SLM Corp., also known as Sallie Mae and the biggest U.S. education lender, named former First Union Corp. President Anthony Terracciano as chairman, Bloomberg reported. Terracciano succeeds Albert Lord, who remains as CEO. The change helped Sallie Mae’s stock to its largest increase in more than eight months.

Lord served as Sallie Mae’s CEO from 1997 to 2005 and resumed the position on Dec. 14 after the failure of a proposed $25.3 billion takeover by investors. Virginia-based Sallie Mae has a 35-year history of separating the jobs of chairman and chief executive, the company said today in a statement.

Terracciano comes on board a week after Lord completed a sale of $2.9 billion in shares to pay for stock buybacks and to help improve the company’s credit rating. Sallie Mae jumped $2.18, or 13 percent, to $18.85 in early New York Stock Exchange composite trading for the biggest percentage gain since April 16, when the company accepted the takeover offer. From Dec. 13 to Jan. 4, Sallie Mae’s stock price dropped 40 percent.

John Remondi has been named vice chairman and chief financial officer. Sallie Mae said it will release earnings results on Jan. 23, and will hold a conference for shareholders the same day with Lord, Terracciano and Remondi.