The University of Illinois Urbana-Champaign has adopted this Student Loan Code of Conduct to serve as the formal guiding principles in ensuring the integrity of the student aid process and ethical conduct of employees regarding student loan practices.
The Student Loan Code of Conduct applies to all employees who work in the Office of Student Financial Aid and all other University of Illinois employees, including agents of the university, who have responsibilities related to educational loans or other forms of student financial aid. The Student Loan Code of Conduct has been established to meet the requirements contained in the 2008 Higher Education Opportunity Act. Items in this Code of Conduct provide additional standards of conduct for employees with responsibility for student financial aid and do not replace any existing or future requirements imposed by the State of Illinois or the University of Illinois related to codes of conduct, conflict of interest policies, ethics training, or other such requirements.
The Student Loan Code of Conduct also confirms that the University of Illinois Urbana-Champaign maintains a preferred lender list for private education loans. This list is provided as a resource to assist students and families in evaluating borrowing options, and inclusion on the list is based on criteria that emphasize borrower benefits, quality of service, and overall value to students. Students and families are not required to use a lender from the preferred lender list and may select any eligible lender of their choice.
- Revenue Sharing—The University of Illinois and its employees will not enter into any type of revenue-sharing arrangement with any lender, guarantor, or servicer.
- Gifts—Employees of the Office of Student Financial Aid are prohibited from soliciting or accepting any gift from a lender, guarantor, or servicer of education loans. Gifts include any gratuity, favor, discount, entertainment, hospitality, loan, or other item. This includes a gift of services, transportation, lodging, or meals, whether provided in kind, by purchase of a ticket, payment in advance, or reimbursement after the expense has incurred. Gifts to family members of a University of Illinois employee are considered to be a gift to the employee if the gift is given with the knowledge and consent of the employee and there is reason to believe the gift was given because of the official position of that employee.
- Contracting Arrangements—Employees of the Office of Student Financial Aid shall not accept from any lender or affiliate of any lender any fee, payment, or other financial benefit (including opportunity to purchase stock) as compensation for any consulting arrangement or other contract to provide services to a lender or on behalf of a lender relating to education loans.
- Preferred Lender Status—The University of Illinois Urbana-Champaign participates in the William D. Ford Federal Direct Loan Program, which provides student and parent loans through the U.S. Department of Education. In addition, the university maintains a preferred lender list for private education loans to assist students and families in evaluating borrowing options. Lenders included on this list are selected based on criteria that emphasize borrower benefits, quality of service, and overall value to students. The University of Illinois Urbana-Champaign provides this list as a resource; however, students and families are not required to use a lender from the preferred lender list and may select any eligible lender of their choice. The university will not assign a borrower to a particular lender, and all loan certifications and processing will be completed without regard to the borrower’s choice of lender or the method of loan submission (e.g., electronic or paper). The University of Illinois Urbana-Champaign and its employees do not receive any material benefits, including revenue sharing or other financial incentives, from any lender, servicer, or related entity in exchange for inclusion on the preferred lender list.
- Private Loan Certification—The University of Illinois Urbana-Champaign will not assign a borrower’s private student loan to a particular lender; all decisions will be made by the borrower in his or her independent review of borrower benefits and lender services. The University of Illinois Urbana-Champaign will not refuse to certify or delay certification of any loan based on the borrower’s selection of a particular lender or guaranty agency.
- Opportunity Pool Loan—The University of Illinois Urbana-Champaign will not request or accept from any lender any offer of funds to be used for private education loans (as defined in section 140 of the Truth in Lending Act), including funds for an opportunity pool loan to students in exchange for the University of Illinois Urbana-Champaign providing concessions or promises regarding providing the lender with (i) a specified number of federal loans made, insured or guaranteed; (ii) a specified federal loan volume; or (iii) a preferred lender arrangement for such loans.
- Staffing Assistance—The University of Illinois Urbana-Champaign will not request or accept from any lender, guarantor, or servicer of student loans any assistance with call center staffing or financial aid office staffing.
- Advisory Board Compensation—Employees of the Office of Student Financial Aid who serve on an advisory board, commission, or group established by a lender, guarantor, or group of lenders or guarantors are prohibited from receiving anything of value from the lender, guarantor, or group of lenders or guarantors, except that the employee may be reimbursed for reasonable expenses incurred in serving on such advisory board, commission, or group.
Updated May 12, 2026