Session 43 Best Practices for Processing Direct Loans at Your School Barbara Davis, Moderator

2 Best Practices Format This session will be an open discussion on several subjects in the Direct Loan processing cycle. Panel schools will describe their process and suggestions and then we will allow time for discussion and questions. We will spend about 10 minutes on each slide/topic. We have included some questions to generate discussion.

3 Topics of Discussion Packaging MPNs and Confirmation Process Origination Disbursement Borrowing Late in the Year Reconciliation/Closeout

4 Packaging What is your NSLDS transfer monitoring policy? How do you help students manage loan debt?

5 MPNs and Confirmation Process Are you a multi-year or single-year school? Do you use eMPN or paper? –If eMPN is your process, do you require that an origination be on file before MPN can be done? Do you use an active or passive confirmation process?

6 Origination What can be done to ensure ISIR, MPN and origination data are the same, particularly the student identifier information? –If a problem arises, how do you resolve identifier discrepancies? What Web sites do you access? Do you have a good method to do credit checks for PLUS loans?

7 Disbursement What best practice do you recommend to meet the 30-day reporting requirement? How do you ensure timely communication between registrar, business/bursar, and financial aid office? –(e.g., Late reported grants, scholarships, withdrawals, etc.) How often do you make disbursement adjustments? Is there a good way to control changes? What reports do you use to manage disbursements?

8 Borrowing Late in the Year How do you track the loans? How do you ensure they are disbursed? Does anyone use the action queue (on the COD Web site) to pick up anticipated disbursements that have not been disbursed yet?

9 Reconciliation/Closeout Would changing your funding method (pushed cash or advanced funded) assist in reconciliation? What tools do you use to reconcile? How often do you work rejects? How often do you reconcile? What steps do you take to ensure end of year closeout? What considerations do you make for crossover period loans?

10 Other Direct Loan Sessions Session 40Hands On Tour of DL Tools Session 41Best Practices in Using DL LSDA Session 42DL Funding & Cash Management A-Z Session 44Direct Loans A – Z Session 45Direct Loans – How to Get Started Session 46What’s New in Direct Loans: Grad PLUS and other HERA Related Changes Session 47Direct Loan Reconciliation and Closeout Session 48Direct Loan Reports & Reference Materials-Tools of the Trade Session 49How Direct Loan Servicing is Improving the Financial Aid Experience for You and Your Students

11 Contact Information We appreciate your feedback and comments. COD School Relations Center: Direct Loan Operations Team: Direct Loan Coalition: