1. Enrollment Reporting

2. Agenda  What is enrollment reporting?  Why does it matter?  Process  Possible effects of non-reporting  Impact on cohort default rates  Common errors  Best practices

3. What is Enrollment Reporting?  Requirement for schools ♦ Students receiving federal loans  Determines student’s eligibility: ♦ Deferment ♦ Grace ♦ Repayment  Data used by ED for cohort default rates 3

4. Why Does it Matter?  Impact on borrowers  Impact on cohort default rate  Decrease workload  Improve data quality If a student is currently enrolled and receives notice of being in repayment, what office on campus is he/she most likely to go to for answers? Financial Aid Office 4

5. NSLDS Reporting  What does NSLDS do ? ♦ Maintains the official enrollment data  How often does ED recommend reporting enrollment information? ♦ Monthly  Why is effective enrollment reporting important? ♦ Reduces risk of default 5

6. NSLDS Data Content* http://www.ifap.ed.gov/ * As of June 2007 Students60,486,450 Loans230,651,154 Grants62,173,603 Schools18,775 School campuses39,698 Lenders31,610 Guarantors62 6

7. NSLDS Identifier Conflicts 7 Number of Identifier Conflicts per Month Jan 200612,708 Feb 200612,691 Mar 200612,714 Apr 2006 12,623 May 200612,464 Jun 200612,601 Jul 200612,835 Aug 2006 13,208 http://www.ifap.ed.gov/ First name Date of birth SSN

8. 2007 Top NSLDS Errors 1. Date of student’s birth - 12,740 2. Date enrollment period begins - 11,672 3. Student’s Social Security number - 8,499 4. Date enrollment status effective - 8,270 5. Date of disbursement - 8,057 8 http://www.ifap.ed.gov/

9. Who is Correcting Data?  Guarantors  Lenders  Schools 9

10. EdFund Efforts  For fiscal year 2006 ♦ 37,009 defaulted borrower accounts were reviewed 1605 had been placed in the wrong cohort year ♦ 1662 death claims were reviewed 742 were placed in incorrect cohort year 10

11. School Efforts  Accurate borrower contact information  Accurate enrollment changes  Timely enrollment reporting 11

12. Roster files Submittal files Acknowledgment/error files Error correction files Enrollment data Schools or school servicers Guaranty agencies, Direct Loan servicer, and lenders NSLDS database Enrollment Submittal Process 12

13. Roster Field Names Field Name Student’s SSN Student’s SSN indicator Student’s last name Student’s first name Student’s middle initial Date of student’s birth Date of anticipated completion Code for enrollment status Date enrollment status effective School identification designator Ten Fields: Nine mandatory One optional 13

14. Enrollment Reporting  How do students get on a school’s enrollment reporting roster file? ♦ Reporting of a loan ♦ Reporting of an ACG or SMART Grant ♦ School adds student to a roster  Frequency ♦ Controlled by the school ♦ ED recommends monthly reporting 14

15. Guaranty Agency Lender/Servicer Clearinghouse DL Servicer Online School Software EDExpress SSCR Servicer NSLDSNSLDS SCHOOLSCHOOL Enrollment Reporting Flow Process 15

16. Impact on Date Entered Repayment  Enrollment effective date is used to drive DER  DER is loan-based, not student-based  Guarantor DER calculation:  Grace period = Separation date + 6 months  DER = Grace period + 1 day  Upon repayment, DER does not change 16

17. Non-Reported Enrollment Changes  Possible effects ♦ Loan converted to repayment early ♦ Loan entering repayment delayed ♦ Borrower unknowingly enters grace period 17

18. Possible Effects of Non-Reporting CY 2007 CY 2008 10/1/069/30/07 Feb-09 Draft rate Sep-09 Official rate 9/30/08 Sep-10 9/30/08 Feb-10 Draft rate Official rate 9/30/09 10/1/07 Student withdraws from school A on 10/15/2006 Student re-enrolls in school B on 01/27/2007 Loan converted to repayment early based on W. DER = 04/16/2007 INCORRECT CY Based on graduation date of 12/31/2007, then DER = 07/01/2008 CORRECT CY Student graduates on 12/31/2007 18

19. Impact on Cohort Default Rates  Frequency  Fields  Rates  Adjustments 19

20. Enrollment Information 20

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23. Loan Information 23

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25. GA calculates the DER Lender updates loan status 25

26. Enrollment Change Scenario Student Enrolls Below Half-time  School reports  Lender receives enrollment status  Loan status: L IA to IG 26

27. Enrollment Change Scenario Student Re-enters School Full Time  School reports  Lender receives enrollment status  Loan Status: F RP to DA 27

28. Joe officially withdraws from school early in the spring semester (February 15). The school’s next roster is not scheduled until after spring graduation on June 1. What should the FAA do about Joe’s early withdrawal? Enrollment Reporting Scenario Solution: School should do a manual update on NSLDS (Web). 28

29. Mary withdraws from school midway through the fall semester (October 25). The school uses the default reporting schedule (every 2 months). The next reporting roster is due November 1. What should the FAA do about Mary’s withdrawal? Enrollment Reporting Scenario Solution: School may either do a Web update or wait for the upcoming November enrollment reporting. 29

30. Common Errors: Case One DER on NSLDS = 10/01/2006 Based on DER, CY = 2007 *Date Entered Repayment (DER) **Anticipated Completion Date (ACD) Solution: Report Effective Date for the W status DER was calculated using the ACD 30

31. Best Practices  Identify campus enrollment data provider  Become familiar with campus enrollment reporting process  Develop ways to prevent, track and correct data errors  Practice timely and accurate enrollment reporting 31

32. Best Practices  Review NSLDS Date Entered Repayment (DER) report  Use tracking systems  Review withdrawal process  Make use of the resources available 32

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34. Thank you for attending Mike Stein 301.231.7557 mstein@edfund.org