Lender of Last Resort
LLR is a guarantor or lender that agrees to make Stafford or PLUS loans (both graduate and parent) to borrowers who are eligible under the program guidelines, but have been denied a conventional loan by at least 1 lender. Generally the guarantor is the LLR for its designated state(s); ASA is the LLR for Massachusetts and D.C. In cooperation with the Secretary of Education, ASA recently reviewed and updated our LLR procedures.
ASA’s current process requires that an otherwise eligible borrower who has been denied a conventional loan to contact the school first. The school may be able to provide the borrower with lenders who may be willing to lend a conventional loan to them before initiating LLR.
Please see the Frequently Asked Questions document, which may answer some of your questions about LLR. If you have any questions or concerns, please contact ASA’s Call Center at customersupport@amsa.com. The Call Center’s normal hours of operation are Monday through Friday from 8:30 a.m. to 9:00 p.m. ET.
