ReliaMax to Service $73 Million of Private Student Loans for MetaBank
ReliaMax recently announced that it will service and insure $73 million in private loans for MetaBank. This does not come as a big surprise to many in the student loan industry as the two companies have previously worked together. In 2016, MetaBank selected ReliaMax to service and insure their $151 million student loan portfolio.
When commenting on the transaction, Metabank CEO J. Tyler Haahr praised ReliaMax’s model of service. He said the company has been pleased by the performance of their student loan portfolio since partnering with ReliaMax last year. Haahr added that through their work with ReliaMax, the company has been able to “diversify our loan portfolio and generate reliable returns in this asset class, while reducing our risk with insurance.”
According to ReliaMax CEO Michael VanErdewyk, this latest deal brings the company’s private student loan channel to $340 million. VanErdewyk added, “This marks our 12th deal since the inception of our portfolio channel. This year alone, we’ve closed five deals for more than $108 million.”
This latest deal with MetaBank helps further solidify ReliaMax’s role as a leader in the private student loans industry. Current MetaBank customers shouldn’t see any significant changes to their existing loans for the time being. It remains to be seen how this will affect the average borrower.
Located in Sioux Falls of South Dakota, ReliaMax is a fully-integrative student loan servicing platform for banks and alternative lenders. Their unique, full-service solution for their clients includes borrower acquisition, origination, servicing, insurance, and portfolio liquidity.
ReliaMax’s technology is designed to make it easy for banks and other lenders to enter the private student loan market. And because their service is designed exclusively for private student loans, they don’t encounter many of the same restraints as lenders who service federal and consumer loans.
Currently, they serve more than 450 active lenders. VanErdewyk has referred to the company as the “Uber of private student loans today,” adding that, “Nobody has built a model like what we have in the private student loan space.”
ReliaMax has over 20 years of data in loan analytics and survived five economic downturns. They have a number of superior servicing options and provide only one loan specialist to work with the borrower until the loan is paid off. And the average ReliaMax loan specialist has more than 15 years of experience.