Session DL-07 Getting Connected in the Direct Loan Program

2 2 How to Get Started in DL School Eligibility and Certification –School must be eligible and certified for Title IV and the Direct Loan Program –Review ECAR for approved programs If DL is listed, proceed to operational participation request If DL is not listed, must apply via E- App at

3 How to Get Started in DL Each G-code or E-code school must have a unique DUNS number –Numbers issued by non-government entity, Dunn & Bradstreet (D&B) or –School Participation Team approves addition of new DUNS numbers via –Data between D&B must be absolutely accurate and correct and match

4 How to Get Started in DL Options for Additional Locations –Main campus only: G-code –Main campus and additional locations: G- code and E-code(s) –Main campus FOR additional locations: G- code Relationships in COD –Reporting/attended

5 5 How to Get Started in DL Operational Participation Request/Setup –School sends to inc.com Subject heading: “Request to participate in the Direct Loan Program” Body text should include: –School name and address –School official/requestor’s name, phone number, and address (person must be listed on the PPA) –DUNS Number (if known) –Award Year in which processing will begin School Setup

6 How to Get Started in DL Operational Participation Request/Setup, continued –Direct Loan Division sends welcome letter –Point of Contact calls the school Enrollment questions can be sent to

7 How to Get Started in DL Other System or Web Site Connections –SAIG –NSLDS –G5 –COD Web site –eMPN Web site Sign-up for DL Listserv and make sure e- mail addresses are current with COD School Relations Center

8 COD School Relations Center COD Customer Service Representatives –Primary connection for assistance with problem-solving and processing issues –School has a Primary CSR assigned –School has a Reconciliation Specialist to assist with reconciliation and closeout process for all programs

9 Direct Loan “Flow” Processing is the same as for Grants –Common Record submission and responses –Same funding methods and use of G5 School controls origination, credit checks, MPN process, disbursement, and reconciliation –Processing options allow aspects of the program fit with the school’s needs

10 PLUS Loans (and credit checks) School determines application process for parents (Grad PLUS uses FAFSA) Origination initiates credit check or can be done on COD Web site (by the school) –Must have signed authorization (signed PLUS MPN meets this requirement) Denials can be overridden with a credit worthy Endorser or successful appeal through COD Applicant Services

11 MPN Processing School determines and manages the MPN process as it best fits their needs –Electronic vs. paper –COD Print vs. School Print

12 Funding and Disbursements In general, school controls cash flow (subject to cash management rules) –School can opt for Pushed Cash Funding is driven by actual disbursements G5 is used to –request drawdowns ($ used to pay students) –adjust drawdowns –return cash

13 Loan Adjustments Loan adjustments are made by school –Option to create new loan OR adjust current loan –Changes made via Common Record or COD Web site –If adjusting current loan, school sends new amount(s) Increased loan amounts usually mean new disbursements

14 Direct Loan Servicing Schools can access DL Servicing Online through COD Web site –Set report options: Entrance and Exit Counseling Reports Delinquency and Portfolio Reports Default Management Tools –Late-Stage Delinquency Assistance (LSDA)