Montana Higher Education Student Assistance Corporation

Name

Montana Higher Education Student Assistance Corporation

Legal name

Montana Higher Education Student Assistance Corporation

Website

https://mhesac.org

Company type

Private

Founded year

1983

Operating status

Operating

Headcount range

1–10 employees

Ownership category

akta.pro rank

Product category

Education Loan Servicing

NAICS

Educational Services (611), Educational Support Services (61171)

SIC

Personal Credit Institutions (6141), Miscellaneous Business Credit Institution (6159)

akta.pro primary industry

Student Loan Programs & Servicers (Public/Nonprofit) (EDADAHAE)

akta.pro secondary industry

Government Student Financial Aid Agencies (EDADAHAA)

Keywords

• Student loan secondary market
• FFEL program loans
• Higher education financing
• Borrower benefit programs
• Nonprofit loan servicing

Headquarters

HQ city

Helena

HQ country

United States

HQ region

North America

Offices1 record

Markets served

GTM type

B2C

Offering type

Services

Cost components

Operations, Personnel, Infrastructure, Others

Revenue model

1. FFEL Student Loan Secondary Market: MHESAC purchases Federal Family Education Loan (FFEL) Program student loans made to Montanans through its FFEL student loan secondary market activity and Montana FFEL student loan origination activities. The organization also purchases federally guaranteed rehabilitated education loans.
2. Bond Issuance: The 501(c)(3) not-for-profit issued both tax-exempt and taxable bonds prior to 2010 and in 2012 restructured its entire bond portfolio into taxable bonds to fund student loan operations.

Go-to-market motion1 record

Distribution channels2 records

Marketing channels2 records

Core offering

Montana Higher Education Student Assistance Corporation (MHESAC) is a nonprofit 501(c)(3) organization that operates a Federal Family Education Loan (FFEL) Program secondary market, purchasing federally guaranteed student loans and rehabilitated education loans made to Montana residents. The organization provides borrower benefits through its Incentive Rewards programs, including interest rate reductions and principal balance reductions, and funds the Reach Higher Montana public benefit initiative.

Product overview

Montana Higher Education Student Assistance Corporation (MHESAC) operates as a nonprofit 501(c)(3) organization offering student loan services through the Federal Family Education Loan (FFEL) Program. The organization provides secondary market and origination activities for federally guaranteed student loans to Montana residents, supplemented by Incentive Rewards programs that offer borrowers interest rate and principal balance reductions. MHESAC also funds Reach Higher Montana, a public benefit initiative supporting Montana students' educational pursuits through community grants, dual enrollment support, student services, and community outreach.

Differentiator

Problem solved

Functional benefit

Brands

• Reach Higher Montana: MHESAC's public benefit initiative with a mission to help students strategically pursue educational opportunities, achieved through five core areas of work: community grants, dual enrollment support, student services, network support, and outreach to students in Montana's smaller communities.

Products and services

• Federal Family Education Loan (FFEL) Program Services Secondary market activity and loan origination for federally guaranteed student loans made to Montana residents, including purchase of federally guaranteed rehabilitated education loans.
• Incentive Rewards Programs Borrower benefit program providing interest rate reductions and principal balance reductions to eligible MHESAC loan borrowers.
• Reach Higher Montana

Quantifiable outcome

• $55.4 million in borrower benefits delivered to Montana students through debt forgiveness, interest rate reductions, and fee reductions
• +1 more outcomes

Named customers1 record

Segments1 record

Ideal customer profiles1 record

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Partnerships

Three partnerships are on record, tiered core.

• Student Assistance Foundation (SAF)coreStrategic or Co-development PartnerMHESAC has no employees. Its day-to-day business is managed by Student Assistance Foundation (SAF), also located in Helena, Montana. SAF handles corporate management, finance, and operational support for MHESAC.
• Aspire Servicing CentercoreStrategic or Co-development PartnerAspire Servicing Center provides loan servicing for all MHESAC borrowers and maintains a secure, online borrower account portal at myaccount.studentloan.org for MHESAC loan management.
• Reach Higher MontanacoreStrategic or Co-development PartnerReach Higher Montana is MHESAC's public benefit initiative. Its mission is to help students strategically pursue educational opportunities through five core areas: community grants, dual enrollment support, student services, network support and outreach to students in Montana's smaller communities.

Scale indicators3 records

Recent moves5 records

Expansion highlights2 records

Direct peers

• Massachusetts Educational Financing Authority (MEFA): State-created nonprofit providing education financing and college planning services. Comparable state-chartered nonprofit model serving student loan borrowers.
• Rhode Island Student Loan Authority (RISLA): State-chartered nonprofit student loan authority that administers education loan programs and refinancing. Comparable in mission, structure, and FFEL-legacy portfolio management.
• Iowa Student Loan Liquidity Corporation: State-based nonprofit secondary market and student loan program operator for Iowa. Closest comparable to MHESAC in structure, mission, and FFEL-era secondary market activities.
• Education Loan Finance (ELFI): Student loan refinancing provider. Comparable in providing education loan refinancing and borrower benefits to a similar consumer segment.
• Vermont Student Assistance Corporation (VSAC): Statewide nonprofit providing grants, loans, and education planning to Vermont students. Similar nonprofit structure and education finance focus to MHESAC.
• New York State Higher Education Services Corporation (HESC): State-run student loan and financial aid administrator. Comparable in administering FFEL-era state-level student loan programs and outreach.
• Kentucky Higher Education Assistance Authority (KHEAA): State-affiliated student aid administrator managing student loan programs and outreach. Comparable state-linked nonprofit education finance organization.

Others

• Aspire Servicing Center: Third-party loan servicer that services all MHESAC loans. Relevant as a partner/dependency in MHESAC's operating model rather than a direct competitor.
• Student Assistance Foundation (SAF): Montana-based nonprofit that administers MHESAC's day-to-day operations. Adjoining entity functioning as MHESAC's operating partner and management organization.

Broad incumbents

• Navient: Major federal student loan servicer that has serviced some MHESAC borrowers. Comparable as a student loan servicer and originator; broader commercial scale.

Market position

Strengths4 records

Weaknesses4 records

Competitive moat3 records

Key risks5 records

Key highlights6 records

Customer concentration

Revenue estimate

Valuation estimate

Number of profiles

Profiles6 records

Funding overview

Funding rounds

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about Montana Higher Education Student Assistance Corporation