EdFinancial Services

From Wikipedia, the free encyclopedia
Jump to: navigation, search

EdFinancial Services provides student loan servicing for 15 of the nation's top 100 lenders, including regional and national banks, secondary markets, state agencies and other student loan providers. It is headquartered in Knoxville, Tennessee.

In 1988, CEO Tony Hollin launched Edsouth, the precursor to EdFinancial Services, in Knoxville. With the backing of local underwriters, Hollin spent six years steadily building the company, going bank to bank buying student loans.

Instead of marketing predominantly to students like some of its competitors, it used a business-to-business strategy and communicates directly with financial aid administrators. The strategy worked, with a 70% annual growth rate over a five-year period, and an increase from $3 million to $35 million in annual revenue.

In 2002, the company launched eCampusTours.com, which purportedly claims to "allow students to search online for colleges"[ambiguous]. The website featured 360° by 360°[ambiguous] virtual college tours of more than 11,000 college campuses[ambiguous], allowing students to see campus life through IPIX virtual tours.[ambiguous]

In 2012, Edfinancial was awarded a contract by the US Dept. of Education to service student loans made under the Direct Loan Program.


Before a corporate restructuring of the nonprofit student loan servicing organization, Tony Hollin claimed to work fifty hours a week from two different subsidiaries. But he isn't alone in the student loan industry.

The Chronicle of Higher Education (Paul Baskin) shed light on one of the more striking cases of double dipping documented in federal Form 990s in its report on abuses in the student loan industry (no subscription required).

In 2004, William A. Hollin (known as Tony Hollin) was the chairman and CEO of an organization called Educational Funding of the South (EIN 58-1757969 Form 990), which goes by the name of Edsouth. The organization, based in Knoxville, Tennessee, provided student loans mostly in the southeast US, and had income of over $150 million.


External links[edit]