Transcript Document
Deferment Only Do we want to leave?’ A review of the options • • • • Fully awarding Deferment Only Not registered Private Loans Options Option DOE Fully Awarding DOE Deferment Only DOE Out $’s Audit Full Limited Compliance Compliance X X X X* Private DVA Loans SAE X X X X X X X* X* Numbers Number of Universities 2004 2014 Fully Awarding 37 20* Deferment Only 0 17 Not Eligible 4 4* (Australia and New Zealand) Left since 2005 • • • • • • • • • Charles Sturt University University of Tasmania Deakin University Charles Darwin University University of South Australia University of Western Sydney Swinburne University Victoria University QUT Edith Cowan University Notre Dame Australia Curtin University AUT (NZ) Lincoln University (NZ) Waikato University (NZ) Avondale College ACU Why would you leave? • Cost of adherence – Audits – Staff time – Compliance costs – web data, policy and procedure manuals, university wide program creation • Training and maintenance of information to staff, • ROI fails to match effort, • Lack of marketing or intent to market full degree programs in the US. Impact on Recruitment • Based on a survey of those who have left across the time frame, they reported minor (one or two students) difference, if anything at all in diminished recruitment numbers. • One institution reported a spike in US students after leaving the program. Deferment Only • An eligible institution satisfies the basic institution eligibility criteria, such as having appropriate legal authorization to provide education at the postsecondary level, offering at least one educational program that qualifies as an eligible program under Department regulations, and being a public or not-for-profit entity (except for foreign medical and foreign veterinary schools). • However, a deferment only/eligibility only institution does not enter into a written program participation agreement with the Department that would require it to fulfil all responsibilities of participation in the U.S. federal student aid programs, such as annual audit reporting requirements. • A deferment only/eligibility only school may not certify new U.S. federal student loans for U.S. students, but a U.S. student attending such a school who has pre-existing U.S. federal student loans may qualify for a temporary suspension of the student loan repayment obligation (an “in-school deferment”) while attending the deferment only/ eligibility only institution at least half-time.” • Ref: http://ifap.ed.gov/ForeignSchoolInfo/attachments/FSFAQsSchools.pdf How to move to Deferment Only • Access your electronic application (E-app) through www.eligcert.ed.gov • On the top left of the screen you would click on the ‘Use the E-App to recertify or update information’ button. • After logging into the E-App you would tick the following box in Section A. The Transition Year • Those on aid would continue to receive it, for 1 academic year only • New Students, or those not on aid when the application was submitted don’t receive aid from the date of submission • Must keep NSLDS updated Requirements / Responsibilities after Transition Year • Under current law: – not required to do audits, provide student consumer information or undertake any action other than: • to complete deferment forms • advise when student whom it has signed deferment forms for are no longer enrolled if they exit early. • Complete enrolment reporting for those on aid • The only other task you may be required to do is notify the lenders or servicers of the location of previous loan students if they are undertaking skip trace activity. Close out Audit • HCM or not HCM – Some institutions have been placed on heightened cash management whilst others have not • One final audit and then… – You still have to keep the all the files until 3 years past the returned audit report… Life after …. • “Every day that we are not part of DL is bliss!” • “ We had a sacrificial burning of a dummy file, with a bottle of beer – wish you could have joined us” • “It is nothing but happiness and sunshine since escaping Direct Loans.”