Sallie Mae (SLM) (SLM): what its 10-K says it depends on

Customers

For-profit schools

earns from · Approximately 16 percent or $1.25 billion of our 2025 Private Education Loan originations

Approximately 16 percent or $1.25 billion of our 2025 Private Education Loan originations were for students attending for-profit schools.Business (Item 1)

Partners and platforms

Asset-backed securities (ABS) market

depends on · $4.9 billion, or 24 percent of our total Private Education Loans held for investment portfolionamed as a risk

This brought our total ABS funding outstanding at December 31, 2025 to $4.9 billion, or 24 percent of our total Private Education Loans held for investment portfolio.Business (Item 1)

Chicago Mercantile Exchange (CME)

depends on · 98.0 percent

The derivative contracts cleared through the CME and LCH represent 98.0 percent and 2.0 percent, respectively, of our total notional derivative contracts of $573 million at December 31, 2025.Business (Item 1)

Also named by CBOE

London Clearing House (LCH)

depends on · 2.0 percent

The derivative contracts cleared through the CME and LCH represent 98.0 percent and 2.0 percent, respectively, of our total notional derivative contracts of $573 million at December 31, 2025.Business (Item 1)

Higher education institutions

depends on · more than 2,100 higher education institutions

Our on-campus efforts with more than 2,100 higher education institutions are actively managed by our relationship management team, the largest in the industry, which has become a trusted resource for financial aid offices.Business (Item 1)

Search engines

depends onnamed as a risk

For instance, our new depositor acquisition marketing is partly dependent on search engines, as well as bank deposit information aggregators, to direct a significant amount of traffic to our website via organic ranking and paid search advertising.Risk factors (Item 1A)

Private credit strategic partners

depends onnamed as a risk

We may depend on a limited number of strategic partners, private credit sources, and external demand for higher education products and services, which could increase margin pressures, expenditures, and pose potential liquidity and concentration risks.Risk factors (Item 1A)

Other companies

Private Education Loans

concentrated in · approximately 71 percent of our total assetsnamed as a risk

At December 31, 2025, approximately 71 percent of our total assets, and 83 percent of our total assets excluding cash and cash equivalents, were comprised of Private Education Loans.Risk factors (Item 1A)

Navient Corporation

named as a risk

Additionally, if Navient is unable or unwilling to pay claims that we make against it, our financial condition, results of operations, and/or cash flows could be materially and adversely affected over time.Risk factors (Item 1A)

Competitors

Federal Direct Student Loan Program

competes withnamed as a risk

The federal government, through the Federal Direct Student Loan Program and other higher education lending programs, also poses significant competition to our Private Education Loan products.Risk factors (Item 1A)

PNC Bank

competes with

Our primary competitors1 in the Private Education Loan market include large banks and specialty finance companies such as Citizens Financial Group, Inc., PNC Bank, Sofi Technologies, Inc. and College Ave, and members of the Education Finance Council.Business (Item 1)

Also named by HLIO

Citizens Financial Group

competes with

Our primary competitors1 in the Private Education Loan market include large banks and specialty finance companies such as Citizens Financial Group, Inc., PNC Bank, Sofi Technologies, Inc. and College Ave, and members of the Education Finance Council.Business (Item 1)

SoFi Technologies

competes with

Our primary competitors1 in the Private Education Loan market include large banks and specialty finance companies such as Citizens Financial Group, Inc., PNC Bank, Sofi Technologies, Inc. and College Ave, and members of the Education Finance Council.Business (Item 1)

College Ave

competes with

Our primary competitors1 in the Private Education Loan market include large banks and specialty finance companies such as Citizens Financial Group, Inc., PNC Bank, Sofi Technologies, Inc. and College Ave, and members of the Education Finance Council.Business (Item 1)

Places

Utah

operates in

The Bank’s ability to pay dividends is subject to the laws of Utah and the regulations of the FDIC.Business (Item 1)

Also named by CRC, CRGY, MTRN, NWPX, STRL

Commodities and inputs

Brokered deposits

depends on · $8.8 billion, which represented 42 percent of our total depositsnamed as a risk

At December 31, 2025, our brokered deposits totaled $8.8 billion, which represented 42 percent of our total deposits.Risk factors (Item 1A)

Also named by ALLY, CASH, CUBI, EFSC, PNFP

SOFR

exposed to its pricenamed as a risk

At present, a significant portion of the Bank’s earning assets and a large balance of deposits are indexed to 30-day average SOFR.Market risk (Item 7A)

Also named by AAP, AIOT, APG, APH, ARES, AXON, BGC, BR and 82 more

Regulators

Consumer Financial Protection Bureau (CFPB)

subject tonamed as a risk

CFPB jurisdiction, regulation, and supervision could increase our costs and limit our ability to pursue business opportunities.Risk factors (Item 1A)

Also named by ABNB, AFRM, ALLY, AN, AUB, AXP, BAC, CASH and 61 more

Federal Deposit Insurance Corporation (FDIC)

subject tonamed as a risk

The FDIC has the authority to prohibit or limit the payment of dividends by the Bank and SLM Corporation.Risk factors (Item 1A)

Also named by AFRM, BAC, BNY, CASH, CFG, CFR, COF, FCFS and 27 more

Utah Department of Financial Institutions

subject tonamed as a risk

The Bank is subject to various regulatory capital requirements administered by the FDIC and the UDFI.Risk factors (Item 1A)

Also named by ALLY, FCFS, PBI, XYZ

Laws and programs

Dodd-Frank risk retention rules

subject to · at least five percent

The Dodd-Frank risk retention rules generally require sponsors of ABS, such as Sallie Mae, to retain an economic interest in an ABS transaction that represents at least five percent of the credit risk of the assets being securitized.Business (Item 1)

GENIUS Act (stablecoins)

subject tonamed as a risk

For example, the Guiding and Establishing National Innovation for U.S. Stablecoins Act of 2025 (GENIUS Act) provides a legal framework for stablecoins to be issued in the United States, which may allow new and existing competitors to compete for funds that may have otherwise been deposited with banks, such as the Bank.Risk factors (Item 1A)

Also named by AUB, C, CFR, COF, COIN, CUBI, EWBC, FCNCA and 15 more

H.R.1 (One Big Beautiful Bill Act, 2025)

subject tonamed as a risk

The impacts of H.R.1’s changes may result in increased risk of competition and market disruptions, borrower affordability challenges, and potential reputational considerations for private student loan lenders.Risk factors (Item 1A)

Also named by AES

Higher Education Act of 1965

subject tonamed as a risk

Future legislative changes, amendments, or rulemakings related to or impacting the HEA, the Federal Direct Student Loan Program, H.R.1, and/or other government efforts to provide relief for borrowers of student loans in general, could provide a legislative vehicle for additional changes to student loan programs.Risk factors (Item 1A)

Community Reinvestment Act

subject to

The Bank received a CRA rating of Outstanding on its most recent review.Business (Item 1)

Also named by ALLY, AMP, AUB, CFG, CFR, EFSC, EWBC, FCNCA and 20 more

California Consumer Privacy Act / California Privacy Rights Act

subject to

The CCPA and CPRA apply to for-profit businesses that conduct business in California and meet certain revenue or data collection thresholds.Business (Item 1)

Also named by ADSK, PSA, WDAY, WSM