conduct with respect to its administration of these Title IV loan programs. This code of conduct applies to the officers, employees, and agents for CSU, Chico. CSU, Chico MUST NOT:
- Participate in any revenue-sharing arrangements with any lender. A revenue-sharing arrangement is where CSU, Chico recommends a particular lender or its products to a student and receives a fee or other material benefits;
- Allow employees of the CSU, Chico’s financial aid office or other employees and agents with educational loan responsibilities to receive gifts from a lender, guaranty agency or loan servicer. A “gift” is defined as any gratuity, favor, discount, entertainment, hospitality, loan or other items having monetary value of more than a de minimus amount;
- Engage in any contracting arrangements. No officer or employee of CSU, Chico’s financial aid office or other employees and agents with educational loan responsibilities may accept from a lender, or an affiliate of any lender, any fee, payment, or other financial benefits as compensation for any type of consulting or contractual arrangements;
- Steer borrowers to particular lenders or engage in delaying loan certification. For any first-time borrower, CSU, Chico must not assign, through any method, the borrower’s loan to a particular lender. In addition, it must not refuse to certify, or delay certification of any loan based on the borrower’s selection of a particular lender or guaranty agency;
- Engage in offers of funds for private loans. CSU, Chico must not request or accept from any lender any offer of funds for private loans to students in exchange for providing concessions or promises to the lender for a specific number of Title IV loans made, insured, or guaranteed, a specified loan volume, or a preferred lender arrangement.
- Accept any staffing assistance. It may not request or accept from any lender any assistance with call center staffing or financial aid office staffing. The exceptions are when a lender provides professional development training, educational counseling materials, or staffing services on a short-term, nonrecurring basis during emergencies or disasters ‘
- Accept compensation for participating on advisory boards. An employee of CSU, Chico’s financial aid office or other employees and agents with educational loan responsibilities who serves on an advisory board, commission, or group established by a lender or guarantor is prohibited from receiving anything of value from the lender, guarantor, or group, except for reimbursement for reasonable expenses incurred by the employee for serving on the board.