Nellie Mae

DEFINITION of 'Nellie Mae'

A non-profit organization that provides education loans in the United States. Nellie Mae was founded in Massachusetts and is the largest non-profit provider of student loans in the United States, helping student across the country pay for their education. It has been a wholly owned subsidiary of SLM Corporation, known as Sallie Mae, since 1999.


Nellie Mae stands for New England Education Loan Marketing Corporation.

BREAKING DOWN 'Nellie Mae'

Nellie Mae was created in order to purchase student loans, securitizing them to be sold off to investors. Student loans were guaranteed by the Federal Family Education Loan Program (FFELP), with further financial backing by the U.S. Department of Education (DOE).

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RELATED FAQS
  1. Are Sallie Mae loans considered federal loans?

    Identify the differences between federal and private student loans, explore the qualities of each type of loan, and find ... Read Answer >>
  2. Can Sallie Mae loans be forgiven?

    Understand the difference between private and public student loans. Learn if Sallie Mae loans can be forgiven and if other ... Read Answer >>
  3. How can I find out what Sallie Mae's interest rates are?

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  4. Do Sallie Mae loans go directly to your school?

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  5. How does Sallie Mae disburse funds?

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  6. Why are private student loans generally more expensive than federal loans?

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