For purposes of these Terms and Conditions ("Terms and Conditions"), the following definitions apply: "Goal Financial", "we", "us", or "our" means Goal Financial, LLC, 1229 King Street 3rd Floor, Alexandria, VA 22314. "You" or "your" or "borrower" means student loan borrowers of Goal Financial whose loans meet the eligibility requirements.

"Program" means the "Goal Financial Debt Reduction Benefit Program."

Due to the recently passed College Cost Reduction and Access Act of 2007, Goal Financial, LLC has decided that it can no longer offer these borrower benefits; therefore, eligible loans must be first disbursed before 10/1/2007 to remain eligible for this offer

1.      Eligibility is restricted to borrowers that have a Federal Consolidation loan with Goal Financial that had an Original Principal Balance (OPB) that exceeds $20,000 AND:

-           Have selected the Goal Financial Debt Reduction Benefit Program during the application process, either on a Goal Financial Benefit Selection Form that has been completed, signed and returned to Goal Financial or via online application; 

-           Whose eligible loan is in repayment status at the time of calculation of any reduction;

-           Have made their first regularly scheduled monthly payment on-time; and

-           Whose eligible loan was first disbursed on or after 07/19/2007.

2.       We accept no responsibility for late, lost, damaged or misdirected mail.

3.       We base any Principal Reduction on the Outstanding Principal Balance as of the first day of the calendar month that follows the month during which you make your first regularly scheduled monthly payment on-time.

4.       We calculate the amount of the Principal Reduction as follows: after making the first regularly scheduled payment on-time, you qualify for a 5% Principal Reduction.

5.       A payment is considered "on-time" if it is received in full and no more than 14 days after the due date. If we receive a returned check for your qualifying payment, the amount of the returned check will be added to your loan balance, and the payment will be considered late. Periods of authorized deferment and forbearance are disregarded in determining which payment is the "first" payment.

6.       Payments made on any other student loan(s) will not qualify you for the benefits contained in this Program.

7.      To avoid forfeiting this Principal Reduction, you must continue to make on-time monthly payments.  After a Principal Reduction is applied, the amount of the reduction may be reapplied to principal if any subsequent, regularly scheduled monthly payment is not made on-time.  Any reapplication to principal of a previously earned Principal Reduction due to a payment not made on-time is considered a "lost benefit."

8.       After a Principal Reduction is applied, the amount of the reduction may be reapplied to principal if you prepay or attempt to prepay your loan, including without limitation, through a Federal Consolidation Loan.  Receipt of a Loan Verification Certificate request by Goal Financial, its agents (including but not limited to any third party servicer that manages student loans and collects payments on behalf of Goal Financial), successors and/or assigns shall be considered an attempt to prepay your loan through a Federal Consolidation Loan.

9.       A "lost benefit" cannot be earned back; however, if you incur a "lost benefit" you will be eligible for a "second chance" benefit.

10.    A "second chance" benefit is applied as follows: after making thirty-six (36) consecutive payments on-time beginning with the first regularly scheduled monthly payment after a "lost payment" is incurred, you qualify for a 1.00% Interest Rate Reduction.

11.    We base any Interest Rate Reduction on the initial rate of your Federal Consolidation loan at the time of funding, as indicated on your initial Disclosure Statement.

12.    We calculate the amount of the Interest Rate Reduction on the first day of the calendar month following the date you qualify for the Interest Rate Reduction.

13.    For the "second chance" benefit, a payment is considered "on-time" if it is received no more than 14 days after the due date. If we receive a returned check for your qualifying payment, the amount of the returned check will be added to your loan balance, and the payment will be considered late. Periods of authorized deferment and forbearance are disregarded in determining which payment is the "first" payment and in determining whether payments are considered to be "consecutive"

14.    A "second chance" benefit is only available to borrowers that incur a "lost benefit."

15.    A "second chance" benefit may be applied only one (1) time during the repayment period of the loan.

16.    To avoid forfeiting the "second chance" benefit, you must continue to make on-time payments. 

17.    Borrowers enrolled in the Goal Financial Debt Reduction Benefit Program are not eligible for any other Goal Financial Federal Consolidation Loan borrower benefit or loan loyalty or reward programs. 

18.    We will notify you by mail of your Principal Reduction and/or Interest Rate Reduction. All Principal Reductions will be effective as of the first day of the month following the month that contains the posting date of the on-time payment of your first regularly scheduled monthly payment.  All Interest Rate Reductions will be effective as of the first day of the month following the month that contains the posting date of the thirty-sixth (36^th) consecutive on-time payment after incurring a "lost benefit."

19.    Goal Financial reserves the right to adjust Principal Reduction and/or Interest Rate Reduction to correct calculation errors. For example, if you receive a Principal Reduction in excess of the amount you should have received, we will adjust your loan balance for the erroneous Principal Reduction.

20.    You should allow 90 days from the time you sent your qualifying payment for the notification of your Principal Reduction and/or your Interest Rate Reduction.

21.    You may not transfer or assign your Principal Reduction or your Interest Rate Reduction.

22.    Liability for any tax on any benefits provided to you pursuant to this program shall be solely your responsibility. We recommend that you contact your own accountant or tax advisor in this regard.

23.    As a condition of participating in this Program, you agree that (1) all disputes that cannot be resolved between us, and causes of action arising out of or connected with this Program, shall be resolved individually, without resort to any form of class action, and exclusively by final and binding arbitration under the rules of the American Arbitration Association and held at the AAA regional office nearest Alexandria, Virginia; (2) the Federal Arbitration Act will govern the interpretation, enforcement and all proceedings at such arbitration; and (3) judgment upon such arbitration award may be entered in any court having jurisdiction. Under no circumstances will you be permitted to obtain awards for, and you hereby waive all rights to claim punitive, incidental or consequential damages, or any other damages, including but not limited to attorneys fees, other than your actual out-of-pocket expenses (i.e., costs associated with participating in this Program). You further waive all rights to have damages multiplied or increased.

24.    In the event that you claim that you are eligible for the Principal Reduction or Interest Rate Reduction but have not received it, then you must provide verification to our satisfaction as to your claim of an entitlement. All reduction claims are subject to our verification checks and procedures, as determined by us in our discretion. We must receive all inquiries regarding claims within 180 days of the date that you claim you became fully eligible for the Principal Reduction or Interest Rate Reduction.

25.    These Terms and Conditions of this program are subject to change without notice.

26.    The program is void where prohibited by law.

27.    If a court of competent jurisdiction finds any provision of these Terms and Conditions to be void, then the court shall strike the offending provision while giving the remaining provisions full force and effect.

28.    Goal Financial, LLC may suspend, terminate or modify this Program at any time with or without notice and without liability to you or any other person.

29.    The laws of the state of California shall govern and be used to construe these Terms and Conditions.

30.    You should direct any questions regarding this program to Goal Financial Customer Service at 866-290-4222.